Economic theorists will compete for cabinet post

Posted by meb at July 24th, 2007

Following the Justice and Development Party’s (AK Party) victory in the general elections on Sunday, all eyes are upon the economic theorists who are to enter Parliament.

According to these theorists, who have a background in the real sector, the market or the business world, the most important problem is unemployment. The new deputies believe that the solution to unemployment lies in decreasing the tax and social security premium burden on employees. Reducing inflation and interest rates also make the deputies’ list in addition to other issues such as imports, the energy problem and the water shortage. (more…)

Posted in Comments & Analysis, Financial markets| No Comments | 

World hails AK Party win, markets rally

Posted by meb at July 24th, 2007

The ruling Justice and Development Party (AK Party) won praise and congratulations from the European Union and the United States on Monday after it was re-elected to government with a landslide victory.
The stock market and business circles were also in high spirits on Monday after the AK Party win, which is expected to boost the financial stability and uninterrupted growth that has taken place over the past four-and-a-half years. The İstanbul Stock Exchange (IMKB) hit a record high after opening up 4.84 percent on Monday. The benchmark İMKB-100 index gained 2,689.69 points on Friday’s close to the finish first day of the week at 55,625.44, boosted by the prospect of continued economic stability, and hit an all-time high of 55,912.80 points during the second session. The Turkish lira appreciated 1.33 percent and, already trading at a more than two-year high, strengthened to 1.2545 against the dollar as bond yields fell. The 1.2465 exchange rate is key, marking a six-year high against the dollar. It would take the lira back to the July 2001 level to which it fell after a currency peg was abandoned during the 2001 financial crisis. (more…)

Posted in Comments & Analysis| 1 Comment | 

AK Party wins big despite all odds

Posted by meb at July 23rd, 2007

The ruling Justice and Development Party (AK Party) won a landslide victory in yesterday’s general elections, leaving its nationalist rivals far behind as it secured an unparalleled 46,6 percent of the national vote, comfortably ensuring that it will again form a single-party government.

The results were obtained as of July 23, 12.00 noon

The center-left but nationalist Republican People’s Party (CHP), the closest rival of Prime Minister Recep Tayyip Erdoğan’s AK Party, won 20,85 percent of the vote, finishing the race close to the far-right Nationalist Movement Party (MHP). The MHP secured a return ticket to Parliament, following a five-year break, with 14,3 percent.

The AK Party is projected to win 340 seats in the 550-member Parliament. The CHP is expected to win around 111 seats and the MHP will most likely get 71. (more…)

Posted in Uncategorized| 1 Comment | 

Putin’s battle over Caspian energy resources and transport routes

Posted by meb at July 18th, 2007

For years Putin has been determined to win the battle over Caspian oil and gas. During the Russian Security Council discussion on the Caspian (April 21, 2000) Putin made the following statement:
“We must understand that the interest of our partners in other countries — Turkey, Great Britain and the United States — toward the Caspian Sea is not accidental. This is because we are not active. We must not turn the Caspian Sea into yet another area of confrontation. We just have to understand that nothing will fall into our lap out of the blue, like manna from heaven. This is a matter of competition and we must be competitive.”14 Today Russia is the most active player in Caspian.

Putin’s strategy for Caspian oil and gas involves the following goals: encircle Europe by pipelines from the northwest, the southeast and the (more…)

Posted in Comments & Analysis, Energy & Transport, Sectoral Reports| 1 Comment | 

SunExpress ‘2nd best holiday airline’

Posted by meb at July 17th, 2007

In a ranking of the best holiday airlines by Germany’s largest daily newspaper Bild, the Turkish low-cost airline SunExpress came second. According to Bild, SunExpress won this position with its professional service, superior language skills and seat comfort. SunExpress was the only company in the top eight based outside the European Union. The German Company Air Berlin won the top spot, and German LTU received an equal rank with SunExpress. Overall German airlines scored well, including TuiFly at number three, Condor at (more…)

Posted in Airlines & Automotive, Tourism & Travel| No Comments | 

Vladimir Putin’s Energystan and the Caspian

Posted by meb at July 17th, 2007

A bit more than 10 years ago, in June 1997, a stone-faced former KGB lieutenant colonel, fluent in English and German, a master in the Japanese martial art of judo (sixth-dan black belt) and co-author of the book “Judo: History, Theory, Practice,” received his Ph.D. from the St. Petersburg State Mining Institute for his 218-page thesis “Mineral Raw Materials in the Strategy for Development of the Russian Economy.”

To him judo is not simply a sport; it is also his “political philosophy.” It is the basis of how to envisage the world, and of how to build relations with the opposition in politics. This view is indeed not any different from the teaching of Kano Jigoro (1860-1938), founder of judo and the Kodokan — “Employ your own strength wisely and pursue (more…)

Posted in Comments & Analysis, Energy & Transport, Sectoral Reports| No Comments | 

Small foreign investors more interested in Turkey

Posted by meb at July 17th, 2007

That big companies have long invested in Turkey is a known fact. But in recent years there has been a growing number of small and medium-sized enterprises (SMEs) entering Turkey
According to the Turkish Central Bank, the total international direct investment was slightly over $10 billion in the first four months of 2007, and increase of 20 percent on the previous year. In addition the number of foreign companies established within the given period — literally speaking — soared, climbing from 724 to 8,641, most of which were SMEs.

German Joachim Behrendt, chairman of Nexum Boğaziçi, has been running a medium-sized consulting company in İstanbul since 2000. Combining two brands — Nexum Boğaziçi and Nexum Creative — his company offers a wide range of consulting solutions, IT solutions and design implementations. The corporation is unique in Turkey and (more…)

Posted in Comments & Analysis, Foreign Investments| No Comments | 

Tender for Turkish-Georgia railway to be held on August 31

Posted by meb at July 16th, 2007

A public tender for infrastructural works of a railway between Turkish eastern city of Kars and Georgian capital of Tbilisi will be held in Ankara on August 31.

The open tender will take place at the Turkish Transportation Ministry’s Construction Directorate building at 2:00 p.m. on August 31. The tender will also cover construction of electrification, (more…)

Posted in Energy & Transport, Tenders & IPOs| 1 Comment | 

Next Postings »