Turkish Economy - News & Updates

[Mr.Department]

And this means we will surpass the said countries? Also dont forget the current inflation.

This argument is not valid according to modern economic theories you can grow with inflation.
EU Central Bank is forcing inflation.
But it is a balance act.

ftp://alpha3.unipv.it/new/q79.pdf

 

[xenon54 out]

When we compare those countries' growth rate and foresights for growth rates and Turkey, i think it is very feasible for Turkey to certainly pass countries like Spain, Canada and Australia within 15 years. Even right now we are close to their economies in nominal GDP. But it depends on political stability etc

Canada has double as much nominal GDP as Turkey which means if Canada grows 1% Turkey needs to grow 2% just to keep up with it.
Lets assume Turkey grew 3% theres no way Turkey is gonna catch up anytime soon with such numbers.

Btw: the last groth numbers for 16 were in Lira, in Dollar the economy shrinked a couple precent but its only said ''economy grew 4%'' while not mentioning in which currency.
Keep in mind the devaluation of Lira and high inflation.

Notice dollar based growth:

 

[KediKesenFare3]

Inflation is just a symptom. It's true that Turkey could theoretically catch up with Spain (not Canada). This would result in a noticeable income increase for the average Turkish citizen = another 15 years of secured AKP ruling.

To achieve this goal, we don't necessarily need high growth rates. If the Lira only recoups the half of its losses against the USD, approximately 300 to 400 b USD would be added to our economy. But as long as Mr. Erdoğan prints Liras and sets the interest rate artificially low, this won't happen.

It's ironic. He could achieve his self-proclaimed goals at least partially if he changes his own policy.

However, I'm trying to be fair critic, thus I have to admit that there are actually signs of fundamental changes in the government monetary policy.

 

[Swezu]

http://aa.com.tr/en/asia-pacific/china-agrees-to-discuss-turkey-joining-shanghai-group/817051

 

[Mr.Department]

http://aa.com.tr/en/asia-pacific/china-agrees-to-discuss-turkey-joining-shanghai-group/817051

Buddy, we are in free fall now. Severe economic crisis could happen 2017. I am pessimistic.
I lost my optimizm since 2 weeks after the severe dispute with the USA.

 

[Swezu]

Buddy, we are in free fall now. Severe economic crisis could happen 2017. I am pessimistic.
I lost my optimizm since 2 weeks after the severe dispute with the USA.

Never loose hope brother.

 

[Mr.Department]

Never loose hope brother.

I hope so. Whom can we trust ? EU, USA, Russia or whom. Türkün Türk'ten baska dostu yoktur. Also this is no more true, look inside our society and domestic young people. 80% imitating Arabs or European, egoistic, low level and less background. Maybe the rest of 20% of trustable can secure our country.

http://www.dunyabirmasaldir.com/201...omik-krizi-potansiyeli-dolar-8tlyi-gorebilir/

 

[anatolia]

I hope so. Whom can we trust ? EU, USA, Russia or whom. Türkün Türk'ten baska dostu yoktur. Also this is no more true, look inside our society and domestic young people. 80% imitating Arabs or European, egoistic, low level and less background. Maybe the rest of 20% of trustable can secure our country.

http://www.dunyabirmasaldir.com/201...omik-krizi-potansiyeli-dolar-8tlyi-gorebilir/

adam psikoloji okumus cikmis ulke batacak diyor.herkez isini yapsin bence

 

[Mr.Department]

adam psikoloji okumus cikmis ulke batacak diyor.herkez isini yapsin bence

Yes, but economy and psychology is going parallel. Remember the " constitution book affair" at Ecevit's time,
next days we had 1000 % interests rate and almost all lost 70 % of their money value.
The graphical explanation from him is trustable, he uses same technic as Yigit Bulut does.
I hope that this scenario never happens. But I am scared that my country collapses as before 17 years.
If so, we would loose the future of a whole generation.
That's what I fear.

 

[Inspector Spacetime]

Buddy, we are in free fall now. Severe economic crisis could happen 2017. I am pessimistic.
I lost my optimizm since 2 weeks after the severe dispute with the USA.

