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Turkey Letter: 24 October 2016

Foreign Politics

  • TÜSİAD Board of Directors Concludes Washington Visit
  • Turkey’s Push to Join Battle for Mosul Inflames Tension With Iraq
  • S. defense secretary says Turkey should have a role in Mosul operation
  • EU walks tightrope on Turkey
  • Turkey ‘obliged’ to press on to Syria’s al-Bab, Erdogan says
  • Turkey Strikes Syrian Kurds as Multifaceted Conflict Rages On
  • Turkey’s justice minister to go to US for Gülen’s extradition

Economy & Energy

  • Turkey Holds Interest Rates Steady
  • At least for now, Turkey’s economy weathers downgrades, political turmoil
  • Turkey’s Biggest Unpaid Loan Tells Story of Lira’s Weakness
  • Turkey’s First IPO in Six Months Derailed by Cyber Attacks, Fed
  • Property sales soar in Turkey, foreign demand declines
  • Turkish Air Appoints Bilal Ekşi Chief Executive as Kotil Resigns
  • Katmerciler Shifts With Turkey From Crowd Control to Trucks

Domestic Politics

  • Turkey heads toward vote on stronger presidency, with nationalist nod
  • Turkey’s plan to ditch winter time casts shadow on trade, stock market
  • Two police killed, 19 people wounded in bomb in east Turkey
  • Historic quarter fears the future as gentrification sweeps Turkey’s Marmara coast

 

Foreign Politics

TÜSİAD Board of Directors Concludes Washington Visit

During meetings in Washington, D.C. on October 20, 2016 the TÜSİAD delegation discussed recent developments in Turkey after July 15 and U.S. – Turkey relations.

TÜSİAD, TÜSİAD Board of Directors Concludes Washington Visit, October 21, 2016


Turkey’s Push to Join Battle for Mosul Inflames Tension With Iraq

A dispute between Iraq and Turkey has emerged as a dramatic geopolitical sideshow to the complicated military campaign to retake Mosul, Iraq’s second-largest city, from the Islamic State.

New York Times, Turkey’s Push to Join Battle for Mosul Inflames Tension With Iraq, October 23, 2016


U.S. defense secretary says Turkey should have a role in Mosul operation

Defense Secretary Ashton B. Carter said during a visit here Friday that Turkey should have a role in the campaign to retake the Iraqi city of Mosul from the Islamic State, a move that could put the United States at odds with Iraq as officials in Baghdad become increasingly hostile to any Turkish presence in their country.

Washington Post, U.S. defense secretary says Turkey should have a role in Mosul operation, October 21, 2016


EU walks tightrope on Turkey

As dismayed as they may be at Turkey’s post-coup crackdown, EU leaders meeting in Brussels on October 20 will avoid any harsh criticism of Ankara, whose help they badly need in keeping a lid on migration into Europe.

Reuters, EU walks tightrope on Turkey, October 20, 2016


Turkey ‘obliged’ to press on to Syria’s al-Bab, Erdogan says

Turkish-backed forces will press on to the Islamic State-held town of al-Bab in Syria, Turkish President Tayyip Erdogan said on Saturday, emphasizing Ankara’s drive to sweep militants and Syrian Kurdish fighters from territory near its border.

Reuters, Turkey ‘obliged’ to press on to Syria’s al-Bab, Erdogan says, October 22, 2016


Turkey Strikes Syrian Kurds as Multifaceted Conflict Rages On

Turkish jets bombed U.S.-allied Syrian Kurds battling Islamic State, as Ankara and Washington’s competing priorities in the multisided Syria conflict strain ties between the two North Atlantic Treaty Organization allies.

Wall Street Journal, Turkey Strikes Syrian Kurds as Multifaceted Conflict Rages On, October 20, 2016


Turkey’s justice minister to go to US for Gülen’s extradition

Turkish Justice Minister Bekir Bozdağ, accompanied by lawmakers from opposition parties, will depart to the United States on Oct. 25 to hold talks with his counterpart over Turkey’s demand for the extradition of Fethullah Gülen, a self-exiled Islamic preacher accused of orchestrating the failed July 15 coup.

