Türkiye's budget deficit shrinks in H1, Turkish finance minister says

Treasury and Finance Minister Mehmet Simsek said the primary budget surplus fell to 521 billion Turkish liras ($11 billion) in the first half of the year, although the government gave up some tax revenues to limit the impacts of geopolitical developments on inflation.

The budget deficit shrank by 38 billion Turkish liras ($805 million) compared to the first half of last year, he said on Turkish social media platform NSosyal on Monday.

The minister estimated that the ratio of the budget deficit to national income, which was 2.9% in 2025, decreased to approximately 2.5% on an annualized basis as of June.

He attributed this drop to the fight against informality, policies to increase voluntary compliance and strict discipline in public expenditures.

Simsek stated that domestic debt rollover rates remained below last year's levels and official forecasts with the contribution of the strong budget performance.

Budget discipline, which increases the resilience of the Turkish economy, also holds critical importance for price stability, the main goal of the country's economic program, he stressed.

The government will continue its policies in line with the disinflation target by maintaining strict fiscal discipline, Simsek added.