As Turkey heads to the polls, the economy will be on voters' minds. Years of economic growth have raised living standards, with public spending playing a crucial role. Some foreign investors are voting with their feet.
Under a new economic program, Turkey wants to cut its growth sharply and promised to curb public spending, as it seeks to avoid a full-blown economic crisis fueled by massive inflation and a plunging currency.
Turkish President Tayyip Erdogan wants to slow spending on infrastructure projects to rein in inflation. But in the fight, he is still opposed to central bank measures after a massive interest rate hike on Thursday.
Turkey's central bank has shown it has teeth, hiking interest rates beyond expectations to quell inflation and calm investor nerves. But as recession looms and Erdogan growls, Turkey is not quite out of the woods.
Cem Özdemir, one of Germany's fiercest critics of Recep Tayyip Erdogan, intends to "send a signal" by attending a dinner for the Turkish president during his state visit. A host of lawmakers have pledged a boycott.
© 2018 Deutsche Welle |
Legal notice |
| Mobile version