Turkish economy

Price tags of olives are seen at a store on March 3, 2025, in Istanbul, Turkey

As Turkey's inflation dips to 35%, will central bank pivot on interest rates?

Inflation has slowed to the lowest level since 2021, sparking speculation that the central bank could resume easing monetary policy amid mounting pressure on Turkey's finance chief — but analysts caution against a rush.

People look at the Hurjet, an advanced jet trainer light attack aircraft, during the opening day of the International Defense and Aerospace exhibition in Istanbul, Oct. 22, 2024.

Analysis

Can Turkey's Hurjet deal with Spain propel it into NATO’s defense market?

Spain’s choice of Turkey’s Hurjet reflects Ankara’s growing credibility as an arms supplier, increasing the prospect of broader cooperation in Europe’s defense sector.

Barin Kayaoglu

By Barin Kayaoglu

In Ankara, reporting on geopolitics and national security

TAUSEEF MUSTAFA/AFP via Getty Images

India wages economic war on Turkey for supporting Pakistan in Kashmir

Turkish business interests are taking a hit as India retaliates against Ankara’s backing of Pakistan on Kashmir.

JOHN THYS/AFP via Getty Images

New German government to decide on Eurofighter sale to Turkey: Officials

Germany’s outgoing government will leave the Eurofighter sale decision to incoming Chancellor Friedrich Merz, official German sources suggested to Al-Monitor.

Latest News

Turkey’s Simsek tours US for IMF, WB summits, Treasury Secretary meeting

KARIM JAAFAR/AFP via Getty Images

Turkey hikes interest rate to 46% amid turmoil over Imamoglu’s arrest

People walk past a currency exchange board showing the Turkish Lira which fell to historic lows against the dollar after the news of the arrest of Istanbul Mayor Ekrem Imamoglu on March 19, 2025 in Istanbul, Turkey.

Turkey's budget deficit narrows to $6.8B in March as lira fluctuates

A picture taken on Dec. 7, 2021, in Istanbul shows Turkish liras.

Turkey's Simsek says economy will ride out Trump tariffs without lasting scars

Turkey's Minister of Finance Mehmet Simsek takes part in a panel discussion during the Doha Forum in the Qatari capital on December 7, 2024. (Photo by KARIM JAAFAR / AFP) (Photo by KARIM JAAFAR/AFP via Getty Images)

Kurdish women hold portraits of their missing sons on May 18, 2011, during a demonstration in Istanbul against the recent killing of 12 Kurdish rebels by security forces.

Many faces of motherhood in Turkey: From new Mothers Museum to 1,000th vigil of Saturday mothers

As a new museum in Ankara pays homage to motherhood, the mothers of the country remain a fractured group, divided by political lines and economic woes

People exchange money at a currency exchange office on Aug. 13, 2018, in Istanbul, Turkey.

Turkey expects removal from global money laundering ‘grey list’: VP

The Turkish vice president said that if the watchdog doesn’t remove the country from its grey list, it would be “due to political reasons."

A Eurofighter Typhoon FGR4 belonging to the Royal Air Force shortly after takeoff.

Can warmer Germany-Turkey ties bring Ankara Eurofighters along with Airbuses?

Experts believe Turkish-German defense ties will see some strides following the German president’s much-hyped Turkey visit.

People walk at Kadikoy district in Istanbul on March 5, 2024. Turkey's annual inflation rose again in February, reaching 67.1 percent despite a string of interest rate hikes, official data showed on Monday. The Turkish central bank held its key interest rate at 45 percent last month, pausing after eight straight increases aimed at taming consumer prices that had remained stable at 64.9 percent in January.

Breaking | Last Updated: May 8, 2024, 5:06 am

Turkey’s annual inflation surges to almost 70% in April

April's inflation rate marks Turkey’s highest in the past 16 months, driven primarily by price increases in education, restaurants and hotels, and transportation.

This photograph taken on Sept. 22, 2023, shows an Armenian flag fluttering near the border with Azerbaidjan near Kornidzor.

As Russia's footprint slumps, can Turkey anchor Armenia, Azerbaijan to West?

Russia’s declining footprint in the South Caucasus presents an opportunity for Turkey to anchor Azerbaijan and Armenia to the Western fold.

Turkey inflation

Breaking | Last Updated: April 25, 2024, 11:31 am

Turkey’s Central Bank keeps interest rates at 50% despite rising inflation

The decision comes after an unexpected hike of 500 basis points last month that increased rates from 45% to 50% as monetary tightening resumed after a one-month pause.

Steinmeier Kabob

Erdogan and Germany's Steinmeier chuckle over doner kebab as ties grow

The German president’s visit, marking the centennial of diplomatic ties between Turkey and Germany, came during a challenging time for Ankara-Berlin relations, given the wide gap over the Israel-Hamas war.

A cargo ship sails out into the Bosphorus, Istanbul, Turkey, April 19, 2020.

Analysis

Will Turkey’s merchant class circumvent latest trade restrictions on Israel?

The Turkish government’s recent export restrictions against Israel will complicate their political relations, but even as bilateral trade declines, experts note that merchants on both sides will look for ways to circumvent the new measures.

Barin Kayaoglu

By Barin Kayaoglu

In Ankara, reporting on geopolitics and national security

Turkish Treasury and Finance Minister Mehmet Simsek looks on before the press conference following the cabinet meeting held at the Presidential Complex in Ankara on August 21, 2023. (Photo by Adem ALTAN / AFP) (Photo by ADEM ALTAN/AFP via Getty Images)

Can Turkey’s economic czar stick to belt-tightening after election loss?

The Turkish government hopes that its remaining four-year mandate will give it time to placate popular anger before the next polls.

Protesters wave Turkish and Palestinian flags during a rally in solidarity with the Palestinians in Gaza, in Ankara on Dec. 24, 2023, amid ongoing battles between Israel and the Palestinian Hamas movement in the Gaza Strip.

Turkey's trade boycott of Israel: 'more theatre,' less substance

Turkey's ban on some exports to Israel aims to appease a domestic audience, but it could end up doing the most damage to Ankara and its flailing economy.

Amberin Zaman

By Amberin Zaman

Reporting on geopolitics, minorities, human rights, culture

Turkish cocaine bust

Lebanon-Venezuela kingpin detained in Turkey's 'third largest' cocaine bust

The Turkish Interior Minister reported some 1,340 pounds of cocaine seized in the operation, which also included the arrest of 13 people.

Turkey's President Recep Tayyip Erdogan speaks to supporters at his party’s Istanbul mayoral candidate Murat Kurum's campaign rally, Istanbul, Turkey, March 29, 2024.

Turkey restricts exports of 54 products to Israel until Gaza cease-fire

As Israel pledged to retaliate, analysts believe the move is aiming to allay growing dismay among Turkey's Islamists for the government’s refusal to sever trade ties with the Middle Eastern country over the Gaza conflict.