Latest news with #MehmetSimsek
Zawya
a day ago
- Business
- Zawya
Moody's lifts Turkey's rating to 'Ba3' on improving policy, easing inflation
Credit ratings agency Moody's on Friday upgraded Turkey's rating to "Ba3" from "B1," citing improving monetary policy credibility, easing inflation and reduced economic imbalances. The outlook was revised to stable from positive, reflecting a balance between ongoing policy gains and lingering political and external risks. The lift in ratings comes a day after Turkey's central bank cut its benchmark interest rate by a larger-than-expected 300 basis points to 43%, resuming an easing cycle that had been disrupted earlier this year by political turmoil. Market turbulence in March, triggered by the detention of Istanbul Mayor Ekrem Imamoglu, President Tayyip Erdogan's main political rival, had prompted an emergency rate hike and drained foreign currency reserves. "The upgrade reflects the strengthening track record of effective policymaking, more specifically in the central bank's adherence to monetary policy that durably eases inflationary pressures," Moody's said in a statement. Since Erdogan's re-election in 2023, Turkish authorities have shifted back to orthodox economic policies, sharply raising interest rates and curbing credit growth to rein in inflation and stabilize the lira. Inflation slowed to 35% in June 2025, down from 72% a year earlier, according to official data. Finance Minister Mehmet Simsek said in May that the country's economic transformation was "on track" and that Turkey was prepared to live with slower growth if it meant long-term stability. "Growth is slower but we can live with that," he said at the annual meeting of the European Bank for Reconstruction and Development. The Ba3 rating remains below investment grade but signals improved creditworthiness. Fitch on Friday affirmed its ratings on Turkey at 'BB-' with a stable outlook.
Zawya
2 days ago
- Business
- Zawya
Turkey's economy returns to a 'positive cycle', finance minister says
ANKARA: Turkey's economy has returned to a "positive cycle" after market turbulence in March, Finance Minister Mehmet Simsek said on Sunday. All financial indicators including gross foreign exchange reserves and the main stock index BIST100 have returned to mid-March levels with the steps taken to manage the economy, Simsek said in a live interview with broadcaster Kanal 7. The detention of Istanbul Mayor Ekrem Imamoglu, President Tayyip Erdogan's main political rival, on March 19 triggered market turmoil that prompted an emergency interest rate hike and drained foreign currency reserves. Turkey's central bank this week cut its benchmark interest rate by a larger-than-expected 300 basis points to 43%, resuming an easing cycle that had been disrupted in March. Credit ratings agency Moody's on Friday upgraded Turkey's rating to "Ba3" from "B1," citing improving monetary policy credibility, easing inflation and reduced economic imbalances. Turkey's government expects that inflation will end the year "within the central bank's mid-point to high forecast range. We expect a figure below 29%," Simsek said. Turkish annual consumer price inflation slowed to 35% in June, extending its fall from a peak of around 75% in May 2024. The central bank's year-end inflation mid-point estimate currently stands at 24%, in a forecast range of 19% to 29%. Turkish economic growth has remained below forecasts in recent months and there is a "high probability" of a limited deviation from the budget revenue target, Simsek said. Based on its three-year policy roadmap published last September, the government predicts 4.0% gross domestic product growth this year. According to the median forecast of 34 economists in the July 18-23 Reuters poll, growth in Turkey's GDP is expected to be 2.8% this year, slower than 3.2% in 2024. (Reporting by Huseyin Hayatsever Editing by Peter Graff)
Reuters
2 days ago
- Business
- Reuters
Turkey's economy returns to a 'positive cycle', finance minister says
ANKARA, July 27 (Reuters) - Turkey's economy has returned to a "positive cycle" after market turbulence in March, Finance Minister Mehmet Simsek said on Sunday. All financial indicators including gross foreign exchange reserves and the main stock index BIST100 (.XU100), opens new tab have returned to mid-March levels with the steps taken to manage the economy, Simsek said in a live interview with broadcaster Kanal 7. The detention of Istanbul Mayor Ekrem Imamoglu, President Tayyip Erdogan's main political rival, on March 19 triggered market turmoil that prompted an emergency interest rate hike and drained foreign currency reserves. Turkey's central bank this week cut its benchmark interest rate by a larger-than-expected 300 basis points to 43%, resuming an easing cycle that had been disrupted in March. Credit ratings agency Moody's on Friday upgraded Turkey's rating to "Ba3" from "B1," citing improving monetary policy credibility, easing inflation and reduced economic imbalances. Turkey's government expects that inflation will end the year "within the central bank's mid-point to high forecast range. We expect a figure below 29%," Simsek said. Turkish annual consumer price inflation slowed to 35% in June, extending its fall from a peak of around 75% in May 2024. The central bank's year-end inflation mid-point estimate currently stands at 24%, in a forecast range of 19% to 29%. Turkish economic growth has remained below forecasts in recent months and there is a "high probability" of a limited deviation from the budget revenue target, Simsek said. Based on its three-year policy roadmap published last September, the government predicts 4.0% gross domestic product growth this year. According to the median forecast of 34 economists in the July 18-23 Reuters poll, growth in Turkey's GDP is expected to be 2.8% this year, slower than 3.2% in 2024.
Reuters
22-07-2025
- Business
- Reuters
Turkey secures 2.4 bln euro green financing for rail to Azerbaijan's Nakhchivan
ISTANBUL, July 22 (Reuters) - Turkey secured 2.4 billion euro ($2.80 billion) in green financing for a railway project that aims to make a direct rail connection to Azerbaijan's Nakhchivan exclave, the state-run Anadolu Agency reported on Monday. Finance Minister Mehmet Simsek reposted the article by Anadolu on his X account and said the financing will strengthen Turkey's infrastructure, competitiveness and efficiency. Turkey signed the agreement with a group of lenders led by Japan's MUFG Bank, Anadolu said, adding the package is backed by Sweden's EKN and Austria's OeKB export credit agencies, as well as an unit of Islamic Development Bank. The project is part of Turkey's broader infrastructure strategy and expected to enhance regional trade and connectivity while supporting green transition goals, Anadolu said. ($1 = 0.8557 euros)
Time of India
25-06-2025
- Business
- Time of India
Cryptocurrency Live News & Updates : Cork Protocol Hacker Launders Funds, Donates to Legal Fund
26 Jun 2025 | 01:45:10 AM IST Turkey is introducing measures to curb the laundering of illicit funds through cryptocurrency, including withdrawal limits and mandatory waiting periods, according to Finance Minister Mehmet Simsek. Turkey is taking significant steps to prevent money laundering linked to illegal activities by implementing new regulations on cryptocurrency transactions. Finance Minister Mehmet Simsek announced plans for withdrawal limits and waiting periods for crypto assets, aiming to enhance compliance with the travel rule. Meanwhile, the Cork Protocol exploiters have resurfaced, laundering stolen funds through Tornado Cash and even donating to a legal fund for Tornado Cash developers. This highlights ongoing challenges in tracking illicit activities in the crypto space. In market updates, Bitcoin Cash (BCH) has gained 6.0%, leading the CoinDesk 20 Index, while SoFi is set to launch international remittances using stablecoins, signaling a renewed interest in crypto services. Additionally, the Bank of Korea's deputy chief emphasized a gradual introduction of won-denominated stablecoins, reflecting a cautious approach to integrating digital assets into the financial system. These developments underscore the evolving landscape of cryptocurrency regulation and usage across different regions. Show more
