Latest News from Turkey
Türkiye FDI Inflows Surge 12% to $13.1 Billion in 2025
Foreign direct investment into Türkiye increased by 12.2% to $13.1 billion in 2025, defying global declines in developing economies. Wholesale/retail and manufacturing sectors led with 32% and 31% shares respectively, driven by e-commerce and tech. Netherlands topped investors at $2.86 billion.
Turkey Issues Strong Response to European Parliament Resolutions
The Turkish Ministry of Foreign Affairs released a special statement responding firmly to European Parliament resolutions. This diplomatic pushback highlights ongoing tensions between Ankara and EU institutions. Greek MEP Farantouris also criticized Turkey in the Parliament.
Türkiye's Military Reach Enhances Diplomatic Influence
Analysts note Türkiye's expanding military deployments, including 2,000 troops in NATO's Steadfast Dart 2026 exercise, boost its global clout. Operations in Libya, Somalia, and anti-PKK efforts demonstrate strategic capabilities. No direct sanctions from US despite Russia ties underscore leverage.
Turkey Warns of Nuclear Pursuit if Iran Develops Bomb
Foreign Minister Hakan Fidan indicated Türkiye may develop nuclear weapons if Iran acquires them, risking a regional arms race. This stark warning aims to prevent escalation in West Asia. The statement alters power balance discussions.
Goldman Sachs Predicts Slower Rate Cuts for Türkiye
Goldman Sachs revised expectations for Türkiye's rate cuts to below 900 basis points due to strong growth and inflation pressures. TCMB updated 2026 inflation forecast to 15%-21%. Cautious easing balances growth and price stability.
Erdoğan Urges Universities to Adapt to Türkiye's Growing Influence
President Recep Tayyip Erdoğan called for Turkish universities to modernize research and adapt as the country's global role expands. He emphasized youth's key role in this transformation. This addresses higher education's strategic needs.
Iran and Turkey Discuss New Rail Link and Transport Ties
Iran and Türkiye held talks on a new rail connection at Cheshmeh Soraya–Aralik border and broader transport cooperation. This aims to enhance regional connectivity. Discussions focus on infrastructure expansion.
Turkish Airlines Reports Significant Growth in January 2026
Turkish Airlines saw cargo freight and mail volume rise 18.8% in January 2026 year-over-year. This marks strong start to the year in aviation. Passenger and overall operations also expanded.
Türkiye's Current Account Deficit Widens to $25.2 Billion
The 12-month rolling current account deficit reached $25.2 billion, or 1.8% of GDP, driven by trade gap and primary income worsening. Positive capital inflows from borrowing and portfolio investments offset some pressures. Energy and gold deficits moderated impact.
Armed Attack on Teacher in Turkey
An armed assault targeted a teacher in Turkey, raising public safety concerns. Details on location and suspect remain emerging. Incident occurred recently amid local security issues.
TCMB Maintains Inflation Targets Despite Higher Forecasts
Türkiye's central bank kept 2025 inflation at 16%, 2026 at 9%, adding 8% for 2028, while raising forecast ranges. Easing bias persists with upbeat outlook on disinflation. Credit tightening possible if growth accelerates.
Kosovo Appoints First Turkish Deputy PM for NATO Push
Fikrim Damka, from Kosovo Democratic Turkish Party, became Third Deputy PM for Minority Affairs, eyeing NATO and Council of Europe integration. This boosts Turkish-Kosovo ties. Role focuses on cooperation.