Turkey's economic confidence index increased month-on-month in January, soaring 10 percent, according to Turkish Statistical Institute (TurkStat) on Tuesday.

The economic confidence index reached 104.9 points, up from 95.3 points in December, TurkStat said in a statement, stemming from increases in the consumer, real sector, services, retail trade and construction confidence indices. The five indices reached in the month to 72.3, 110.9, 102, 106.2 and 87, respectively.

In August 2017, Turkey's economic confidence rose to its highest level -- 106.4 points -- in more than five years, helping the Turkish lira strengthen against the U.S. dollar.

According to TurkStat, the index indicates an optimistic outlook on the general economic situation when it is above 100, or a pessimistic outlook when it is below 100.

"Economic confidence index is a composite index that encapsulates consumers' and producers' evaluations, expectations and tendencies about general economic situation," TurkStat said.

The next economic confidence figures are due for release on Feb. 27.