Economy Risks for Turkey’s economy despite stable credit rating Turkey’s economic outlook has retained its “stable” rating, according to ratings agency S&P Global, despite heightened political and economic uncertainty since March, with more downside risk than upside opportunity. The agency had raised Ankara’s sovereign debt rating to its present BB-, just below investment grade, in November, the second increase in 2024. It affirmed that […] April 29, 2025
Development Turkey hopes for funding surge from global institutions Turkey is hoping to attract more than $40 billion in project funding from global financial institutions over the next three years to increase environmental investment, boost infrastructure and reduce risk from natural disasters. Treasury and finance minister Mehmet Şimşek said on April 26 he anticipated Turkey would receive $41 billion in low-cost, long-term finance from […] April 29, 2025
Tourism Turkey’s domestic tourism sector heats up Turkey’s domestic tourism sector surged in 2024, with more Turks holidaying at home than ever before, shrugging off high inflation and economic uncertainty by taking to the road in record numbers. Between them, Turkey’s 85 million citizens took 67 million domestic trips last year, an increase of 9 percent on 2023, according to state statistics […] April 28, 2025
Manufacturing Factory activity in Turkey falls to lowest in two years Turkey’s manufacturing sector has posted its fifth monthly decline in activity, reflecting a slowdown in domestic demand and the impact of political and economic instability. The manufacturing capacity utilisation rate – how much a factory’s full potential is being used – fell to 74.3 percent in April, according to a report issued this week by […] April 27, 2025
Analysis Construction Quake lends urgency to Istanbul rebuild programme Istanbul, Turkey’s economic hub, has received a timely reminder that it is at the centre of a high-risk earthquake zone, having been rattled by a tremor of magnitude 6.2 on Wednesday. The hope is that the quake will jolt the city authorities into action to speed up a slow-moving building renewal scheme. Damage from the […] April 24, 2025
Retail New ecommerce rules spur cost-benefit debate in Turkey Turkish officials have denied media reports that they were about to block access to the popular Chinese online shopping platform Temu after it allegedly failed to comply with new regulations governing ecommerce. This has highlighted the debate in Turkey around the cost and benefit for the multi-billion dollar industry following this month’s introduction of the […] April 24, 2025
Tech Turkish startup funding plunges in first quarter Uncertainty in the Turkish economy and government budget cuts are weighing on the country’s startup environment, with venture capital funding for new projects falling in the first quarter to their lowest in more than 18 months. Turkish technology startups attracted $58 million in the three months to March 31, almost 50 percent down on the […] April 23, 2025
Tourism Turkey takes the plunge into swimming tourism Blue water swimming enthusiasts drawn to the Bosphorus and Dardanelles straits are providing a boost to the economy April 18, 2025
Banking & Finance Turkey raises interest rates for first time in a year Turkey’s central bank raised its key lending rate for the first time in a year on Thursday, reversing a steady decline this year, on concerns of higher inflation in the coming months. The bank’s monetary policy committee (MPC) increased its one-week repo auction rate to 46 percent on April 17 from 42.5 percent, the rate […] April 18, 2025
Real Estate Turkish property sales jump may temper on market turmoil Turkish property sales rose by 20 percent in the first quarter, but recent political unrest and economic uncertainty from mid-March onwards may weigh on the market. The number of property transactions rose to 335,786 in the three months to March 31 compared with the same period last year, according to data issued this week by […] April 16, 2025
Banking & Finance Turkey’s central bank records second-biggest ever loss The Central Bank of Turkey lost 700 billion lira ($18 billion) last year, its second biggest loss ever after a record 2023. The loss came as the central bank made efforts to defend the Turkish lira while at the same time offering depositors higher interest rates on the local currency versus other currencies, paving the […] April 16, 2025
