Finance Turkey’s minimum wage hike may elevate inflation further Turkey’s larger-than-expected minimum wage hike, which impacts some seven million workers, is expected to push already elevated inflation even higher in the coming months, economists and sector officials said. Labour Minister Vedat Isikhan said on Wednesday the monthly minimum wage will be TL17,002 ($578) in 2024, a 49 percent increase from the level determined in […] December 29, 2023
Finance Turkey hikes monthly minimum wage by 49% Turkey is increasing its monthly minimum wage by just under half, to TL17,002 ($578) from January 1 2024. The increase is likely to boost purchasing power among workers, more than a third of whom earn the minimum wage. The announcement came after the country’s labour and social security minister, Vedat Işıkhan, discussed the issue with […] December 28, 2023
Economy Turkey aims to be among top rare earth producers Turkey plans to boost its production of rare earth elements and be among the top five producers in the world, its energy and natural resources minister, Alparslan Bayraktar, has announced. The country uncovered the world’s second-largest rare earth element reserve in Eskişehir’s Beylikova district in 2022, the Daily Sabah newspaper reported. The reserves of ore […] December 27, 2023
Energy Turkey to invest $10bn for electricity grid expansion Turkey intends to invest $10 billion in the electricity grid by 2030 as part of its 2024-2030 energy efficiency plans, according to energy and natural resources minister Alparslan Bayraktar. Ankara aims to reduce 100 million tonnes of carbon emissions as part of this plan, which will likely be issued next month, state-run Anadolu Agency reported. […] December 27, 2023
Industry Turkey invites China’s Chery to develop electric vehicles Turkey has invited Chinese carmaker Chery to invest in developing electric vehicles (EV) in the country, according to industry and technology minister Fatih Kacır. “I invited the brand, which produced 250,000 vehicles last month, to invest in our country,” Hurriyet Daily News reported, citing the minister’s post on social messaging platform X. “We will continue […] December 25, 2023
Finance Turkey aims for single-digit inflation by 2026 Turkey is expecting annual inflation to drop to single digits by the end of 2026, according to treasury and finance minister Mehmet Simsek. Inflation is currently at 65 percent and is expected to drop to 36 percent next year and 14 percent in 2025, Daily Sabah newspaper reported, citing Simsek’s speech at the Turkuvaz Media […] December 24, 2023
Finance Turkey continues to hike policy rates to tame inflation Turkey’s central bank increased its key policy rate by 250 basis points to 42.5 percent to combat inflation. Headline inflation edged up in November, but remains in line with the outlook presented in the recent inflation report, it added. The annual inflation rate surged to 61.98 percent in November, its highest level this year, data […] December 22, 2023
Finance Turkey secures $100m for post-quake reconstruction The Industrial Development Bank of Turkey (TSKB) has secured a $100 million loan from the Jeddah-based Islamic Development Bank (IsDB) Group to reconstruct earthquake-affected regions. The financing from the IsDB Group will support private sector investments in 17 earthquake-affected provinces. The loan will play an important role in fostering the sustainable economic recovery of the […] December 21, 2023
Economy Turkish lira expected to weaken further in 2024 Turkey’s currency will weaken by about one-third versus the dollar next year to hit new all-time lows, analysts predict, as a sharp increase in interest rates does little to tame domestic inflation or convince Turks to hold the ailing lira. The tenure of Hafize Gaye Erkan, Turkey’s central bank’s governor appointed in June, may also […] December 19, 2023
Transport UAE’s AD Ports plans to buy stake in Turkish port The UAE’s state-owned AD Ports Group intends to invest in a new company proposed by Turkey’s sovereign wealth fund to run the Aegean coast port of Izmir. Although the stake size is unclear, the deal could be worth $500 million, Reuters reported, citing an unnamed source. Turkey Wealth Fund is seeking new investment in the […] December 18, 2023
Transport Turkish Airlines places order for 220 Airbus aircraft Turkish national carrier Turkish Airlines is expanding its fleet size by purchasing more than 200 Airbus aircraft. The order comprises 150 Airbus’ A321s and 70 A350 widebody aircraft (50 A350-900s, 15 A350-1000s and 5 A350F freighters), the European airline manufacturer said in a statement. This follows two orders from the airline for 10 A350-900s in […] December 17, 2023
