Income inequality in Türkiye shrinks

By Gokhan Ergocun

ISTANBUL (AA) - The Gini coefficient, one of economists' standard measures of income inequality, fell in Türkiye in 2024-2025 from 0.413 to 0.410, the Turkish Statistical Institute (TurkStat) said on Friday.

The ratio varies between 0, which reflects complete equality, and 1, which indicates complete inequality; it declined 0.003 percentage points over the year.

"In calculating the Gini coefficient, household disposable income, which was found by subtracting taxes paid in the income reference period and regular transfers to other households or persons from the sum of annual incomes of the household and the individuals, was used," the TurkStat said.

It added that in a new calculation introduced with the 2025 results, the Gini coefficient was computed for the gross income obtained by taxes and social security contributions derived from administrative records into disposable income.

The statistical authority also said the share of the top quintile by the equivalized household disposable income was 48%, down 0.1 points, while the share of the bottom quintile was 6.4%, up 0.1 points, in comparison with the previous year.