Capacity utilization rate fell slightly to 75.5 percent in October from 75.9 percent in September, business confidence rises sharply
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ANKARA – Industrial activity and business confidence were both strong in October, according to reports from Turkey’s central bank Monday.
While the capacity utilization rate slipped slightly in October to 75.5 percent from 75.9 percent the previous month, it was still well above the 74.1 percent average rate between 2007 and 2015, according to statistics from the Trading Economics website.
“Strong household spending is still being fed by industrial production and exports of industrial components to Germany continue to use most of Turkey’s industrial capacity,” Attila Yesilada, an economist with the Global Source Partners consultancy in Istanbul, said.
Growth in durable goods manufacturing, along with food products, were among the strongest categories in the capacity utilization report.
The business confidence index recovered sharply to 100.5 in October from 99.5 in September. The latest reading was the highest since May, when it was 103.8.
“The recovery in Europe is helping to fuel business confidence again as export demand picks up,” Yesilada said.