Turkish small businesses face closures amid rising costs

Small business owners in Turkey are facing significant economic pressure due to rising costs, high interest rates, and limited access to financing. In Van, 799 businesses closed in 2025, with an additional 528 closures recorded by the end of August 2026.

In the automotive sector, industry professionals report a sharp decline in sales. High taxes, insurance, and fuel costs, combined with high rents, have forced some merchants to share single shop spaces by using two different company signs to remain operational. Business owners noted that vehicles have lost their status as investment tools, and many are struggling to cover basic operating expenses like electricity, water, and personnel costs.