Turkey

The construction sector responded to the 2008-09 financial crisis with promising growth on the back of rising urbanisation and a newly announced urban renewal plan to secure the nation’s cities against earthquakes. Additionally, international interest in the country’s real estate investments, particularly from the Middle East, is helping to drive the sector. With a constantly rising need for...

In defiance of global economic woes, Turkey managed to grow its export base, which resulted in an increase in industrial production of 9%. Turkey has been seen as an inexpensive alternative to European export products, mainly for regional buyers, and the country has hosted a booming trade in consumer goods. Vehicle sales rose by some 14%, steel production by 17%, and white goods sales jumped 19%...

While the country has been poor in many energy resources, Turkey’s geography has been central to its economic success. To better leverage this advantage, the government is working with the private sector to make Turkey central to the transit and storage of natural gas and petroleum resources. Electricity demand steadily increased at about 8% per annum, and this is driving the formulation of...

The Insurance chapter examines Turkey’s relatively small insurance market, which has seen steady growth with the expansion of the nation’s GDP. The sector is dominated by banks, which provide the most accessible outlets for customers. The sector is extremely crowded and very competitive, which has made it difficult for insurers to grow their business. Despite the challenges, however, gross...

Late 2011 and early 2012 saw dramatic changes in Turkey’s capital markets, with a rebranding campaign for the Istanbul Stock Exchange – to the Istanbul Bourse (IMKB) – as well as the appointment of new leadership. The IMKB was greatly affected by economic instability elsewhere around the world, because many of the markets key investors are foreigners. Under its new leadership, the bourse is...

The Turkish banking sector learned hard lessons from the country’s financial crisis in 2001-02, and as a result, it was among the most stable and secure through the global financial crisis of 2008, remaining a safe harbour for foreign and domestic investors alike. The sector is very competitive, and profits declined during 2011 on the back of reduced margins from loans, however the stability of...