TR Economy & Updates

[Ryder]

The first Starbucks in Elazig opened 2 months ago. I visited today to take a look.

It was over-full. No space inside. I was waiting with many other customers outside in the cold, hoping that 1 customer go out so that another could go in.

A 'hungry' middle class ("Ekmek eve götüremiyong aaaaabiiii!") can not afford Starbucks with their sharkloan prizes.

Not to say Turkiye's economy is good or going good but I kid you not I saw peoples comments about how they are going to become like Somalia

Pretty insulting.

 

[Tornadoss]

The first Starbucks in Elazig opened 2 months ago. I visited today to take a look.

It was over-full. No space inside. I was waiting with many other customers outside in the cold, hoping that 1 customer go out so that another could go in.

A 'hungry' middle class ("Ekmek eve götüremiyong aaaaabiiii!") can not afford Starbucks with their sharkloan prizes.

In starbucks you can get a single coffee and sit for hours. And it doesn't mean economy is good if someone able to buy a single cup of coffee.

 

[Ravenman]

In starbucks you can get a single coffee and sit for hours. And it doesn't mean economy is good if someone able to buy a single cup of coffee.

For the price of a single Starbucks-coffee in Turkey you can buy a kilogram chicken.

A 'hungry' middleclass or a 'poor' nation doesnt own heavy crowded Starbuckses, Burger King's, Hilton Coffee's, Poppeye's, Domino's or McDonaldses.

And the prizes of these 6 brands are expensives in Turkey. I am only talking about my city Elazig, a little city with very less work and jobs. In the big cities of Turkey these branches are making a lot of more money.

 

[HTurk]

The amount of money they have wasted is almost criminal...

 

[AWP]

1 usd = 13 tl

erdogan reforms are failing

 

[CAN_TR]

1 usd = 13 tl

erdogan reforms are failing

By "reforms" you mean dumping our reserves and appointing someone who has no clue about economics?

 

[Ryder]

In Egypt, elation at Turkish currency crisis

As Turkey faces a currency crisis, its toughest in years, Egyptians are enjoying the spectacle from the sidelines, remembering many confrontations over the past decade.

www.google.com

Somebody tell these Egyptians that even a shit Turkish econony is still miles ahead of their shithole of a country.

Matter of time before Ethiopia fills that dam up and no water

Should us Turks laugh or feel sorry? Too bad most of our people are gullible and naive. Will start feeling sorry for them.

Fcking ridiculous how tayyip made these people laugh at us. What a rezil.

 

[Ravenman]

Egypt is worser than India; no toilets, bad housing, real poverty (not like in Turkey where payed Youtube street artists with iPhone 13's en Samsung S21 Ultra's cry that they cant afford banana's) and soon no water.

They will eat Sisi alive like a animal.

 

[Lool]

In Egypt, elation at Turkish currency crisis

As Turkey faces a currency crisis, its toughest in years, Egyptians are enjoying the spectacle from the sidelines, remembering many confrontations over the past decade.

www.google.com

Somebody tell these Egyptians that even a shit Turkish econony is still miles ahead of their shithole of a country.

Matter of time before Ethiopia fills that dam up and no water

Should us Turks laugh or feel sorry? Too bad most of our people are gullible and naive. Will start feeling sorry for them.

Fcking ridiculous how tayyip made these people laugh at us. What a rezil.

You guys really need to stop reading these propaganda websites
Al-Monitor, is a site primarily funded by the Egyptian govt. While they claim to be a bipartisan site that provides top-quality unbiased news, they were mainly pro-pkk, pro-greece, pro-haftar, and they even praised MBS who butchered another human being into pieces just because that journalist was against him

As for the Turkish lira, I know many wont believe it, but the greatest losers from a massive lira devaluation is the egyptian economy and its ppl then followed by the Turkish ppl themselves..... the Egyptians are laughing at their doom, loool fqing irony.

