Crisis in Turkey: Finance minister wields the fiscal hammer

Will Conroy in Prague August 16, 2018

No capital controls, no IMF, says Albayrak. But analysts warn he could be in for a rude awakening somewhere down the road.

Turkey obliged to repay $179bn in foreign debts within one year as of end-June

bne IntelliNews August 16, 2018

With the jury out on whether Turkey's currency crisis will morph into a debt crisis, data shows public sector facing repayments of around $32bn and the private sector $146bn.

Turkey: Hard landing forecast as industrial output growth slumps

Akin Nazli in Belgrade August 16, 2018

June’s weak expansion of 3.2% y/y and currency crisis portend recession and jump in banks' non-performing loans.

Russia and Turkey step up fight against dollar’s dominance in trade

Ben Aris in Berlin August 16, 2018

Like Moscow, Ankara has fallen out of the top 30 largest holders of US T-bonds. Iran and China are also on board with the idea of settling transactions in national currencies.

Annual home sales growth in Turkey falls to 7% in July, mortgage sales down 21% y/y

bne IntelliNews August 15, 2018

Construction industry has already started showing signs of a slowdown ahead of expected monetary and fiscal tightening amid Turkey's financial crisis.

Turkey’s unemployment rate edges up to 9.7% in May

bne IntelliNews August 15, 2018

Joblessness among youth rises sharply from 16.9% to 17.8%.

Turkey’s budget deficit expands 85% y/y in January-July

bne IntelliNews August 15, 2018

Shortfall is likely to widen due to economic weakness and, probably, a modest loosening of fiscal policy, say analysts.

Crisis in Turkey: Is Qatari capital injection merely a sticking plaster?

Will Conroy in Prague August 15, 2018

As the Turkish lira rallies to stronger than 6 to the dollar, analysts debate the significance of $15bn from Doha.

UK with top exposure to Turkish private sector foreign loans

Akin Nazli in Belgrade August 15, 2018

EBRD tops single lender list issued amid Turkey’s currency crisis.

Turkey raises stakes in “economic war” with tariff hikes on US goods

Will Conroy in Prague August 15, 2018

Vice-president speaks of "retaliation for conscious attacks on our economy ". The lira, meanwhile, continues to rebound.

Turkish central bank’s hidden rate hike gives lira a shot in the arm

Akin Nazli in Belgrade August 14, 2018

Markets wonder whether President Erdogan, who notoriously opposes costlier credit, is aware of what the regulator is up to. Experts warn of “side effects”.

Turkish lira pulls back 5% from death spiral, Erdogan declares US electronics boycott

Will Conroy in Prague August 14, 2018

Currency experiences relief rally as situation mildly stabilises, Turks nervously await Trump’s response to president’s move against American merchandise.

Turkey may exit Nato by year’s end say retired admirals and generals

bne IntelliNews August 14, 2018

Survey report from New York-based Academy Securities notes Ankara’s increasing cosiness with Moscow and rows with the US.

Emerging markets ask how contagious Turkey's currency and debt malady might be

Ben Aris in Berlin August 13, 2018

Economic contagion experts are sizing up Turkey’s meltdown against the 1997 Asian Financial Crisis which caused the Russian economy, and others, to collapse. With the Turkish lira in freefall should other emerging markets be feeling the jitters?

Turkish market turmoil: central bank moves bring little respite, lira bashed again as Erdogan points finger at US

Akin Nazli in Belgrade August 13, 2018

Technocrats scramble for effective remedial measures, president hits out at White House for seeking to “stab your strategic partner in the back”.

I remember how brutal Turkey’s last dollar crisis was—but so does President Erdogan

By JamesInTurkey.com August 13, 2018

Michael Daventry recalls the torturous slog and loss of dignity that followed the country’s 2001 currency collapse—and led to the rise of a then little-known leader. Could history repeat itself?

MOSCOW BLOG: Turkey's crisis a golden opportunity for the Kremlin

Ben Aris in Berlin August 13, 2018

Turkey finds itself in tremendous economic peril and Donald Trump’s actions only serve to aggravate the situation. The Kremlin may sense a shot at breaking up Nato. And analysts even see the possible emergence of an anti-US “axis of the sanctioned”.

Turkey’s current account gap contracts 22% y/y in June, FX reserves down $7bn

bne IntelliNews August 12, 2018

The first annual reduction since August last year confirms signs of rebalancing, just as Turkey looks set to fall into an out and out financial crisis.

‘Crisis? What crisis?’ says Turkey’s Erdogan

bne IntelliNews August 12, 2018

Turkish lira crashes to astonishing all-time low of 7.24 to the dollar in early trading but if Turkey's leader is to be believed there is no possible economic explanation for it.

Turkey’s economy in meltdown, bank failures can’t be ruled out

Will Conroy in Prague August 11, 2018

Lira’s death spiral looks set to spark undeniable debt and liquidity crisis.