Open figure viewer
Significance
Tighter monetary and relatively constrained fiscal policies aim to cut high inflation levels. Nevertheless, slowing economic activity will test President Recep Tayyip Erdogan’s administration’s anti-inflationary resolve, as inflation remains high, cutting household and business spending power and raising the likelihood of protests.
Impacts
The administration will keep implementing measures to check demand for imports.
The likely decline in employment may be cushioned by more retirements and/or part-time/flexible working arrangements.
The domestic housing market will be susceptible to interest rate cuts.
Turkey will remain a risky, if attractive, market for short-term financial investments.
© Oxford Analytica 2024. All rights reserved. This content contains general information about geopolitical, macroeconomic and social developments or (where stated) other matters. It does not contain advice or recommendations that may be relied on. Where links to external websites are provided, this does not indicate that Oxford Analytica or Emerald agree with, endorse or have checked for accuracy the contents of said sites.
2024
You do not currently have access to this content.