Unless there is a bubble, I wouldn't worry too much. Besides, we had a attempted coup in 2016 and despite that the Turkish economy grew. And @xenon54 is right, Turkey needs to grow more than 3%. I think the reason for a lower growth rate is because of the failed coup and many elections since 2015, and the current state of emergency (OHAL). I think this will change for the better after 2017. And after the recent referendum, the government stated that they will mainly focus on economy and that new economic reform packages are on the way, so I'm keeping an eye out for that.

And when there is lasting peace and stability in Syria and Iraq, I speculate that economic growth will soar in Turkey. But that's a whole different subject.

 

[Mr.Department]

Unless there is a bubble, I wouldn't worry too much. Besides, we had a attempted coup in 2016 and despite that the Turkish economy grew. And @xenon54 is right, Turkey needs to grow more than 3%. I think the reason for a lower growth rate is because of the failed coup and many elections since 2015, and the current state of emergency (OHAL). I think this will change for the better after 2017. And after the recent referendum, the government stated that they will mainly focus on economy and that new economic reform packages are on the way, so I'm keeping an eye out for that.

And when there is lasting peace and stability in Syria and Iraq, I speculate that economic growth will soar in Turkey. But that's a whole different subject.

Hope your prediction comes true. Thousands are leaving the country. Last week one Turkish commercial consultant in Munich told me that he had founded 40 companies for Turkish investors , between January and March 2017, who settled down there and transferred their financial assest. Thats true.

 

[Attila the Hun]

Turkish businesses FDI outflow rises 10 times in 15 years: Index

Turkish companies’ foreign direct investment (FDI) outflow has increased by 10 times over the past 15 years, according to an index released on May 17.

Turkish businesses made a total of 85 greenfield investments abroad worth $2.8 billion in 2016, showed the Foreign Investments of Turkey Index, which was jointly prepared by the Foreign Economic Relations Board (DEİK) and Bain & Company.

Turkish companies made 52 investments worth $2.4 billion in 2015, according to the index. They also undertook 40 mergers and acquisitions (M&A) with a financial volume of $3.7 billion in 2016 after making 35 M&A transactions worth $3.5 billion in 2015.

Over the past decade, Turkish businesses made a total of 290 M&A transactions worth $28 billion, according to the index.

DEİK President Ömer Cihad Vardan said Turkish businesses’ FDI outflow rose by 10 times over the past 15 years, with a continuing increase trend.

“While we are trying to attract foreign companies into our country with the latest technologies on the one hand, we also try to advise Turkish companies to invest in the countries that will bring them the biggest profit and best yields,” Vardan said, noting that the DEİK has 135 business councils across 128 countries.

In 2016, the highest amount of investments was made in the United States in the high-income country group, China in the middle-income country group, and Azerbaijan in the low-income group.

In the first group, the U.S. was followed by Germany, the United Kingdom, the Netherlands and Sweden. In the second group of countries, Czech Republic, Russia, Bulgaria and Romania followed China, according to the index. In the last group, Indonesia, Ethiopia, Iran and Egypt constituted the top five along with Azerbaijan.

While Turkish companies’ investments in some countries, including Russia and the U.K., saw dramatic declines in 2016, falls were also seen in Middle Eastern and Eurasian markets that were hit by the oil plunge.

DEİK Foreign Investments Business Council President and Bain & Company Partner Volkan Kara said Turkish companies made the highest amount of foreign direct investments in the manufacturing, tourism, energy, food and retail sectors in 2016, adding that the FDI outflow into Balkan countries and other neighboring regions were on a visible rise.

In 2014 and 2015, Turkish companies mainly preferred to make investments in both ways mainly in high-income countries, including Germany, the United States, Russia, Britain and Spain, according to last year’s report.

http://www.hurriyetdailynews.com/tu...dex-.aspx?pageID=238&nID=113222&NewsCatID=345

 

[Attila the Hun]

Turkish company acquires famous British snack brand

The U.K. has become a favorite destination for Turkish companies operating in snack, candy and chocolate products. Following a trend started by Yıldız Holding, the Turkish company Anatolia recently bought Whitworths, the U.K.'s most established snack food brand, according to a report from Turkish daily Dünya.

The Turkish company reached an agreement with Equistone Partners to buy the British brand, though the final purchase price has yet to be made public.

When the new acquisition is finalized, Anatolia will become the largest European company operating in the field of dried fruits, nuts and seeds. In other words, Anatolia will acquire the British brand and become the leading brand in Europe.

