Türkiye’s construction sector registered a robust annual growth of 10.5% in March 2025, according to new data released by the Turkish Statistical Institute (TurkStat) on Thursday.

According to the statement, key sub-sectors all contributed to the year-on-year growth. The index for the construction of buildings surged by 12.9%, while civil engineering activities posted a 5.8% rise. Specialized construction activities, such as renovation and finishing work, also saw a 6.0% increase compared to March 2024.

However, the report also noted a 2.5% monthly decline in overall construction production from February to March 2025, signaling short-term volatility in the sector. During this period, the construction of buildings index decreased by 3.2%, the civil engineering index dropped by 0.5%, and specialized construction activities fell by 1.2%.

The annual growth highlights a strong recovery and continued investment in Türkiye’s construction industry, while the monthly drop raises concerns about seasonal slowdowns or short-term instability.

Analysts will be watching upcoming data closely to determine whether March’s monthly decline is an isolated dip or an early signal of shifting trends in the sector. (ILKHA)