Analysis
Smart, independent reporting on Turkey's politics, economy and foreign affairs.
The central bank kept its benchmark policy rate unchanged at 37% for the third consecutive meeting on June 11, matching the consensus forecast of economists. The Monetary Policy Committee also held its overnight lending rate at 40% and its borrowing rate at 35.5%. The central bank last altered its policy rate in January with a 100-basis-point cut.
Millions of retirees in Turkey are waiting for official inflation data due on July 3 to learn how much their pensions could increase in the second half of the year. TurkStat will announce June inflation figures on July 3, revealing the inflation rate for the first six months of 2026. The data will determine the basis for pension adjustments. The parliament previously set the minimum pension for workers and self-employed retirees at 20,000 Turkish lira ($434) as of Jan. 1, 2026. Any increase to that minimum pension level will require a new legal regulation.
Nikol Pashinyan’s election victory on June 7, his third in a row since 2018, confirmed the strong desire of the Armenian people to live in peace and prosperity in a functioning democracy as part of the Western World.
A few weeks before NATO leaders gather in Ankara, Istanbul hosted a more strange kind of summit. It unfolded not in conference halls, but across ferry terminals, concert queues and crowded streets.
Questions about the future of Turkey-Armenia normalization have grown after Turkish Foreign Ministry removed key wording from its statement on Armenian elections, putting pressure on Armenia rather than also pushing Azerbaijan and it took President Recep Tayyip Erdoğan four days to congratulate the Armenian prime minister on his election win.
Allegations of ill-treatment, strip searches and prosecutorial threats dominated this week's hearings at the Istanbul Municipality corruption trial, as defendants described abusive detention conditions and coerced statements.
Three weeks have passed since Kemal Kılıçdaroğlu reclaimed the CHP chairmanship by a court order on May 21 and it appears he has consolidated control across all the organs of the party.
Before the government submits a bill to define Turkish zones of jurisdiction in the surrounding seas, Turkey and Greece have once again clashed off the coast of Cyprus.
In the latest episode of a legal battle between the central government and the opposition-led Istanbul municipality, a Turkish appeals court on June 4 temporarily blocked the transfer of the historic Basilica Cistern, a major tourist attraction of Istanbul, from the municipality to the Directorate General of Foundations.
The Turkish economy grew by 2.5% in the first quarter of 2026 compared to the same period last year, lower than the 2.7% growth expected by economists. TurkStat data showed that quarter-on-quarter GDP growth remained at 0.1%. Household consumption made the largest contribution to growth with 3.4 percentage points. However, industrial production contracted. Also, the negative contribution of net foreign trade expanded.
Tom Barrack, now appointed as special envoy to Iraq in addition to his ambassadorial role in Turkey and special envoy role in Syria, described Iraq, Syria, and Turkey as 'the strategic fulcrum upon which any enduring Middle East stability must pivot,' calling for a single, consistent point of American contact across the three nations.
Foreign Minister Hakan Fidan, known for his intensive diplomacy and negotiation efforts on Middle East cases, particularly Syria, has embarked for the first time since taking office on a lengthy Asia-Pacific tour, visiting four countries in succession.