Banking & Finance Turkey’s current account deficit widens to $9.9bn in January Turkey’s current account deficit widened to $9.85 billion in January, data from the central bank showed, the highest level in four decades of available data, driven by a soaring energy bill and gold imports. It was the highest monthly deficit since 1984, the first year for which such data is available, according to central bank […] March 14, 2023
Manufacturing Turkish factory activity rises in January after falling for 2 months Turkish industrial production expanded 4.5 percent year-on-year in January, more than expected, data showed on Friday, returning to growth after two months of decline due to a global economic slowdown. Industrial output expanded 1.9 percent month-on-month in January on a calendar and seasonally adjusted basis, data from the Turkish Statistical Institute showed. In a Reuters […] March 12, 2023
Manufacturing Turkey’s southeast exodus after quake puts manufacturing at risk Mehmet Alkan, a shoe-sole manufacturer in Turkey’s earthquake-hit south, doesn’t know what will become of his company after some of his 220 employees died and half fled, reflecting the difficult transformation ahead for industry in the region. Forty of his workers and some families sheltered for a while in the undamaged Alkan Taban factory in […] March 12, 2023
Banking & Finance Turkish lira falls to record low near 19 to the US dollar Turkey’s lira weakened to a fresh record low of 18.9620 against the dollar on Thursday, as investors weigh the economic impact of massive earthquakes that hit the country last month. Presidential and parliamentary elections scheduled for May 14 are adding to uncertainty. They will determine whether Turkey continues with unorthodox policies under President Tayyip Erdogan […] March 10, 2023
Economy Turkey’s current account forecast to hit $43.5bn in 2023 Turkey is expected to record a current account deficit of $10 billion in January on the back of gold imports, a Reuters poll showed, while the deficit was seen at $43.5 billion in 2023. In a Reuters poll, the median estimate of 11 economists for the current account deficit in January was $10 billion, with […] March 9, 2023
Banking & Finance UN official puts Turkey’s quake damage at over $100bn Damage caused by a devastating earthquake in Turkey will exceed $100 billion, a UN Development Programme official told a press briefing ahead of a major donor conference next week. “It’s clear from the calculations being done to date that the damage figure presented by the government and supported by international partners would be in excess […] March 8, 2023
Energy Turkey eyes investments of $40bn for second nuclear plant Turkey expects to receive $40 billion worth of investment for the country’s second nuclear power plant (NPP) in Sinop province in the Black Sea region. The project manager Elektrik Uretim, renamed Tunas, plans to commence excavations at the site this year after finalising investment negotiations with technology companies, Daily Sabah newspaper reported. The plant will […] March 7, 2023
Tech Turkish watchdog fines Elon Musk over Twitter takeover Turkey’s competition authority has fined billionaire Tesla owner Elon Musk for taking over Twitter without its permission. The competition authority said it fined Musk 0.1 percent of Twitter’s gross income in Turkey in 2022. Musk’s takeover did not effectively violate competition, but was still fined for not taking the authority’s permission, the Daily Sabah newspaper reported. […] March 7, 2023
Banking & Finance Saudi deposits $5bn in Turkey’s central bank Saudi Arabia has made a $5 billion deposit into the central bank of Turkey to support its economy. The deposit, first pledged in November, comes after the devastating impact of last month’s earthquake. It was made on Monday through the Saudi Fund for Development (SFD) and will “contribute to bolstering the Turkish economy by addressing […] March 6, 2023
Economy Turkey working to renew UN-backed Black Sea grain deal Turkish foreign minister Mevlut Cavusoglu has said that Ankara is working hard to extend a UN-backed initiative that has enabled Ukraine to export grain from ports blockaded by Russia following its invasion. The Black Sea Grain Initiative brokered by the United Nations and Turkey last July allowed grain to be exported from three Ukrainian ports. […] March 6, 2023
Real Estate Turkish building’s fatal collapse blamed on permit violations The Trend Garden Residence, an upscale serviced apartment building in the Turkish city of Malatya, boasted a gym, freshly-furnished rooms and a roof-top cafeteria. But when a powerful earthquake jolted the city in the early hours of Feb. 6, the seven-floored building disintegrated, killing 29 people, according to two government officials. It was as if […] March 5, 2023
