Turkish industrial production seen contracting 1.01% in June: Reuters poll

ISTANBUL (Reuters) - Turkey’s industrial production is expected to register a 1.01% annual contraction in June, a Reuters poll showed on Friday, as the economy struggles to leave behind the damage of last year’s currency crisis.

The economy contracted 2.6% in the first quarter of this year after a 3% drop in the last quarter of 2018. Economic activity has remained slow since, with the central bank’s policy rate standing at 19.75% after it cut by 425 basis points in July.

The median estimate in a Reuters poll of 6 economists showed a year-on-year contraction of 1.01% of the calendar-adjusted industrial production index. Forecasts ranged between a growth of 0.1% and contraction of 2.4%.

Turkish industrial production, seen as a pre-cursor to growth figures, slid a less-than-expected 1.3% year-on-year in May, data showed, logging its ninth consecutive month of decline after the economy tipped into recession last year.

The Turkish Statistical Institute will announce the industrial production figures for June on August 16 at 0700 GMT.

Reporting by Ali Kucukgocmen and Ezgi Erkoyun; Editing by Dominic Evans