Turkey: The fastest-growing economies in Europe

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Turkey's economy grew 11.7 percent in the first quarter from output in the same period 12 months ago, official data showed on Wednesday, boosting hope that annual growth would be double the government's target.

It was the second quarter of growth in row, in line with market expectation of a double-digit figure.

The increase in gross domestic product (GDP), backed up by other major economic indicators, demonstrates "a stable recovery from the crisis," Industry and Trade Minister Nihat Ergun said on NTV television.

The government, he said, expects growth to slow down in the coming months, reaching between six and eight percent in the second quarter.

"The OECD projects that the Turkish economy will grow 6.8 percent in 2010, becoming one of the fastest-growing economies after China and India, especially in its own region... This is a realistic estimate," he said.

The government set its target for 2010 at 3.5 percent, but officials have already said that the figure would be well surpassed.

GDP had slumped a massive 14.7 percent in the first quarter last year when Turkey plunged into a severe recession amid global financial turmoil.

Recovery bagan in the last quarter of 2009, with GDP increasing 6.0 percent after a contraction cycle of four quarters that caused the economy to slump 4.7 percent last year.

Industrial output surged by 17 percent in April, in the fifth straight increase.

Economic success is vital for Prime Minister Recep Tayyip Erdogan ahead of general elections next year, in which his party will compete for a third victory in a row.

Unemployment however remains a major challenge for the government.

The jobless rate stood at 13.7 percent in April, with youth unemployment at 24.6 percent.

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