Turkish economic confidence extends pessimistic run in October

 27 Oct 2015 - 16:32

Turkish economic confidence extends pessimistic run in October

ISTANBUL: Confidence in Turkey's economy remained pessimistic for the 12th straight month in October, official data showed on Tuesday, underscoring the bleak outlook just days before a Nov.1 snap election.

Turks go to the polls on Sunday in the country's fourth election in just over 18 months, a voting cycle that has fueled investor uncertainty and diverted the minds of economic policy makers away from tackling deep-seated challenges.

Investors have also been spooked by a revival in violence in the southeast after a ceasefire with Kurdish militants fell apart in July. The lira currency has fallen to a series of record lows this year, further denting sentiment.

Data from the Turkish Statistics Institute showed that Turkey's index of economic confidence recovered 13 percent in October to 81.48, after plunging to a record low a month earlier. In September the index touched 72.13, according to revised official data.

The October reading is the second lowest on record since the statistics institute began compiling data in January 2012. It also marks the 12th straight month for a pessimistic outlook, as the index indicates an optimistic outlook about the general economy when it is above 100 and a pessimistic outlook when it is below 100.