Although the growth rate slowed compared to the previous quarter, the country’s construction sector expanded at an annual rate of 7.3% in the first quarter of 2025, surpassing the overall GDP growth of 2%, according to data from the Turkish Building Materials Producers Association (İMSAD).
While the impact of tighter policies remained limited, reconstruction activities in the earthquake-affected region, urban transformation projects, and other construction works supported the sector, İMSAD noted in its monthly report.
Construction expenditures increased nominally by 41.8% in the first quarter, reaching 1.85 trillion Turkish lira.
In real terms, construction spending grew by 6.9% in the first quarter of the current year, with earthquake-related construction activities playing a significant role in this growth, according to the report.
The construction sector’s share of the country’s GDP was 6.2% in the first quarter, up from 5.5% in the last quarter of the previous year.