Turkish Economy In Year 2000 Essay

1673 words - 7 pages

TURKISH ECONOMY IN YEAR 2000 The year 2000 was a step for Turkish economy which began to use the macro economic restructuring programme from the beginnig of the year. According to this porgramme aims were: · Increasing FX by approximately 20 percent and changing the idea of FX in people's minds as a profitable investment area, · Decreasing the inflation rates to 20 percent, · Decreasing the demand of deposits for one night, · Availability of Turkish Lira, · Making Turkey more interesting for foreign investors, · Flow of foreign currency into the country.The programme was planning to make the T-bills and G-bonds charming for the foreign investors. The most important aim was to make the TL available with the help of cash flow of foreign currency into the country and Central Bank. The government didn' want to think it's investment in short term anymore and wanted to make TL investments more appealing. At the beginning of the year most of the people knew that inflation rate could not be decreased to 20 percent but they also knew that with this programme a cercent decrease would be achieved. And the government was also expecting a boom in tourism during the summer season.In the first period of 2000 not only the restructuring programme but also the relations with neighbour countries influenced Turkey. Greece was one of them which was seen as a barrier for several years. With the improving reletions also greece voted for Turkey by beeing a candidate of membership to European Union Countries.At the begining of the year IMKB was seen as the best investment opportunity which was also worldwide succesful as the end of the year 1999. According to the IMF stand by aggrement Turkey was expecting a big flow of funds from the foreign markets to the country. This aggrement also stipulated Turkey decreasing the inflation rate to 25 percent for consumer and to 20 percent for wholesale prices.Central Bank made public the first quartile devaluation as 2.1 percent. That meant with an interest rate over 3.2 percent TL investments were more appealing than other investment areas. For no risk takers one night deposits were the best choice with fluctuating interest rates. But if someone did not like the fluctuating interest rates T-bills and G-bonds were alternative choices for investing the money.During the second and the third months of 2000 the ministry of treasury made people pay taxes for T-bills and G-bonds and this tax revenue was added to the institutional tax assestment. Of course this behaviour was against all law rights because those bonds were just investment opportunuties where banks were not allowed to own them. Therefore a taxation of those bonds and one night deposits was against law. This would have killed the market for bonds and deposits which had reached $ 10 billion volume on those days. If this was not stopped it would have damages on treasury by paying it's domestic...

Find Another Essay On Turkish Economy In Year 2000

Gaining a Sense of Membership into Christian Europe

2210 words - 9 pages between the Middle East and Europe, Turkey?s geographic stance puts it within reach of the opening markets in central Asia and the Middle East, and lays its borders near Caspian and Middle East petroleum, as well as natural gas from Central Asia (turkishembassy.com). Since the ending of World War II, agriculture has declined within the Turkish economy, although it currently still accounts for 40% of economic production. The largest industries in

Impacts of 2001 and 2008 economic crises on Turkish automotive market

5988 words - 24 pages Asian crisis. 2000 was a good year for almost all the sectors in the Turkish economy. The postponed demand of 1998 and 1999 and as well as the future demand drove consumers to realize their purchases in 2000. The 2001 crisis decreased the production to the 1990 level. The sector showed a significant rise in exports in an effort to manage the twin crises in late 2000 and 2001 (DEIK, 2002: 3). Accordingly, Turkey's automotive exports increased

Impacts of 2001 and 2008 Economic Crises on Turkish Automotive Market

7216 words - 29 pages sector achieved coping with the crisis in 1997 and indicated an increase in 1997 and in the first half of 1998. When it could just recover, it again began to decline in 1999 due to both the Far Eastern and Asian crisis. 2000 was a good year for almost all the sectors in the Turkish economy. The postponed demand of 1998 and 1999 and as well as the future demand drove consumers to realize their purchases in 2000. The 2001 crisis decreased the

Cyprus Business Opportunity

3823 words - 15 pages consisting of, inter alias, British, Irish, Canadian, German and Scandinavian troops. The result is that there has been no major incident for over twelve years and the stability of the Island is secured.Economic Situation: -The Creek section of Cyprus has a higher standard of living and a stronger economy than does the Turkish section. In the south, services accounted for 75.5% of GDP in 2000, while industry accounted for 13.1%, construction 6.9%, and

A Brief History of IMF programs in Turkey and The Reasons Behind Their Ineffectiveness with The Analysis of 2001 Financial Crisis as an Example

1705 words - 7 pages , Ms. Evrensel shows that in the general pre-­‐program periods, the fundamentals of the Turkish economy are quite bad. The country deals with high inflation, large budget deficits, small reserves and low capital investment. As soon as stabilization programs are in effect, the fundamentals show signs of improvement such as stable inflation rate. However almost always, the real growth rate and domestic credit rates do not show any