Hurriyet Daily News, Turkey’s justice minister to go to US for Gülen’s extradition, October 24, 2016


Economy & Energy

Turkey Holds Interest Rates Steady

The Turkish central bank Thursday held all interest rates steady, suggesting that policy makers paused their seven-month-long rate-cut cycle owing to the weakness of the local currency.

Wall Street Journal, Turkey Holds Interest Rates Steady, October 20, 2016


At least for now, Turkey’s economy weathers downgrades, political turmoil

In the wake of an abortive coup in July, ratings agencies have not been kind to Turkey’s sovereign credit. Nevertheless, some global investors still see opportunity in the middle of a country riven by political unrest.

CNBC, At least for now, Turkey’s economy weathers downgrades, political turmoil, October 23, 2016


Turkey’s Biggest Unpaid Loan Tells Story of Lira’s Weakness

When the owner of Turkey’s biggest phone company received the nation’s largest-ever loan in 2013, it trumpeted the deal as so “hugely oversubscribed” that banks had to lend less than they wanted. Three years later, a missed payment may leave those banks grateful they were cut off.

Bloomberg, Turkey’s Biggest Unpaid Loan Tells Story of Lira’s Weakness, October 18, 2016


Turkey’s First IPO in Six Months Derailed by Cyber Attacks, Fed

Turkey’s biggest initial public offering in three years has been postponed just days before shares were due to start trading.

The country’s largest wireless operator said it would wait for “a time when markets come to a more secure and stable state” before selling a stake in Global Tower, citing cyber attacks targeting popular websites last week, risks related to the U.S. elections and Federal Reserve rate policy.

Bloomberg, Turkey’s First IPO in Six Months Derailed by Cyber Attacks, Fed, October 24, 2016


Property sales soar in Turkey, foreign demand declines

House sales in Turkey surged 17.8 percent in September, although sales to foreigners declined by roughly 28 percent, according to data released by the Turkish Statistical Institute (TÜİK) on Oct. 24.

Hurriyet Daily News, Property sales soar in Turkey, foreign demand declines, October 24, 2016


Turkish Air Appoints Bilal Ekşi Chief Executive as Kotil Resigns

Turkish Airlines, which posted losses for two straight quarters, appointed the nation’s head of civil aviation, Bilal Ekşi, as its chief executive officer.

Bloomberg, Turkish Air Appoints Bilal Ekşi Chief Executive as Kotil Resigns, October 23, 2016


Katmerciler Shifts With Turkey From Crowd Control to Trucks

Turkish vehicle equipment maker Katmerciler, known for its riot-suppression vehicles called TOMAs, is shifting its product line as the government’s security priority moves from crowd control and protests in cities to asymmetric warfare in the nation’s southeast.

Bloomberg, Katmerciler Shifts With Turkey From Crowd Control to Trucks, October 21, 2016


Domestic Politics

Turkey heads toward vote on stronger presidency, with nationalist nod

Turkey’s ruling AK Party will soon bring to parliament its plans to expand the powers of the presidency, Prime Minister Binali Yildirim said on Tuesday, paving the way for a referendum which the nationalist opposition said it would not oppose.

Reuters, Turkey heads toward vote on stronger presidency, with nationalist nod, October 18, 2016


Turkey’s plan to ditch winter time casts shadow on trade, stock market

Turkey’s plan to stick with summer time all year round may have some unforeseen costs – increasing the time difference with European trading partners and crimping exports and domestic equity trading.

Reuters, Turkey’s plan to ditch winter time casts shadow on trade, stock market, October 19, 2016


Two police killed, 19 people wounded in bomb in east Turkey

Two police officers were killed and 19 people were wounded when a car bomb exploded near a passing police vehicle in the eastern Turkish province of Bingol on Sunday, security sources said.

Reuters, Two police killed, 19 people wounded in bomb in east Turkey, October 23, 2016


Historic quarter fears the future as gentrification sweeps Turkey’s Marmara coast

Suleyman Karaman has long been caretaker of an ornate Armenian Orthodox Church built more than 100 years ago in Istanbul’s Yali quarter – an area now under threat from the city’s relentless expansion. While some say they fear the government’s development plans near the Marmara seaside will destroy the fabric of the community, Karaman backs the clean-up.

Reuters, Historic quarter fears the future as gentrification sweeps Turkey’s Marmara coast, October 20, 2016