Analysis
Smart, independent reporting on Turkey's politics, economy and foreign affairs.
Ankara is happy to see the two-week ceasefire between the US and Iran as a significant first step, but worries it may not hold. The central fear focuses on Israel, which stayed silent through the night of negotiations only to issue a statement on Lebanon afterward.
Internal friction among top economy officials came to light after a senior central banker dismissed the impact of political cycles on monetary policy. The remarks by Deputy Governor Cevdet Akçay triggered a sharp rebuke from pro-government figures and suggestions of a rift between the central bank and the Presidency.
The central bank spent approximately $23.5 billion in foreign exchange interventions during the first two weeks of the Iran war to defend the Turkish lira.
The central bank may pause its easing cycle at the March 12 meeting amid growing uncertainty caused by the U.S. attack on Iran.
The Defense Ministry urged the Syrian Democratic Forces (SDF) to integrate with the central government and pledged sustained support for the Damascus administration.
A dangerous escalation has erupted between Damascus forces and the Syrian Democratic Forces (SDF) in two strategically important neighborhoods of Syria’s northern city of Aleppo. As clashes intensified, evacuation notices, issued Dec. 8. by Syria’s central government in the two key districts, have raised the possibility of a military operation. Simultaneously, the Defense Ministry said that Turkey would support an expected Syrian army operation in Aleppo “if requested.”
The integration of the Syrian Democratic Forces (SDF) into the Syrian armed forces has entered a critical phase, emerging as one of the central pillars of Syria’s fragile transition following the overthrow of Bashar Assad on Dec. 8, 2024. Syrian Defense Minister Murhaf Abu Qasra said Syria has formally delivered a 13-point roadmap outlining the integration of the SDF into the new administration, with further details expected in the coming days.
Central Bank Governor Fatih Karahan has likened inflation to a virus, saying it becomes harder to eliminate the longer it lingers in the economy. “We are applying the right prescription,” he said. “We’ve achieved positive results so far, and we have no doubts about our ultimate goal. But the effect of the prescription varies from case to case.”
In early November 2025, two gatherings revealed the evolving architecture of Eurasian energy and resource corridors: the “3+1” Energy Ministerial in Athens, bringing together Greece, Cyprus, Israel, and the United States, and the C5+1 Summit in Washington between the United States and the five Central Asian republics—Kazakhstan, Uzbekistan, Turkmenistan, Kyrgyzstan, and Tajikistan.
Turkey’s Banking Regulation and Supervision Agency (BDDK) released new data covering the first nine months of 2025, revealing the country’s debt landscape by province. The capital, Ankara, recorded the highest total credit debt, while the central Anatolian province of Karaman had the largest share of citizens unable to repay their loans and facing collection proceedings.
The Central Bank eased interest rates more cautiously at its latest meeting, following a sharper-than-expected rise in inflation in September.
Central Bank Governor Fatih Karahan said that if the inflation target is missed, monetary policy will be tightened.