Erdogan risks pushing Turkey’s economy into collapse
similar to Latin America populist regimes
Turkey on very similar path of policy missteps to ruin
Capital controls, nationalisation, no private sector protection
Erdogan dismissed central-bank Governor for high interest rates
bad economic policies extract political cost
Instead of fixing underlying economic problem
govt attacks symptoms : inflation, slow growth, weak currency, slow investment
real problems ignored, get worse
bad monetary policies, increasing interventionism
failure to develop local financing markets
too low savings, bad foreign policies
govt blames other groups instead of itself
makes investors more worried
more scapegoats as economy worsens
economic outlook worsens
capital flight, declining investment
govt starts taking action
capital controls, nationalization, contracts in lira
Eventually no financing, no growth, big crisis
My comments : Thats what some investment managers say. Note the coloured highlights. Do you see any similar patterns or behaviour with our government ? It is worse here. Most just do not know what to do.
April 20, 2019 - Erdogan’s son-in-law’s corruption speaks volumes about Turkey - http://www.theportal-center.com/2019/04/erdogans-son-in-laws-corruption-speaks-volumes-about-turkey/
ReplyDelete2014 - Erdogan and the Traitors Scandal and Protests Threaten Turkey's AKP
Turkish Prime Minister Recep Tayyip Erdogan is facing the most difficult challenge of his premiership.
Corruption scandals, a weakening economy and a draining battle with the Gülen movement have the leader reeling ahead of important local elections....
https://www.spiegel.de/international/europe/turkish-prime-minister-erdogan-facing-corruption-scandal-protests-a-959453.html