Turkey is one of the most importers of egyptian exports; if lira got devalued, Turkey will buy less from Egypt. Moreover, Egyptians will buy more from Turkey as lira is cheaper rn. However, this isnt the worst yet, Egyptian exports mainly depends on cheapness and not quality! Thus, if another cheaper competitor like Turkey came with top quality products, then ppl will throw Egyptian products out of the window and lets not forget what African leaders said a week ago about Turkish products that they are "European quality with Asian prices". Finally, investment in Turkey is way more preferable than Egypt due to its closer proximity to the EU, several free trade agreements worldwide, better infrastructure to support investments, and a more qualified workforce; therefore, investors will prefer to switch to Turkey rather than Egypt which will destroy one of the main reasons for why the Egyptian pound got devalued in the first place.

Investors, like Kaga and Hugo Boss, who recently switched their semiconductor factory production to Turkey, would have switched to Egypt if the lira was pre-Covid levels.

The current situation isnt favourable to Egypt. Meanwhile, Erdo can just keep racking investments and then before the elections announce a rate hike and then u will see the lira reach to 8 or 7 to a dollar

The situation rn is that Egypt has a strong competitor, Turkey, which is gradually eating its market share

Turkey's geography lures Japanese electronics contractor Kaga

Semiconductor trader to add new plant, with eye on Middle Eastern and European demand

asia.nikkei.com

Hugo Boss to expand production in İzmir - Latest News

German clothing company Hugo Boss has decided to increase the scale of production in the Aegean province of İzmir by a third in a bid to shorten its supply chains, CEO Daniel Grieder told Financial Times.

www.hurriyetdailynews.com

 

[Tornadoss]

With the new year, natural gas prices are increased 25%, electricity prices increased 127% for producers, And increased 50% up to 150 kWh conspumtion And 125% for the moře than 150 kWh conspumtion for the household conspumtion.

 

[TheInsider]

Winter is coming. Be ready for insane levels of inflation but as always don't be surprised if TUIK announces an inflation rate between %20-30.

 

[Nilgiri]

Bashing other countries to try feel better about one's self-inflicted bad state is not good or useful.

All contexts are different....you should compare to your own known potential as far as possible only.

No other country in world (economically behind or ahead of Turkey) I can think of lowers interest rates to address high inflation....
...deliberately creating an extra mountain of a burden to carry.... out of thin air.

 

[TheInsider]

December 2021 foreign trade figures.
Export: 22 billion and 274 million $ (all-time record)
Import: 28 billion and 924 million $

Year on year
Export: 225 billion and 368 million $ (%32.85 increase)
Import: 271 billion and 355 million $ (%23.61 increase)
Foreign Trade Deficit: 45 billion and 987 million $ (%7.80 decrease)

As you can see exports are increasing faster than imports which means slowly we are producing more added value and nationalizing the logistic chains of the products we produce. The foreign trade deficit is also shrinking. This is all achieved with miserable tourism revenues. Türkiye normally earns around 40 billion from tourism per year. This year we got only 24 billion which is not bad if we take into account Covid-19.

According to my estimates, we will break even in 2025 and the economic crisis will probably ease in 2024 if Erdo won't make a huge mistake regarding interest rate, foreign currency exchange rate, and inflation.

Next year, I expect monthly export figures to be around 22-23 billion $ (260-290 billion $ yearly total)on average and we will probably pass 300 billion $ in 2023. (
The foreign trade deficit will be around 40 billion (%10 decrease)

People should understand that what we are experiencing right now is an Erdogan-induced economic crisis because of his unorthodox approach to the economy.

 

[Xenon54]

Bashing other countries to try feel better about one's self-inflicted bad state is not good or useful.

All contexts are different....you should compare to your own known potential as far as possible only.

No other country in world (economically behind or ahead of Turkey) I can think of lowers interest rates to address high inflation....
...deliberately creating an extra mountain of a burden to carry.... out of thin air.

''Egypt is poorer than Turke hehe'' So what? Did Dollar decrease by pointing that out?
Why not mention the economic contraction of recent years instead of posting feel good posts?...

