15.05.202608:11:43UTC+00Turkey Budget Deficit Widens in April

Turkey’s central government budget recorded a deficit of TRY 338.7 billion in April 2026, nearly double the TRY 174.7 billion shortfall reported a year earlier, as expenditure growth outpaced revenue gains. Total expenditures increased 34.7% year-on-year to TRY 1.52 trillion, driven by higher personnel costs, current transfers, capital outlays, and spending on goods and services. Non-interest expenditures rose 45.4% to TRY 1.27 trillion, while interest payments edged down 1.2% to TRY 257.6 billion. On the revenue side, total inflows grew 23.9% to TRY 1.19 trillion, supported by a 28.5% increase in tax revenues to TRY 1.01 trillion, underpinned by stronger income tax, domestic and import VAT, stamp duty, and banking and insurance transaction taxes. Consequently, the primary balance swung to a deficit of TRY 81.1 billion from a surplus of TRY 85.9 billion a year earlier, highlighting the faster pace of non-interest spending growth relative to revenue expansion.