Turkey's Internal Conflict and the Kurdish Minority

1269 words - 5 pages treaty was never ratified and Turkey has refused to recognize the existence of a separate Kurdish ethnic community within its borders. Even so, Half of Turkey's Kurds have moved from the south east to the western cities of Turkey and have increasingly become integrated into the Turkish economy. Fifteen million individuals of Kurdish origin presently live in the republic of Turkey and are striving to achieve legal recognition and to establish

Guest Workers in Germany

1342 words - 5 pages from Morocco. The program ended in 1973 when an oil crisis reduced the German economy to ruins. At this time Turkish presence in Germany estimated roughly 3 million and 200,000 of these migrants were in Berlin implementing such jobs as doctors, lawyers, shops, the owners of eateries, and salons. Germany did not proclaim to be an “immigration” country and the word was never used in reference to the guest workers. There was no money spent on

Ottoman Empire

1025 words - 5 pages were allowed to establish their own communities under the Ottoman rule. The Ottoman Empire lifestyle is a mixture of the western and eastern life. The Ottoman’s transportation sytem was a big part of the Empires economy (Ottoman Empire History). In the eighteenth century, the Ottoman Empire began to decline in power. Its earliest capital Sögüt fell in the year of 1326. This Empire was one of the most important in history because of its

The Reunification of Cyprus: Plausible but not Probable

1877 words - 8 pages for a year”10. This was the first large Turkish colony which settled on Cyprus. Cyprus remained part of the Ottoman Empire until after WWI when it sided with The Central Powers and lost the war. The Ottoman Empire was divided among Britain, France, and other countries 7, Cyprus was annexed by Britain. Then after, Turkey renounced any claim to Cyprus, and in 1925, Cyprus became officially a Crown colony 10. Being part Turkish and part Greek

What was the immediate damage of the Turkish invasion of Cyprus of 1974 to the island?

2026 words - 8 pages % of the island's territory and expelled approximately 142 000 Cypriots living in the Northern invaded area.1. Impact in the economy and demographic changesThe Northern occupied part of Cyprus was the richest and most developed part of the island before the invasion (70% of the gross output). Economic devastation was brought by the policy of integrating the area with Turkey, and vast numbers of Turkish Cypriots were forced to immigrate to other

Turkey

1240 words - 5 pages Following the fall of the Ottoman Empire, Mustafa Kemal became the countries first president. According to the law on family names Mustafa needed a last name so he was given the name Ataturk. This meant father of the Turks. Without Ataturk, Turkey would not be where it is today.Turkey entered World War II on the side of the Allies. In 1945, Turkey became a member of the United Nations. After the Soviet Union demanded to have bases in the Turkish

Similar Essays

There Has Been Much Talk In The Press Of The Economy Heading For A Recession Next Year, Which Against A Background Of A Meltdo

1737 words - 7 pages inflationary pressures. This time the slowdown has been triggered not by a one off shock but by a crisis in the developing world, aggravated by a renewed slump in the Japanese economy. It is likely that the Japanese economy will shrink by 2% or more this year, while in countries like Korea the decline is more likely to be of the order of 8%. Russia too now looks certain to head back into recession, while Latin America is

Analysis Of The Turkish Economy

5870 words - 23 pages -2000. According to the Undersecreteriat of Foreign Trade, the primary reason of this high growth rate of exports during the period of 1990-1995 was a considerable increase in the import demand of the European Union. Moreover, the devaluation of the Turkish Lira in 1994 in the framework of April 5 decisions gave a substantial competitiveness to Turkish exporters. After the year 2000, we can notice that Turkey's export growth rate has increased by

The Turkish Pogrom Of 1955 And The Elimination Of The Greek Minority Of Istanbul

2555 words - 10 pages With an official statement, issued on 7 September 1955, the Menderes government expressed its deepest sorrow for the losses suffered by Greek minority in Istanbul. The Turkish Prime Minister blamed the riots on communists, underlining its commitment to the exemplary punishment of the perpetrators (Xristidis 2000). The interpretation of the pogrom as a conspiracy of international communism was repeated during the extraordinary meeting of the

The Role Of Turkey In The Pacification And Rebuilding Of Iraq

3163 words - 13 pages year.? The Turkish Defense Minister, Sabahattin Cakmakoglu asserted that Turkey had a ?historic responsibility? for northern Iraq, given the fact that the oil-rich cities of Mosul and Kirkuk were initially part of the Turkish Republic, as defined by the founder of democracy in Turkey, Kemal Ataturk.[xiv]? Additionally, Turkey is resistant to the Iraqi Kurds because the Turks are fearful of a reoccurrence of the events that took place after