Turkish economy: Timely reporting and analysis of economic developments in Turkey with all its structural problems, as one of world’s 20 biggest economies
Emerging markets’ currencies depreciate rapidly during times of crisis. This is because the risk appetite declines during crisis and emerging markets experience capital outflows. Those with macroeconomic imbalances are affected the most.Because Turkey was far from achieving price stability when COVID-19 crisis hit, it is experiencing more problems on the currency front. The rate cuts
When I started compiling information to write this article, 1 US dollar was 7.24 Turkish lira level. As I was writing these lines, the dollar had increased to the level of 7.25 liras. When Treasury and Finance Minister Berat Albayrak was brought to office by President Tayyip Erdogan, who is also his father-in-law, on June
Prominent U.S. think tank, the Atlantic Council, held a remarkable video conference on April 30, looking into Turkey’s relations with the U.S. as well as its economic trajectory. The meeting was striking because of two main reasons. The Turkish government wanted to be among the countries benefiting from the convenient SWAP option to ease the
In the inflation report that came on April 30, Turkish Central Bank (CBRT) revised its inflation forecast for 2020 from 8.2 percent to 7.4 percent. The forecast for 2021 is kept constant at 5.4 percent.How realistic is this revision? In the short run, the downfall in demand and the fall in oil prices may dominate
The Covid-19 pandemic has a growing negative impact on economies all around the world. In an earlier study, we estimated the possible output and employment effects of the Covid-19 pandemic in Turkey. Our predictions, based on an analysis using the 2012 IO table and the 2017 output and employment data, suggested that the non-agricultural labor
COVID-19 has quickly become a global pandemic. The virus does not travel, but people do. And the virus is spread through contact with contagious people. Therefore, many governments resort to social distancing measures and some apply regional lockdowns. However, a significant slow-down of economic and social activities all around the world causes significant hardship for
In my earlier piece, I had mentioned our ongoing research that investigates the economic costs of delaying a full lockdown . In this piece, I would like to share the preliminary results from that research that explores the effects of COVID-19 on the Turkish economy and proposes policy recommendations. In addition to myself, the research
Columnist Uğur Gürses has discussed in an article at Duvar English the state of the Turkish economy at the start of the Covid-19 outbreak. “Turkey was caught with the coronavirus outbreak at a time when it was weak structurally. Just like in the Covid-19 epidemic, the underlying disease story is the story of those problems
We all know that Covid-19 is a humanitarian problem, and containing the pandemic as soon as possible is an urgent obligation to save human lives.From an economic perspective, the total cost of containing the pandemic immediately is less than that of isolation policies that are put into delayed practice.The economics profession unanimously agrees that the