After 2016’s coup attempt in Turkey, president Recep Tayyip Erdoğan has tightened his grip on power. While some banks say his economic stimulus programme has benefited them, others believe his interventions, such as calls for rate cuts, represent a political risk. Tom Stevenson reports.
With last year’s failed coup followed by a radical change in powers for Recep Tayyip Erdogan’s government, uncertainty is the watchword for Turkish banks. With a tumbling currency and pressure to cut interest rates, their outlook looks set to remain challenging. David O’Byrne and Stefanie Linhardt report.
Following a stormy 2016 blighted by a failed coup and a spate of terror attacks, Turkey's weakened economy has shown signs of recovery. But with a divisive referendum campaign dominating the first months of 2017, questions about the recovery's resilience remain. David O'Byrne reports.
While Turkey's economic picture is by no means rosy, due in no small part to its political uncertainty and lack of capital, the country remains one of the stronger performing emerging markets, as demonstrated by its impressive bond market activity in 2016.
Turkey’s once mighty economic growth is slowing, as the country feels the impact of a hung parliament, geopolitical tensions in the region and the low oil price, leaving many hoping that snap elections called for November will bring with them some much needed stability.
Borsa Istanbul's recent mergers with a series of other exchanges in Turkey have expanded its remit and influence significantly. Its CEO, Tuncay Dinc, tells Stefanie Linhardt how he hopes the bourse will lead both Istanbul's ambitions to become a major financial centre and Turkey's efforts to become a top 10 global economy.
The Turkish banking sector is in good health, although the country's lower economic growth, political developments at home and abroad, and the continued impact of financial regulation on retail banking are acting as a brake on growth and profits.
Much of the success of the Turkish banking sector is down to the internal practices of individual lenders, says Akbank chairperson Suzan Sabancı Dinçer, which means that the sector can expect to remain resilient, even when wider economic conditions are not in its favour.