NEWS SCAN for Turkey – April 16th, 2013

Down below you will find a summary of topics from major Turkish papers and internet sites.

Turkish Central Bank cuts benchmark interest rate to 5.0 percent

The bank cut the one-week repo policy rate to 5.0 percent from 5.5 percent against an appreciating lira. It cut the borrowing rate to 4.0 percent from 4.5 percent and the lending rate to 7.0 percent from 7.5 percent. Experts had expected the bank to make such move especially after a remark from Central Bank Governor Erdem Başçı which went  “the Bank may consider cutting its one-week repo policy rate if the lira climbs too fast, which could widen Turkey’s already large current account deficit”.

Foreigners buying homes in Turkey are now granted residence permits

It is now reported that Turkey has recently revised the law governing residency rules and regulations for foreigners buying homes in Turkey and started to issue residence permits for foreigners who buy homes in this country. This right to obtain residence permit is granted regardless of the price of the property acquired. Thus property buyers from other nations will be granted a year-long residency permit that could be extended indefinitely if the individual remains in the possession of said property It is also reported that real estate purchases by foreigners reached a total of USD 2.6 billion in 2012, which corresponded to a rise of 31 percent, annually.

Somali & Somaliland meet with Turkish FM Davutoğlu in Ankara

Turkish Foreign Minister Ahmet Davutoglu met with Somali President Hassan Sheikh Mohamud and President of the autonomous region of Somaliland Ahmed Mahamoud Silanyo for talks mediated by Turkey in capital Ankara, on Saturday. Talks between said leaaders are reported to be aimed at keeping dialogue channels open to work out problems between Somalia and the autonomous region of Somaliland.

Finnish FM Tuomioja says Istanbul & Helsinki complement each other

At the “2nd Istanbul Mediation Conference” Finnish Foreign Minister Erkki Sakari Tuomioja who spoke to news agencies has said that Finland is sensitive when it has to do with international mediation and Istanbul is not a rival to Helsinki as a city where a UN mediation center is planned to be erected. The FM is reported to have said “On the contrary Istanbul and Helsinki are two cities complement each other and I welcome establishment of a UN center in Istanbul”.

Ak Parti Government considers alliance with BDP party for new charter

It is reported that the ruling Justice and Development Party’s  deputy chair and Constitution Conciliation Commission member Mustafa Şentop has listed the three options ahead of the party in the process of forming the new charter to include the option to team up with the Peace and Democracy Party (BDP) only.  Mr. SENTOP has said if a consensus is not reached in the commission, the AKP would submit its own proposal to Parliament and search for ways to form the new Constitution with a new partner (possibly BDP) in Parliament. In order for the new Constitution to pass through Parliament, 330 seats must vote affirmatively.

MNG Holding & Chinese CSR to manufacture metro train cars in Turkey

It is reported that the Turkish business group MNG Holding and China South Locomotive & Rolling Stock Corp. (CSR) have agreed to invest USD 110 million in a facility to manufacture metro train cars for city’s expanding light rail network. In the facility will be built in Ankara, 200 light rail cars to be used in urban transportation will be manufactured as the initial phase production.  The plant is expected to be completed within a year and create employment for a total of 6,000 people during its construction. Thereafter, 350 Turkish and 30 Chinese engineers are planned to be employed at the plant.

Borsa Istanbul (BIST) important for Turkey’s financial infrastructure

Turkish government has been spending efforts to make Turkey a regional finance hub for a while. Consequently, Borsa Istanbul (BIST) has been established to merge stock and gold exchanges under a single umbrella organization.  However experts say the market need to be deepened to cater to a larger number of investors. Moreover, the government should provide tax breaks to encourage new firms to hold public offerings and increased participation in the stock market by Turkish investors.

Canal Istanbul Project to start soon

Turkey will forge ahead with plans for a 45-km (30 mile) ship canal linking the Black Sea to the Sea of Marmara to try to ease congestion in the Bosphorus Strait, one of the world’s busiest waterways, the government said on Friday, announcing that the initial feasibility planning for Canal Istanbul has been completed and the project will be conducted along the Küçükçekmece-Başakşehir-Arnavutköy line.

Foreign firms interested in bread sector in Turkey

It is reported that foreign companies from countries such as the Netherlands, Spain and Germany have shown interest in acquiring Halk Ekmek, bread producer and seller firm owned by municipality. Halk Ekmek however has disappointed them by declining their requests. It is also reported that in spite of the negative approach by local producer, concerned foreign firms have expressed their desire to enter the bread business in Turkey and asked Halk Ekmek for guidance in the sector.

16.04.2013
SOURCE: MEDIA

We do not verify above stories neither do we vouch for their accuracy.