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Poverty rate in Turkey climbed to 13.6 percent in 2024 as cost-of-living bites: TurkStat

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The poverty rate in Turkey, where the public has been overwhelmed by a wide range of economic problems for several years, increased by 0.1 point in 2024, rising to 13.6 percent, in another sign of economic deterioration in the country, official data showed.

The Turkish Statistical Institute (TurkStat) on Monday revealed the results of the 2024 Income and Living Conditions Survey, which is used to determine statistics related to poverty and living conditions.

To calculate income and poverty levels, TurkStat adjusted each household’s income after taxes and other obligations to reflect its equivalent disposable income, taking into account the household’s size and composition. Individuals with incomes below a defined threshold set at a percentage of the median equivalized household disposable income are classified as poor.

The data reveal that the at-risk-of-poverty rate — defined as those with an income below a 50 percent threshold — stood at 13.6 percent in 2024, up from the previous year by 0.1 percentage points.

Many Turks are grappling with persistently high inflation, which has resulted from currency depreciation and unconventional economic policies previously pursued by President Recep Tayyip Erdoğan, although he has since abandoned these measures, at least temporarily. As a result, many families are struggling to afford basic necessities such as food and housing.

According to TurkStat, single-person households had the lowest poverty rate at 6.5 percent, which is a decrease of 0.8 percentage points compared to 2023. For nuclear families, the poverty rate increased by 0.1 percentage points, reaching 13.4 percent in 2024.

TurkStat also examined the correlation between education level and poverty. It found that poverty rates were negatively correlated with education level: 24.7 percent of individuals who did not complete university were classified as poor, 13.6 percent of those with less than a high school education, and 7.4 percent of high school graduates. Conversely, the lowest poverty rate, 2.7 percent, was observed among higher education graduates.

The number of ‘permanently poor’ increased

The “permanent poverty” rate, which is defined as people who have been poor in that year and at least two of the previous three years, increased by 0.7 points to 13.7 percent in 2024, in another sign of increasing poverty in the country.

Additionally, the rate of material and social deprivation, which assesses whether people can afford items from a list of 13 essentials, also increased in 2024. This rate went up to 14.4 percent from 13.3 percent in 2023. This means that 13.3 percent of the population cannot afford at least seven of the following items: owning a car; managing unexpected expenses; funding a week-long holiday away from home; paying rent or mortgage and interest on debts; having meat, chicken, or fish to eat every other day; heating their homes; replacing worn-out furniture; buying new clothes; owning two pairs of shoes in good condition; socializing with friends at least once a month; participating in leisure activities; spending money for personal enjoyment; and having internet access for personal use.

The report revealed the following: 57.5 percent of people cannot afford a week-long holiday away from home; 39.3 percent cannot afford to eat meat, chicken, or fish every other day; 26.8 percent struggle with unexpected expenses; 15.1 percent are unable to heat their homes; and 59.6 percent cannot afford to replace old furniture.

Furthermore, the TurkStat data showed that 31.3 percent of Turkey’s population faces housing issues such as leaky roofs, damp walls and rotten window frames. Additionally, 30.2 percent have heating problems due to insufficient insulation and 21.7 percent experience air or environmental pollution caused by traffic or industrial activity without the financial means to address these issues.

In November, TurkStat reported an annual inflation rate of 47.09 percent, though independent economists from the Inflation Research Group (ENAG) disputed this figure, estimating it to be above 86 percent.

Last week, Finance Minister Mehmet Şimşek recently acknowledged the country’s ongoing struggle with inflation and the rising cost of living, stating that efforts are underway to reduce both.

“Turkey has a serious inflation and cost-of-living problem. However, looking at the bigger picture, efforts are underway to bring down inflation as well as the high cost of living,” Şimşek said during an event in İstanbul last week.

 

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