Trade Turkey hit with tax on Syrian peace dividend Long delays at crossing points, increased bureaucracy and tariff hikes are stifling Turkey’s export flows to Syria, according to critics, as the new government in Damascus tries to unify customs rates at the country’s borders. On January 11 Damascus announced it was standardising duties on imports, with tariffs to be increased by 300 percent or […] January 17, 2025
Construction Turkey to build low-cost housing to ease rent pressures Turkey has unveiled a new scheme to provide affordable homes for low-income earners and first-time buyers aimed at easing inflationary pressures generated by rising rents and helping to support the housing sector. Vice president Cevdet Yılmaz announced on Friday that state housing agency TOKİ would be overseeing the new low-cost housing programme, with work to […] January 14, 2025
Logistics Fall of Assad reopens Syria route to Gulf for Turkey’s truckers The overthrow of the Bashar Al-Assad regime is great news for Turkey’s logistics sector, with hopes that the direct land route to the Gulf region through Syria may soon be re-established. While there will be strong demand for logistics in Syria as the country rebuilds after 13 years of civil war, Turkey’s truckers are looking […] January 13, 2025
Tourism Winter resorts add to Turkey’s tourist hotspots Sun, sand, sea … and ski. Turkey is ramping up efforts to extend its tourism season to a year-round offering by trying to raise the profile of the country’s winter resorts. This way it hopes to attract a new cohort of visitors, seeking the thrill... Register now: It’s easy and free This content is available […] January 10, 2025
Trade Turkey hopes trade deals will protect it from Trump’s tariffs Turkey’s network of trade agreements, combined with its pivotal role as a major regional logistics and services provider, should help it weather any trade policy shifts by Washington in the coming years, according to the country’s finance minister. Speaking at a meeting hosted by the Independent Industrialists and Businessmen’s Association in Istanbul on January 8, […] January 9, 2025
Trade Turkish exporters cashing in on end of Syrian conflict The end of the civil war in Syria is already paying dividends for Turkish exporters. Shipments have increased in the first weeks after the overthrow of the Assad regime, with a further ramping up forecast as stability is established. Turkey’s exports to Syria increased by just under 20 percent year-on-year in December, with more than […] January 9, 2025
Economy Turkish pensions increase falls short of expectations Turkey has increased payments on pensions, but observers say the latest rise does not keep up with the cost of living. On January 7 Vedat Isıkhan, the labour minister, announced that the minimum monthly state pension would be increased by 15.75 percent, taking the base rate payment to TL14,469 ($409). A second increase, forecast to […] January 8, 2025
Economy Turkey seeks to curb foreign-currency borrowing The central bank of Turkey has further tightened access to foreign currency borrowing by businesses, while opening the door for an increase in some lira-denominated commercial loans. The country’s central bank last week announced it was lowering its ceiling on foreign currency loan growth to 1 percent a month, down from the previous upper limit […] January 7, 2025
Oil & Gas Turkey hopes to offer Russia a gas route into Europe Turkey hopes it can cash in on Ukraine’s decision to halt gas exports from Russia across its territory by offering Moscow an alternative route into Europe through its own network of pipelines for increased transit fees. In the short term, however, its ambitions may be restricted by gaps in infrastructure. As of January 1, Russian […] January 3, 2025
Trade Turkey hikes tariffs on Chinese cars to boost investment Turkey has accelerated its policy of targeted tariffs on Chinese vehicles, increasing levies on gasoline and hybrid model imports. Industry insiders believe the move is designed to protect local manufacturers and encourage Chinese investors to set up in the country, even though it is likely to further anger Beijing. The Ankara government announced that tariffs […] January 3, 2025
Economy Poorest parts of Turkey to get $14bn investment The Turkish government has revealed plans to invest more than $14 billion into the country’s underdeveloped southeast. Spending will be ramped up in the nine of Turkey’s 81 provinces that constitute the area close to the borders of Syria and Iraq, traditionally the poorest in the country, with funding to be provided for 200 projects. […] December 31, 2024
