ISTANBUL: Turkey’s economy is expected to have expanded 3.9% in the first quarter, a Reuters poll showed on Friday, with growth reined in by the impact of February’s earthquakes in the country’s south, and it is expected to grow 2.8% this year.

The median estimate in a Reuters poll of 15 economists for Q1 GDP growth was 3.9% and forecasts ranged between 1.2% and 5.5% Turkey’s economy bounced back strongly from the COVID-19 pandemic and grew 5.6% in 2022, extending its hot streak on strong domestic demand and exports, despite a slowdown in the main trading partners which hurt exports because of the Russia-Ukraine war in the second half of the year.

Turkey’s central bank embarked on a 500-basis-point easing cycle last year to counter the slowdown in economic activity, driven by President Tayyip Erdogan’s economic plan prioritising growth, employment, investment, exports and low interest rates. In February, the central bank cut its policy rate by another 50 basis points to support recovery after earthquakes that killed more than 50,000 people and caused severe damage across a large part of southern Turkey.

Erdogan is aiming to extend his rule into a third decade on Sunday in a presidential election runoff against his rival Kemal Kilicdaroglu.