Contractors pin hopes on gov’t for repayment of debts in Libya

Posted by meb at November 3rd, 2011

Turkish contractors, long unable to receive payments for projects in an unstable Libya, woke up Wednesday with renewed hope as Economy Minister Zafer ÇaÄŸlayan arrived in Tripoli to discuss a solution for the problem with the country’s new rulers, the National Transitional Council (NTC).

Following months of heavy fighting against dictator Muammar Gaddafi, NTC fighters gained full control of Libya last month. Turkish construction companies that have the largest share of Turkish investments in Libya had to suspend projects following the national unrest.

Companies have failed to receive payment for projects — estimated at around $1.5 billion — they had completed prior to the uprising. (more…)

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Libya rush should start urgently, minister says

Posted by meb at November 3rd, 2011

Turkish construction companies should rush back to Libya, their one-time top market, as the government is ready to support them, according to Economy Minister Zafer Çağlayan.

“Our businessmen demand a special customs permit to take their machinery and equipment to Libya,” the minister said during a press meeting yesterday in Tripoli with his Libyan counterpart.

A business assembly of 200 people accompanied the minister during the one-day visit.

Turkish companies undertook $7.627 billion worth of projects in Libya in 2009 and 2010, according to official data.

Upon Turkish Prime Minister’s order, Turkey will build schools, mosques, police stations, courts and jails in Libya, the minister said. (more…)

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Turkey’s trade deficit widens to record highs

Posted by meb at November 3rd, 2011

Turkey’s trade deficit widened to a record level in September compared with last year, official figures published yesterday show.

Skyrocketing current trade deficit and a low domestic savings ratio in the growing economy raise concerns about the country’s dependency on import products and booming demand, according to professionals.

The trade deficit was $10.4 billion in September, the biggest gap recorded, compared with $6.7 billion on September last year and $8.2 billion the previous month, according to figures published by Turkey’s Statistical Institute (TÜİK). Measures taken by Turkey’s Central Bank have thus failed to reduce the trade gap in September, an economist told the Hürriyet Daily News.

Turkey might have already experienced the “peak” in its trade deficit by last month, and it might take a few months for the Central Bank’s steps to show their effect on the economy, Erol KatıcıoÄŸlu, a professor at Istanbul Bilgi University, told the Daily News yesterday. (more…)

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US brand to send sexy shop assistants to Turkey

Posted by meb at April 15th, 2011

The U.S.-based Abercrombie&Fitch, a clothing retailer known for having half-naked male shop assistants greet customers at the door of its New York City branch, and its subsidiary Hollister are looking for the right place to open their first store in Istanbul.

The two brands are searching to secure space at İstinye Park, a stylish shopping mall in the city’s Maslak district.

The brands aim to open their first store after the end of 2012, Hakan Kurt, the general manager of the mall, said Tuesday at a retailers’ award ceremony in Istanbul.

“Still, we face some difficulties to create free space in the mall. Our only hope is turn over of some current renters,” he said.

The famous textile brand H&M opened its second store in Turkey in Ä°stinye Park earlier this month.

The company runs stores in the United States, Japan, England, Denmark and Italy.

Abercrombie&Fitch is among the mostly imitated fashion brands in Turkey.

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Arbil closer than ever to Turkey

Posted by meb at April 15th, 2011

Turkish Airlines has launched direct Istanbul-Arbil flights, the latest sign of the developing relations between Turkey and the Regional Kurdish Administration in northern Iraq. Turkish Finance Minister Mehmet Şimşek welcomed Iraqi Kurds at a ceremony in Arbil, saying in Kurdish, ‘We have been brothers for a thousand years. No one can destroy this!

Northern Iraq, on what was once one of the most disputed Turkish borders, is closer to Turkey than ever in both economic and political terms. Speaking in Kurdish during a visit Thursday, the Turkish finance minister reiterated the ruling government’s support fro the Iraqi Kurdish region. (more…)

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Turkish February current account gap widens to $6.1 billion

Posted by meb at April 11th, 2011

Turkey’s current-account deficit more than doubled in February over a year earlier, the 14th consecutive widening in a measure the Central Bank says it is trying to contain.

The deficit rose from $2.7 billion to $6.1 billion in the same month of 2010, the Central Bank in Ankara said Monday on its website. The median forecast in a Bloomberg survey of nine economists was for a gap of $6.3 billion.

The cumulative deficit for the 12 months through February was $54.8 billion, or about 7 percent of estimated gross domestic product. The government’s medium-term plans forecast a gap of $42.2 billion, or 5.4 percent of GDP. (more…)

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Turkey to grow by 4.6 percent this year, IMF report says

Posted by meb at April 11th, 2011

Turkey’s gross domestic product, which grew 8.2 percent in 2010, is expected to register a 4.6 percent growth rate this year, according to a recent report from the International Monetary Fund, or IMF.

The 2011 World Economic Outlook report of the IMF read that the global economy will grow by 4.4 percent this year and by 4.5 percent in 2012. IMF published the first and second parts of the report Monday.

The economic outlook report expects Turkey’s GDP to grow by 4.6 percent this year and 4.5 percent in 2012. Rapid economic recovery in Turkey is forecasted to continue according to the economic outlook report of the IMF. The consumer price index, which grew by 8.6 percent in annual basis last year, is expected to show a 5.7 percent increase in 2011 and 6 percent in 2012. (more…)

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‘I would make equity investments in the Turkish economy’

Posted by meb at October 19th, 2009

The Turkish economy has registered superb improvement in competitiveness in recent years and proven its potential as a magnet for international investors, world-renowned strategist Professor Michael Porter has said. Addressing a group of businessmen and reporters on Saturday at a conference organized by Ä°ÅŸTcell, a Turkcell brand directed at corporate customers, Porter, director of Harvard Business School’s Institute for Strategy and Competitiveness, said that if Turkey were traded on the stock market, he would definitely make an equity investment in the country.

During the first part of his speech, Porter described the major premises of creating strategies and determining and developing a competitive approach and the role of leaders in the competitiveness of a company. He also shared his views on possible strategies that may be adopted during times of economic crisis. He devoted the second part of his speech to discussing Turkey’s economic strategies, including an in-depth analysis of the business world’s role in these strategies. (more…)

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