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Author: Alaattin Aktas (Alaattin Aktas)


Central Bank didn’t raise interest rate, it reduced it

THE CENTRAL BANK increasing the one-week repo rate, also known as the policy rate, to 10.25% from 8.25% is in practice not an increase; it’s a rate cut operation. This 10.25% rate will probably not be implemented, at least for now. The apparent increase will allow the interest rates on other fundings related to the...


Industrial production rose and fell in July

I F YOU think there’s a contradiction in the headline, you are right, but only at first glance. In fact, there’s nothing wrong with the title because industrial production both increased and decreased in July compared to the same period of the previous year. But how is this possible? Once again we face a dilemma:...


Foreigners earn USD 416m on forex

FOREIGNERS sold a total of USD 5.5bn worth of shares in the first eight months of the year. I highlighted this before: If foreigners are selling their assets, it is a signal of two economic expectations. Firstly, it implies that the stock prices might fall further. Secondly, it signals that the foreign exchange could appreciate...


This isn’t a rate hike?

T H E C E N T R A L B A N K’ S policy rate, which the bank decided to use to regulate the market, declaring it the real rate, still stands at 8.25%. But the weighted average cost of funding has increased to double-digits after five and a half months. The Central...


Ordinary questions for natural gas discovery

I ’ M not an energy expert. That’s why I’m not going to dive into the technical debate regarding the 320 billion cubic meters of natural gas reserves discovered in the Black Sea. But still, after the first wave of excitement, joy, and simultaneous disdain, it’s important to note some of the questions raised by...


Housing construction increases, sales decline

MUNICIPALITIES issued licenses for the construction of 212,000 houses during the first half of the year. It’s more accurate to say: “Those who will build houses received licenses.” There’s been a rapid increase on a quarterly basis. A total of 81,000 licenses in the first quarter, 131,000 in the second. Also, there’s been a strong...