 

[Lool]

December 2021 foreign trade figures.
Export: 22 billion and 274 million $ (all-time record)
Import: 28 billion and 924 million $

Hm.... arent these values a bit strange?
I mean ever since Agbal was sacked and the lira got devalued from 6.9 to 8.3, we have seen progressive reduction in monthly foreign trade deficit; it even reached to the point where it was only 1.4 billion dollars deficit in October, I believe. However, the trade deficit figures for November and December are just insane..... 5.4 and 6 billion dollars respectively is just way too much tbh

Like....the normal logic is.... when the currency gets devalued, a barrier is placed on unnecessary imports and exports jump which will reduce the trade deficit and aid in forming a current account surplus. However, with such data, Turkey may never record a trade surplus at all

 

[Xenon54]

Hm.... arent these values a bit strange?
I mean ever since Agbal was sacked and the lira got devalued from 6.9 to 8.3, we have seen progressive reduction in monthly foreign trade deficit; it even reached to the point where it was only 1.4 billion dollars deficit in October, I believe. However, the trade deficit figures for November and December are just insane..... 5.4 and 6 billion dollars respectively is just way too much tbh

Like....the normal logic is.... when the currency gets devalued, a barrier is placed on unnecessary imports and exports jump which will reduce the trade deficit and aid in forming a current account surplus. However, with such data, Turkey may never record a trade surplus at all

Things like this are never linear, erdogan makes the same logic failure.

 

[TheInsider]

Hm.... arent these values a bit strange?
I mean ever since Agbal was sacked and the lira got devalued from 6.9 to 8.3, we have seen progressive reduction in monthly foreign trade deficit; it even reached to the point where it was only 1.4 billion dollars deficit in October, I believe. However, the trade deficit figures for November and December are just insane..... 5.4 and 6 billion dollars respectively is just way too much tbh

Like....the normal logic is.... when the currency gets devalued, a barrier is placed on unnecessary imports and exports jump which will reduce the trade deficit and aid in forming a current account surplus. However, with such data, Turkey may never record a trade surplus at all

No, it is not strange. Companies bought a lot of stuff to get ready for the new year.

 

[HTurk]

Hm.... arent these values a bit strange?
I mean ever since Agbal was sacked and the lira got devalued from 6.9 to 8.3, we have seen progressive reduction in monthly foreign trade deficit; it even reached to the point where it was only 1.4 billion dollars deficit in October, I believe. However, the trade deficit figures for November and December are just insane..... 5.4 and 6 billion dollars respectively is just way too much tbh

Like....the normal logic is.... when the currency gets devalued, a barrier is placed on unnecessary imports and exports jump which will reduce the trade deficit and aid in forming a current account surplus. However, with such data, Turkey may never record a trade surplus at all

You're mixing up trade deficit and current account deficit.

 

[Nilgiri]

Hm.... arent these values a bit strange?
I mean ever since Agbal was sacked and the lira got devalued from 6.9 to 8.3, we have seen progressive reduction in monthly foreign trade deficit; it even reached to the point where it was only 1.4 billion dollars deficit in October, I believe. However, the trade deficit figures for November and December are just insane..... 5.4 and 6 billion dollars respectively is just way too much tbh

Like....the normal logic is.... when the currency gets devalued, a barrier is placed on unnecessary imports and exports jump which will reduce the trade deficit and aid in forming a current account surplus. However, with such data, Turkey may never record a trade surplus at all

It would need study of Turkey seasonality in merchandise trade (esp imports). i.e does import bump happen around this time more generally.

It could be particularly inelastic imports in the seasonality (capital good depreciation replenishment, energy etc).

Export jump stuff all needs the elastic export side of things to have sound investment (and labour price signalling + availability) to respond to it.

Zimbabwe inflating + depreciating its dollar by magnitudes did not make it exporting superpower as one extreme example.

Generally, extremely high inflation driven depreciation brings very little good in the end compared to the bad....as price and investment signalling (that benefit from stable prices and prudent policy) are all upset big time.

 

[Turko]

Producer's inflation is 79.89 percent


Turkish Statistical Institute (TUIK) announced the domestic producer price index (D-PPI) data for December.

Domestic producer price index (D-PPI) increased by 79.89 percent annually and 19.08 percent monthly.

Producer prices have reached the highest level of the last 19 years. The annual PPI, which was announced as 79.89 percent, was the highest rate announced since February 2002.

Üreticinin enflasyonu yüzde 79,89 oldu

TÜİK, aralık üretici fiyat endeksi verilerini açıkladı. Yurt içi üretici fiyat endeksi yıllık yüzde 79,89, aylık yüzde 19,08 arttı.

www.sozcu.com.tr