The consolidated budget deficit fell as a proportion of gross national product (GNP) during 1994 mainly because of the IMF-backed austerity programme introduced in April.

Finance Minister Ismet Attila said on 1 February that the 1994 deficit was equivalent to 3.7 per cent of GNP, compared with 6.9 per cent in 1993. The deficit rose in nominal terms by 9.6 per cent to TL 145.9 million million ($3,600 million). Consumer inflation in 1994 was 125 per cent.

Expenditure in 1994 totalled TL 899.4 million million ($22,100 million) against revenues amounting to TL 753.4 million million ($18,500 million).

Domestic interest servicing accounted for 26 per cent of general expenditures in 1994, while the share taken by interest payments on foreign debt was 7.2 per cent.