Treasury and Finance Minister Nureddin Nebati announced on Twitter that there would be a new Treasury-backed guarantee package, which prioritizes production, exports, and employment in line with the Turkey Economic Model, to support SMEs’ financing needs. Stressing that the support packages provided within the frame of the Turkey Economic Model, have played an important role to meet the financial needs of enterprises with the lack of guarantee, Nebati said all details about the usage of the package will be shared with the public following the completion of the technical work.
Turkey’s high technology production and export outlook deteriorates. The share of the country’s technology exports in the total share of exports fell from 6.7% in 2000 to 3-4%, according to daily DUNYA. The share of Turkey’s high technology exports decreased to 2.7% of its total exports in the first seven months of the year. While the value-based increase in Turkey’s manufacturing exports was 19.1% in January-July, the hike in high technology products remained at 11.5% in the same period.
Turkey’s benchmark stock index ended yesterday at another record-high of 3,391.38 points, up 0.98% or 33.01 points from Monday’s close of 3,358.37 points. The index’s lowest value during the day was 3,247.88, while its daily high was 3,367.31. The total market value of the BIST 100 was around TRY 2.7tr by market close, with a daily trading volume of TRY 122.9bn. Although concerns over the recession and the continuation of interest rate hikes by central banks continue in the global equity markets, risk appetite has increased after China announced the steps to support the economy, according to analysts. Emphasizing that the BIST 100 index continues to positively differentiate from the global equity markets by the support of the banking stocks, analysts said the data agenda and the developments about the energy crisis in Europe may be influential on the asset prices. Analysts also noted that 3,300 points will be the support level and 3,450 points will be the resistance level for the BIST 100 index, in technical terms.
On the foreign policy side, President Recep Tayyip Erdogan announced in Bosnia and Herzegovina, the first step of his 3-day Balkan Tour, that Ankara and Sarajevo decided to allow their citizens to travel to each other’s countries without passports. “We have now decided to enable travel between Bosnia and Herzegovina and Turkey with identity cards,” Erdogan told a news conference in Sarajevo with the three members of the Presidential Council of Bosnia and Herzegovina. Erdogan said Türkiye and Bosnia and Herzegovina are currently working on passport-free travel, adding that it will become effective soon. President Erdogan, who also attended the Turkey-Bosnia-Herzegovina Business Forum during his visit, stated that the bilateral trade is aimed to exceed USD 1bn by the end of 2022.
DAILY AGENDA
The Treasury and Finance Ministry will release Cash Realization figures for August (5.30 p.m.).
Meanwhile…
>> The Consumer Price Index (CPI)-based real effective exchange rate (REER) dropped by 1.05 points or 1.9% from 53.89 to 52.84 in August, compared to the previous month, according to the Central Bank.
>> Turkey’s hardware exports totaled USD 9.9bn, up 30% year-on-year in January-August. The sector’s share in the country’s total exports was 6.7% in the eight-month period. Cetin Tecdelioglu, Chairman of the Istanbul Ferrous and Non-Ferrous Metals Exporters’ Association, said the exports of hardware products in August amounted to USD 1 billion, an increase of 7.7% year-on-year.
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