Erdoğan: “Even if we halt all our other payments, we will not be able to provide our retirees with the pension hikes they have been promised”
Following a cabinet meeting on Monday (March 4), President Recep Tayyip Erdoğan criticized opposition promises to significantly hike pension payments, saying that such a hike would not be feasible even if other cuts are made. Referring to an opposition proposal to significantly hike pension payments, Erdoğan said “In recent days I have explained how opposition promises to […]
Economist Daron Acemoğlu criticizes Turkish Central Bank inflation numbers as ‘unrealistic’
Massachusetts Institute of Technology (MIT) economics professor Daron Acemoğlu spoke to Reuters last week regarding inflation figures announced by Turkey’s Central Bank (TCMB) for February, as well as their projections for the remainder of 2024, describing the numbers as ‘unrealistic’. The numbers released by Turkey’s central Bank at the end of February forecast inflation peaking at […]
Bloomberg: Turkey’s export index rating shows small increase but remains negative
According to the Istanbul Chamber of Industry’s Manufacturing Sector Export Climate Index, Turkey’s export rating has increased slightly from a 49.5 rating in November to a 49.7 rating in December. Despite the small increase, the rating remained below 50.0 for the fifth consecutive month. According to Bloomberg, the report stated that ongoing economic weakness in the […]
MIT Economist Daron Acemoğlu warns of ‘collapse’ amidst Turkish economic problems, brain drain
In a recent interview with Turkey’s Cumhuriyet newspaper, Massachusetts Institute of Technology (MIT) economics professor Daron Acemoğlu accessed Turkey’s current economic outlook as minimum wage talks continue. Regarding the increasing emigration of young Turks abroad, Acemoğlu said “When just a few people emigrate abroad, it is not a problem. But when emigration is this high, it opens […]
Turkey’s central bank delivers smaller rate hike
Turkey’s central bank announced a smaller interest rate hike than in previous months on Thursday, signalling it is nearing the end of its monetary tightening as it battles double-digit inflation. The bank lifted its policy rate by 2.5-percentage-points to 42.5 percent. This compares to five-point hikes in previous months. The bank said it reduced the […]
Turkey’s housing crisis: Prices are highest globally, tensions between tenants and landlords increasing
According to a report by Euronews, Turkey is currently experiencing the most significant increase in housing prices among 56 countries analyzed by the real estate consultancy firm Knight Frank. Housing costs in Turkey surged by 133% compared to the same period in 2022. In an interview with Medyascope, Attorney Ali Güvenç Kiraz commented, “Of course, […]
Turkish Central Bank’s recent decision to raise interest rates attracts interest from foreign investors
Last week, Turkey’s Central Bank (TCMB) announced an interest rate hike from 17.5% to 25%, in a move seen by many as a piece of a return to economic orthodoxy following President Recep Tayyip Erdoğan’s victory in May’s elections. Aimed at curbing runaway inflation of the Turkish Lira, last week’s rate hike was the third such increase since June. […]
Economist Daron Acemoğlu’s take on the Turkish Central Bank’s interest rate hike: “Challenging days ahead for Turkey”
Last Thursday, the Turkish Central Bank made a significant move, raising its policy rate from 17.5% to 25% in an effort to combat Turkey’s persistent inflation problem. Economist and author Daron Acemoğlu applauded this decision but added a cautionary note, stating, “It’s a step in the right direction, but it remains uncertain if it will […]
Turkish central bank raises interest rates to 25%
Turkey’s central bank (TCMB) announced Thursday afternoon (August 24) an interest rate hike from 17.5% to 25%. The announcement was made following a meeting by the Monetary Policy Committee (PPK). The increase was the third under the tenure of central bank president Hafize Gaye Erkan, who took office in June. The first increase following Turkey’s […]
The Great Exodus 6: “We have seen that another life is possible”
A significant number of the people interviewed for this series had spent time abroad on different occasions before, but had always returned to Turkey at some point, often eagerly. This time, things seem different. Perhaps due to their expectations of what lies ahead in Turkey’s current outlook, many have emigrated without plans to return. Işık, an […]
Turkish regulatory agency announces new restrictions on credit card payments for international purchases
Turkey’s Banking Regulation and Supervision Agency (BDDK) announced late Monday (July 31) new restrictions on credit card purchases aimed at ‘strengthening financial stability’. The restrictions announced Monday by the agency indicate that deferred monthly payment plans will no longer be available for purchases such as airline tickets, services at travel agencies, or accommodation made overseas. Announcing […]
Turkey, United Arab Emirates sign a series of agreements totaling $50.7 billion
The hefty deal between the two neighbors is the latest indication of warming Turkish-Emirati ties. Turkish President Recep Tayyip Erdoğan’s visit to Abu Dhabi yesterday (July 19) included the signing of 13 agreements between Turkey and the UAE in various fields. A statement from Erdoğan’s Communication Minister said the following regarding the deal: “We’ve decided […]