Cost of Living in Turkey
What a month actually costs, with rent and salary context
Measured in foreign currency, Turkey is one of the cheapest countries in its income group: rent, food, transport and private medical care are all inexpensive by European standards. Measured in lira, the picture is different, because inflation has been high for years and the risk of currency depreciation dominates any plan that mixes local income with foreign obligations.
| Official statistics | Turkish Statistical Institute source |
| Inflation | Persistently high in recent years, in double digits source |
| Minimum wage | Set annually and revised upward frequently, in lira |
| Typical rent, central Istanbul | Commonly several hundred US dollars a month for a one-bedroom |
| Typical rent, smaller cities | Commonly well below Istanbul levels |
An indicative monthly budget for one person
| Item | Istanbul (USD equivalent) | Smaller city (USD equivalent) |
|---|---|---|
| Rent, 1-bedroom | 600 | 300 |
| Utilities and internet | 80 | 70 |
| Groceries | 250 | 200 |
| Transport | 35 | 25 |
| Mobile and incidentals | 40 | 35 |
| Indicative total before discretionary spending | 1,005 | 630 |
The currency question
Turkey's headline affordability is a function of the exchange rate rather than of low domestic prices. Domestic prices in lira have risen steeply for several years, and official inflation has stayed in double digits. Someone earning abroad and spending in lira has generally seen their position improve; someone earning in lira has seen purchasing power eroded between annual pay reviews.
Rents in the large cities are commonly renegotiated annually and have risen faster than headline inflation in some periods, which is the main way currency risk reaches a foreign resident's household budget.
Any financial plan should be stated in the currency of income, and long lira commitments made against foreign income deserve particular caution.
What is genuinely cheap and what is not
- Cheap: domestic food, restaurants, public transport, domestic flights, private outpatient medicine, dentistry, and most personal services.
- Moderate: rent in central Istanbul, Izmir and the coastal resort towns, which have absorbed considerable foreign demand.
- Expensive: imported goods, cars, electronics and fuel, all of which carry heavy taxes and track the exchange rate closely.
- Variable: private schooling and private health insurance, both commonly quoted with annual increases tied to inflation.
Regional differences
Istanbul is the most expensive city by a wide margin, followed by Ankara, Izmir and the Aegean and Mediterranean coastal towns with established foreign populations. Inland and eastern provinces are markedly cheaper, but they also offer far fewer roles in which a foreign professional could be employed.
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