wiiw Forecast Reports
TURKEY: Outperforming the region – for now
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in: Recovery Beating Expectations
wiiw Forecast Report No. Autumn 2021, October 2021 , pp. 119-122
The economy is currently booming, underpinned by strong credit growth, robust domestic consumption, and the impact of the global recovery on export demand and tourism. Ultra-loose monetary policy by the major economies is supporting capital inflows; but as the US, in particular, starts to taper its asset purchases, the risks for Turkey’s external financing will rise. While the short-term outlook is good, the usual vulnerabilities remain – not least high inflation and uncertainty over the direction of monetary policy.
Reference to wiiw databases: wiiw Annual Database, wiiw Monthly Database
Countries covered: Turkey