Sustainability Turkey sets up green fund with $155m World Bank loan Turkey has set up its first green venture capital fund to support its target of net zero by 2053. The Industrial Development Bank of Turkey (TSKB) has secured a $155 million loan from the World Bank for the Turkey Green Fund (TGF). The financing was secured under the Turkish ministry of treasury and finance guarantee, TSKB said in […] December 15, 2023
Analysis Trade Turkey sets bold targets for trade with the Gulf Turkish e-commerce marketplace Trendyol has announced a plan to lift sales across the GCC – one of the latest developments as Turkey seeks to increase trade with the Gulf. The fashion and lifestyle platform will be rebranded for Gulf markets under a deal with Saudi retail group Cenomi. The pair hope to increase annual orders […] December 14, 2023
Energy Turkey to power first unit of Akkuyu nuclear plant Turkey’s nuclear regulator has approved a commissioning permit for the country’s first nuclear power-generating unit. The Akkuyu nuclear power plant is being constructed by Russia’s state-owned Rosatom in Mersin province on the southern Mediterranean coastline. The bid documentation for the permit was sent to the Council of the Nuclear Regulatory Agency (NDK) in two stages. […] December 13, 2023
Employment Turkey’s unemployment rate at lowest level in 11 years The unemployment rate in Turkey fell to 8.5 percent in October, down 0.5 percentage points month on month, its lowest level since November 2012. The number of unemployed persons (15 years old and over) decreased by 163,000 to 2.96 million month on month. The rate was estimated at seven percent for men and 11.3 percent […] December 12, 2023
Industry Renault to invest $431m to make new models in Turkey Renault Group will invest $430.92 million by 2027 to produce four new models in Turkey, including a new low-cost SUV, according to a local media report. The new models will be made in collaboration with the French carmaker’s local partner Oyak at their site in the northwestern Bursa province of Turkey, Daily Sabah newspaper reported. […] December 11, 2023
Finance Turkey and Qatar aim to double trade to $5bn Turkey and Qatar have set a $5 billion bilateral trade target, more than double the level reported last year, a Turkish minister has confirmed. The figure is expected to be reached once the trade and economic partnership agreement between the two countries comes into force, Turkish trade minister Ömer Bolat said on the social messaging […] December 6, 2023
Finance Turkey’s total reserves reach record high of $140bn The Turkish central bank’s total reserves have jumped to a record level exceeding $140 billion, five bankers’ calculations showed on Tuesday, sustaining an uptrend after it adopted more orthodox policies following May elections. The rising reserves, alongside 3,150 basis points in interest rate hikes since June, have marked a departure from years of unorthodox and […] December 6, 2023
Saudi schools ‘doing better at maths but still lagging behind’ Saudi Arabia’s schools have improved in the past few years, but are still below the international average and a long way behind the best performers, according to the OECD. Teenagers from 81 countries were tested for the OECD Programme for International Student Assessment (Pisa), which published its 2022 report on Tuesday. The tests measured the […] December 5, 2023
SPECIAL REPORT Real Estate Turkish housing crisis persists despite construction surge Activity in the Turkish construction industry is picking up pace, fuelled by the need to rebuild after the February earthquakes — but economic woes mean the road could be long, experts tell AGBI. Even before the February earthquakes, which killed 50,000 people, injured 100,000 more, and made 3 million homeless overnight, the country of 83 […] December 5, 2023
Finance Turkish inflation hits highest in 2023 as housing costs soar Turkey’s annual inflation rate surged to 61.98 percent in November, its highest level this year, according to data released by the Turkish Statistical Institute. Consumer price inflation (CPI) rose 3.28 percent month on month, beating a Reuters poll forecast of 3.9 percent. The higher inflation was due to an 11 percent climb month on month […] December 5, 2023
Aviation Turkish Airlines to have ‘third largest fleet’ by 2033 State-owned Turkish Airlines is planning to increase its fleet size to 813 aircraft by 2033 as part of its expansion drive, a local media report said. The additions over the next decade will make it an airline with the “third largest fleet”, Daily Sabah newspaper reported, citing CEO Bilal Ekşi’s speech at an event in […] December 4, 2023