Economy Tensions in trade and politics weigh on Turkish money markets Political instability in Turkey and tariff-driven global trade tensions are weighing on Turkish money markets as international investors move out of local debt and locals buy up foreign currency. In the three weeks ending April 4, non-resident investors sold $8.5 billion of Turkish debt, according to a report released by the central bank last week. […] April 15, 2025
Agriculture Frost and snow deal blow to Turkey’s biggest export crops Turkey’s agriculture sector is reeling after much of the country was struck by hard frosts last week, damaging vital crops such as hazelnuts and apricots and jeopardising export income. Temperatures plunged between April 10 and 12, with lows of -15C in some regions. More than a third of Turkey’s 81 provinces had frosts and snowfall. […] April 14, 2025
Oil & Gas Turkey expands African energy foothold with Somali agreement Turkey is expanding its presence in the Somali energy sector after striking a deal to conduct preliminary surveys for oil and gas deposits across the African country as it seeks to reduce its reliance on energy imports, notably from Russia. Turkish energy minister Alparslan Bayraktar and his Somali counterpart Dahir Shire Mohamed this week signed […] April 11, 2025
Trade Turkey looks for positives from tariff fallout Turkey is eyeing a potential upside in its international trade as Donald Trump takes on China and much of the rest of the world in a trade war. As one of the countries initially hit with Trump’s baseline 10 percent tariff, many in Turkey had nonetheless forecast export doors to the US would open for […] April 11, 2025
Food & Drink Turkish fish processors adapt as taste for sushi grows Turkish seafood processors are expanding their product range to cash in on new tastes, eating habits and markets, adding the Japanese delicacy sushi to their offerings. Not so long ago sushi was a rarity in Turkey. It featured on the menus of a few Japanese restaurants in tourist areas catering to foreign visitors rather than […] April 11, 2025
Analysis Entrepreneurs Turkish startups scaling up, despite political unrest Turkey’s startups bucked global trends in 2024, posting significant increases in the number of transactions and volumes. Despite the current political turmoil, further growth is forecast for the year ahead. There were 331 transactions recorded last year, compared with 297 in 2023, according to a recent report by financial services firm KPMG. Value increased by […] April 9, 2025
Manufacturing Textile companies in Turkey move to Egypt to compete Producers in Turkey’s once vibrant textiles industry are looking at moving to Egypt and elsewhere to stay afloat in the face of rising costs and fierce international competition. Company closures and job losses mean employment in the textiles sector has dropped below one million for the first time since the height of the Covid pandemic, […] April 4, 2025
Manufacturing Turkey’s auto industry hit hardest by tariffs Turkish exporters expressed mixed feelings on the news of President Donald Trump’s “Liberation Day” tariffs. There was relief that most sectors escaped with just a 10 percent impost, but Turkey’s car and parts producers, one of the country’s leading manufacturing and exporting sectors, were much less happy with the 25 percent tariff on all automotive […] April 3, 2025
Economy Turkish inflation cools but may soon rise again Turkey’s inflation rate eased for the tenth straight month in March, although there are concerns that persistent political unrest could lead to a reversal of this trend in coming months, as the cost of a weaker currency and disruptions to the economy flow into the pricing chain. The consumer price index fell to 38.1 percent […] April 3, 2025
Trade UAE enters the major league of Turkish export markets Turkey’s exports to the GCC bloc rose sharply in February, driven by a strong increase in shipments to the United Arab Emirates. The UAE figures offset falls in sales to some other GCC member states. The numbers were released before the detention two weeks ago of Istanbul mayor and leading opposition figure Ekrem İmamoğlu, which […] April 3, 2025
Renewable Energy Turkey gives five companies go-ahead to build solar cell factories Turkey’s government has approved a series of projects designed to boost the country’s self-sufficiency in renewables technology – and lay the groundwork for exports. Last week, as protests continued in Istanbul and interest rates spiralled, Mehmet Kacır, Turkey’s industry and technology minister, announced that five private sector businesses – Alfa Solar, Astroenergy, CW Solar Cell, […] April 1, 2025