Economy UAE-Turkey Cepa deal to boost non-oil trade to $40bn The UAE and Turkey have signed a comprehensive economic partnership agreement that is expected to boost the value of non-oil bilateral trade between the two countries to $40 billion in the next five years. Signed by Turkey’s minister of trade Mehmet Muş and Abdulla bin Touq Al Marri, minister of economy of the UAE, the […] March 3, 2023
Banking & Finance Goldman says Turkey may face pre-election FX market turmoil Goldman Sachs has warned of the potential for foreign exchange market instability in the run up to Turkey’s elections following years of currency reserve depletion and other costly measures. While not its base case, the Wall Street bank said problems could be triggered if savers and firms became worried that a shift to more orthodox […] March 2, 2023
Tech Turkey fines TikTok for weak data protection measures Turkish authorities have fined TikTok 1.75 million lira ($93,000) for not taking sufficient measures to protect users from unlawful processing of their data, the Personal Data Protection Board (KVKK) said on Wednesday. The fine comes amid growing international concern over the Chinese short video-sharing app and who accesses its user data. Government institutions in Europe […] March 2, 2023
Economy Turkey’s earthquakes revive concerns over industrial heartland Earthquakes in southeastern Turkey that destroyed cities and killed 44,000 people have prompted authorities to look again at how the quake-prone nation might cope with a similar tremor in Turkey’s densely populated, northwestern industrial heartland. Istanbul, Turkey’s biggest city with a population of 16 million and the country’s commercial engine, lies near fault lines that […] March 1, 2023
Economy World Bank says quakes caused $34.2bn damage in Turkey The two major earthquakes which hit Turkey on February 6 caused about $34.2 billion in direct physical damage, but total reconstruction and recovery costs facing the country could be twice as high, the World Bank said on Monday. The bank estimates that the earthquakes would also shave at least half a percentage point off Turkey’s […] February 28, 2023
Banking & Finance Turkish economic confidence down slightly following quakes Turkey’s economic confidence index fell 0.3 percent month-on-month in February to 99.1 points, following massive earthquakes that devastated the country’s southern region, data from the Turkish Statistical Institute showed on Monday. The index, which points to an optimistic outlook when above 100 and pessimistic when below, hit a record low in 2020 before recovering as […] February 28, 2023
Tourism Turkey’s tourism beats pre-Covid levels as January arrivals up 57% Tourist arrivals in Turkey have crossed pre-Covid levels in the first month of 2023, a local daily reported. The number of foreign visitors arriving in January jumped 56.51 percent from a year earlier to two million, Daily Sabah newspaper said, citing the Culture and Tourism Ministry. Foreign visitors reached 1.28 million in January 2022, compared […] February 27, 2023
Development Turkey begins to rebuild homes following devastating quakes Turkey has begun work to rebuild homes following this month’s devastating earthquakes, a government official said on Friday, as the combined death count in Turkey and Syria surpassed 50,000. More than 160,000 buildings containing 520,000 apartments collapsed or were severely damaged in the February 6 earthquakes that killed tens of thousands in Turkey and neighbouring Syria. […] February 26, 2023
Economy Turkish central bank cut rates to cushion earthquake impact Turkey’s central bank cut its main interest rate to 8.5 percent from nine percent on Thursday, moving to cushion the economic impact of a devastating earthquake that killed more than 43,000 people in country’s south on February 6. The cut was expected following the disaster, though some economists had predicted a considerably bigger reduction. “It […] February 24, 2023
Economy Earthquake to keep Turkish inflation above 40% Turkey’s devastating earthquake will keep inflation above 40 percent in the run-up to elections scheduled for June and will necessitate an additional budget, a government official and four economists said. They predict that the February 6 earthquake, which killed more than 43,000 people in Turkey, will cost the economy more than $50 billion, in line […] February 24, 2023
Economy Turkey supports jobs and wages in earthquake-ravaged south Turkey has launched a temporary wage support scheme and banned layoffs in 10 cities to protect workers and businesses from the financial impact of the massive earthquake that hit the south of the country. A 7.8 magnitude earthquake on February 6 killed more than 47,000 people in Turkey and Syria, damaged or destroyed hundreds of […] February 23, 2023