Economy Turkey minimum wage hike sparks inflation and strike threats Turkish workers on the minimum wage will receive a 30 percent pay increase from January 1, fuelling inflation but still well short of the expectations of opposition and unions who are threatening to go on strike. The government announced the pay increase late on December 24, following a series of meetings between representatives of the […] December 30, 2024
Economy Turkish central bank surprises with large rate cut Turkey’s central bank has cut its key lending rate by a higher than expected 250 basis points. The bank lowered its lending rate to 47.5 percent on December 26, down from the 50 percent it has stood at since March. This is the first reduction in nearly two years and a sign that the bank […] December 27, 2024
Analysis Energy Turkey closing in on nuclear energy aspirations Turkey’s first nuclear power plant reactor will come online in 2025, two years behind schedule, the country’s energy minister has confirmed. Three more will follow in the next three years as part of Turkey’s efforts to diversify energy production and reduce carbon emissions. The first reactor at the $20 billion Akkuyu nuclear power plant, in […] December 26, 2024
Analysis Economy The pros and cons for Turkey of a Syrian exodus The end of the civil war in Syria will, at least in time, offer strong economic opportunities for neighbouring Turkey, though there could also be a few unwanted costs coming as part of any peace dividend. On December 10 Turkish officials said they were developing plans to support up to 2 million of the 3.2 […] December 12, 2024
Construction Turkish builders sense opportunity in Syria Turkey’s construction sector is hoping to build on the rubble of the collapsed Assad regime in Syria. There are high expectations that Turkish companies will be in the running to win valuable contracts to replace damaged housing and infrastructure. There were sharp rises in building shares on the Istanbul Stock Exchange on December 9, the […] December 10, 2024
Transport Turkish electric vehicle sales up 39% in a year Turkey’s electric vehicle market is expanding rapidly, with sales increasing almost 39 percent year on year as new models become available and supporting infrastructure is put in place. The rise is in contrast to conventional car sales, which are showing modest growth compared to their greener rivals. Turkey is also bucking global trends, which has […] December 9, 2024
Manufacturing Turkish arms exports up 19% year on year Turkish defence companies have posted another record-breaking year for exports, with a 19 percent increase year on year and sales to 178 countries. Sales from January to November this year have already eclipsed 2023’s total of arms and equipment shipments to overseas clients, reflecting the arms industry’s technical developments and broader product range. Defence and […] December 5, 2024
Economy Rate cut for Turkey in balance as inflation stays high Despite higher than expected inflation in Turkey in November, the window may remain open for the central bank to cut its key lending rate before the end of this year. Turkey’s annualised inflation rate fell back to 47.1 percent in November, data issued by the statistics agency Turkstat on December 3 showed, down from October’s […] December 3, 2024
Trade Oman and Turkish pension fund launches $500m JV A new container port in the southern Turkish city of Iskenderun is to be the first project in a joint venture worth $500 million between one of Turkey’s leading retirement funds and Oman’s sovereign wealth agency. The Oman Investment Authority (OIA) and the Turkish military pension fund Oyak plan to invest in a range of […] December 3, 2024
Economy Turkish growth slows as anti-inflation measures bite Turkey’s economy shifted down another gear in the third quarter, as government efforts to curb demand cut deeper into business and consumer activity. GDP increased by 2.1 percent in the third quarter, slowing from 2.4 percent in the second quarter, according to the official agency Turkstat. Growth in most sectors was either flat or slowing. […] November 29, 2024
Energy Turkey asks US to allow payments to sanctioned Russian bank Turkey is seeking an exemption to new sanctions imposed against Moscow by the Biden administration that would mean payments for imports of Russian natural gas are blocked, potentially cutting energy supplies and undermining the Turkish economy. Washington announced sanctions against Gazprombank, which is part-owned by Russian state gas producer Gazprom, on November 21 this year. […] November 27, 2024
