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May 27, 2012
 
 
 
 
 
 

İstanbul remains financial backbone for Turkish economy

20 January 2010 / TODAY’S ZAMAN, ANKARA
İstanbul was the backbone of the country’s economy in 2009, generating eight times the funds allocated to the province from the state’s budget, while Hakkari created only one-30th of the amount given to the city.

According to the Finance Ministry’s Public Accounts Bulletin, as last year’s economic meltdown took its toll on the economy, the number of self-sufficient provinces decreased from 15 in 2008 to 12 last year. İstanbul was the province providing the greatest contribution to the economy in 2009. While funds allocated by the state to the city totaled TL 10.33 billion, revenue to the Treasury from İstanbul totaled TL 80.96 billion, some eight times the state allocation. İstanbul ranked second on the list of provinces with high per capita revenue, while it brought up the rear with the least per capita expenditure. The average amount of money generated by an İstanbulite stood at TL 6,376, whereas money spent on an İstanbulite by the state amounted to TL 813.8.

The total amount of revenue Kocaeli generated totaled TL 23.24 billion last year, thanks to taxes paid by the Turkish Petroleum Refineries Corporation (TÜPRAŞ) and Petkim Petrokimya Holding (PETKİM), located in the city. The amount of money allocated from the state’s budget to the city, on the other hand, was TL 2.07 billion, meaning the city generated for the state 11 times the money it received. Ankara and İzmir contributed TL 28.42 billion and TL 18.62 billion to the Treasury, respectively, while state expenditures for these provinces were TL 16.69 billion and TL 5.18 billion, also respectively.

The revenue generated by 69 provinces, on the other hand, was lower than the amount allocated to them by the state. Hakkari had the greatest deficit among these cities. While receiving TL 748.73 million from the state’s budget last year, Hakkari was only able to generate revenue of TL 24.73 million.

 
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