TURKEY’S UNEMPLOYMENT RATE CLIMBS TO 8.6%
According to the Turkish Statistical Institute’s (TurkStat) Household Labor Force Survey, unemployment increased in the second quarter of 2025 while overall employment declined.
Analysis
In-Depth Analysis
Smart, independent reporting on Turkey's politics, economy and foreign affairs.
COLLECTIVE BARGAINING HITS AN IMPASSE
No agreement was reached in pay talks between the government and civil servant unions. Memur-Sen, which is known for its closeness to the government and was expected to take the government’s pay rise proposal to the Public Officials Arbitration Board, announced that no application would be made.
FROM SOMALIA TO BURKINA FASO, TURKEY BUILDS PARTNERSHIP OVER PATERNALISM
For the past decade, Turkey’s Africa policy has favored partnership — co-designed projects, capacity building, and trade — over extractive habits associated with colonial legacies. Two countries once written off as “failed states,” Somalia and Burkina Faso, illustrate this shift. Both are edging back toward firmer state capacity under locally led agendas, with Turkey positioned as a security and development partner rather than a patron.
JAPAN SHOWS INTEREST IN TURKISH UAVS AND HÜRJET TRAINER JET
Japanese Defense Minister Gen. Nakatani toured the facilities of Turkish Aerospace Industries (TAI) and Baykar to examine Turkish-made aircraft and unmanned aerial vehicles. His visit followed a meeting with his Turkish counterpart, Defense Minister Yaşar Güler.
SENIORITY CRISIS IN THE MILITARY
Resignations have begun in the Turkish Armed Forces after promotion decisions by the Supreme Military Council and presidential appointments signed by President Recep Tayyip Erdoğan broke with the long-standing principle of seniority.
ERDOĞAN PUSHES FOR DEFENSE TIES AS MACRON FOCUSES ON UKRAINE SECURITY
President Recep Tayyip Erdoğan and French President Emmanuel Macron held a phone call on Aug. 21, their first direct contact since the NATO summit in June. The two leaders discussed Russia’s war in Ukraine, the crisis in Gaza, and bilateral cooperation, with Erdoğan again stressing Ankara’s interest in deepening defense ties with France. Both later shared posts on X, tagging each other in messages that underlined common concerns but also revealed different priorities. On bilateral ties, Erdoğan said Turkey valued closer cooperation with France, particularly in the defense industry, and wanted to keep advancing relations across multiple fields. Ankara has long sought approval from Paris to procure European air-defense systems. A green light for the sale of Eurosam GIE’s SAMP/T could accelerate Turkey’s plan to build its own missile shield, described as a “steel dome,” within two to three years.
16TH CHP MAYOR ARRESTED IN CORRUPTION PROBE TARGETING OPPOSITION CITIES
Istanbul’s Beyoğlu Mayor İnan Güney has become the 16th CHP mayor sent to prison as part of a widening corruption probe targeting opposition-run municipalities.
THE LAST DANCE OF THE EFE IN HIGH HEELS
Özlem Çerçioğlu has been elected mayor of Aydın from the CHP for four consecutive terms. She also previously served two terms as a CHP lawmaker. Before delving into the political dimension, it’s worth examining the nickname she’s been given—“Topuklu Efe” (Efe in High Heels).
ATTACK ON EVRENSEL'S IZMIR OFFICE
An attack was carried out on the Izmir office of the leftist newspaper Evrensel at around 1:30 a.m. on Aug. 14.
İŞ BANK SEES 29% INFLATION, 35% INTEREST RATES AT END-2025
Hakan Aran, head of İş Bank, the country’s largest private lender, said they expect Turkey’s annual inflation to drop to 29% by the end of 2025, with interest rates falling to 35%. Aran shared his predictions regarding the economic normalization process at a press conference. According to Aran, “we may see monthly inflation rates drop below 1% as the normalization process begins in May 2026.”
NETHERLANDS, KAZAKHSTAN TOP TURKEY’S FIRST-HALF FDI SOURCES
Foreign direct investment (FDI) in Turkey rose 27% year-on-year to $6.3 billion in the first half of 2025, led by inflows from the Netherlands and Kazakhstan, according to the International Investors Association (YASED).
GOVERNMENT PAY RISE PROPOSAL SPARKS UNION OUTRAGE
The government’s first pay offer in collective bargaining—10% for the first half of 2026, 6% for the second half, and 4% for each half of 2027—was rejected by public sector unions representing about four million civil servants and more than two million retirees.