A Whitworths' spokesman said the agreement would bring long-term benefits to consumers, customers and suppliers, adding that the relationship between Anatolia and Whitworths has a 38-year history and that the Turkish company has been a longtime supplier of products to the British brand.

Founded in Northamptonshire by John Whitworth, Herbert Whitworth and Newton Whitworth in 1886, the company was granted a Royal Warrant by Queen Elizabeth II in 1971 and 1974, an award previously granted to other large companies, including After Eight and Burberry. Equistone Partners purchased the company, which had 310 employees, in 2009, for 90 million pounds. In April 2017, the fund announced it was in talks to sell the brand.

Though not a well-known name, Anatolia ranks among the largest dried fruit producers working abroad. Founded by the Öz family in 1965, the company has two production facilities in İzmir and has opened a 7,500-square-meter plant, increasing its total annual production volume to 10,000 tons of dried fruit.

https://www.dailysabah.com/business/2017/05/18/turkish-company-acquires-famous-british-snack-brand

 

[Attila the Hun]

Turkey’s Zorlu eyes Toshiba’s TV operations

Zorlu Holding CEO Ahmet Nazif Zorlu (Sabah File Photo)

As news reports have hit the wires that Japanese technology giant Toshiba, hit hard by failures in the nuclear sector, is planning to sell its TV business, the name of a Turkish TV company is rumored to be a possible purchaser.

With Turkish giant Vestel's name being mentioned as a potential buyer of Toshiba's TV unit, Zorlu Holding Chairman Ahmet Nazif Zorlu said, "Talks are ongoing. We will be submitting bids next month. I hope we will win it. Prime Minister Binali Yıldırım also said that we have brand support. If both the state and the government support us, we will purchase the global brand."

Speaking to Anadolu Agency (AA) regarding Vestel's statement, Nazif Zorlu confirmed that the company is in the process of evaluating the acquisition of Toshiba's TV unit and that it is in talks on the company's growth strategy.

Stating that talks with Toshiba continue, Zorlu said, "If the government supports us, we will purchase the global brand." Highlighting the fact that being a brand is not easy, Zorlu said that China is very supportive in this regard right now, paying 3 billion or $2 billion and buying a brand or its factories. "We also need to do this. We need to grab some ready-made products and run," Zorlu added.

When reminded of his earlier statement, he said, "As a group, we can consider moving our production facilities to the eastern and southeastern regions in the mid- and long term," referring to the investment and development move towards the eastern and southeastern Anatolian regions announced by Prime Minister Yıldırım. Zorlu continued, saying, "We have prepared a feasibility study. We will submit this to the relevant parties. If it is feasible for us, we do not see a reason not to build factories in the east and the southeast."

'Turkey has become a brand in the field of home textiles'

Ahmet Nazif Zorlu stated that Turkey has become a brand in the field of home textiles and as Zorlu Group, they have a turnover of about $1 billion worth in textiles, adding that they are exporting to nearly 60 countries and that they have products with an export value up to $100 per kilogram.

Inviting businesspersons to give weight to innovation and research and development (R&D) and to produce better quality goods by discarding imitations, Zorlu stated that their textile exports reached $250 million in the last year and they aim to increase this figure by 10 percent in 2017.

Zorlu stated that they have been in the American market for about 20 years and that their targets for this market are growing daily.

He also said that they are in the Iranian market and that they will increase their targets for this market as well. "We may set up a factory there on the electronics side. We tried to do so on the textile side but today it is much more useful to sell ready-made products. On the electronics side, the sale of white goods is optimal. These are being discussed but only if we can find good partners there," Zorlu said.

Stressing that investments in the energy sector also continue, Zorlu said that they have a 235-megawatt (MW) wind power plant in Osmaniye in renewable energy and that these investments will continue in the solar and wind power sectors.

Zorlu noted that the Karayel unmanned aerial vehicle (UAV) continues to fly in the east and they will begin exports in this field, adding that they have plans to export Karayel to the Middle Eastern markets. He also added that they will "hopefully" start exporting Karayel this year.

Responding to the question of plans to return to the banking sector, Zorlu said, "No, we do not have banking in mind right now. We have a factoring company that operates."

https://www.dailysabah.com/technology/2017/05/18/turkeys-zorlu-eyes-toshibas-tv-operations

 

[Mr.Department]

Zorlu Holding Chairman Ahmet Nazif Zorlu

Do you know who Asil Nadir is and was ?