Analysis
Smart, independent reporting on Turkey's politics, economy and foreign affairs.
Turkey and Egypt conducted their first joint military exercise in the Eastern Mediterranean after a 13-year hiatus, between Sept. 22-26. The two countries also signed an agreement in August on the joint production of unmanned aerial vehicles capable of vertical takeoff and landing.
U.S. President Donald Trump will host Turkish President Recep Tayyip Erdoğan at the White House on Sept. 25, shortly after both leaders attend the UN General Assembly in New York. Their talks are expected to focus on defense and trade, including Boeing aircraft sales, a major F-16 package, and the potential revival of discussions on the suspended F-35 program.
The postponement of the decision in the lawsuit to cancel the CHP's 38th regular congress brought short-term relief to the markets. The BIST 100 index gained 5% following the decision. The banking index also gained over 6%. The risk premium reached 261 basis points, the lowest in about six months.
Aselsan has completed modernization work on its Koral Ground-Based Electronic Support and Electronic Attack system, which has been in service with the Turkish Armed Forces since 2016.
Vice President Cevdet Yılmaz unveiled the Medium-Term Program for 2026–28, raising the end-2025 inflation target by 11 points from the previous plan. Yılmaz said real GDP growth targets are 3.8% in 2026, 4.3% in 202, and 5.0% in 2028. The inflation path is 28.5% for end-2025, 16% for end-2026, 9% for 2027, and 8% for 2028.
Turkey’s main opposition party, the CHP, is set to hold an extraordinary congress on Sept. 21, after more than 900 delegates submitted signatures to Ankara’s Çankaya District Election Board on September 5. The move comes amid a growing legal standoff that has rocked the party’s Istanbul branch. Among the signatories, the 196 Istanbul delegates suspended by court order were not included.
Here at the tail end of the tourist season, the word of the week writes itself: konukseverlik, hospitality, or, in its Ottoman-tinted oldspeak, misafirperverlik. Every guidebook swears Turks are preternaturally welcoming; the national branding machine isn’t shy about it either. Yet while “hospitality” is the country’s trusty calling card, the numbers are more than brochure copy. Turkey received 23.6 million foreign visitors in the first half of 2025, marking an increase of 15.9% year-on-year, as tourism revenues hit a record $24.6 billion. By July, official arrivals had topped 31.2 million, the second-highest January–July tally on record.
Turkey’s main opposition CHP suffered a fresh blow as a court dissolved its largest provincial board in Istanbul over cash payment claims. The party now awaits either a Sept. 5 ruling by the Supreme Election Board (YSK) or a Sept.15 court hearing that could unseat Chair Özgür Özel’s administration. The CHP, which came to power at a November 2023 congress with the slogan “Change,” now risks being replaced by the team of former chair Kemal Kılıçdaroğlu. The 45th Civil Court of First Instance ruled that irregularities in the October 2023 Istanbul provincial congress were “approximately proven.” The court suspended provincial chair Özgür Çelik, the executive and disciplinary boards, and 196 delegates. Attention has now turned to another court set to review the CHP’s 2023 congress in Ankara. “The Istanbul decision is null and void. We do not recognize it,” said Özel, vowing not to hand over CHP’s Istanbul building to the appointed administration. The Istanbul administration also started a stage-in protest in front of the building for 24 hours.
Cyprus, the mythical land of Aphrodite, has long been in the headlines for one defining issue: its division. Since the 1960s, when Greek Cypriots pursued Enosis—union with Greece—the island has been riven by conflict. The Turkish military intervention of July 1974 cemented this division, leaving Northern Cyprus under Turkish protection and Southern Cyprus under Greek Cypriot control. For decades, this seemed to be the central challenge of the island: reunification, or lack thereof. But today, Cyprus is far more than just a frozen conflict—it is becoming one of the most militarized and geopolitically contested territories in the Eastern Mediterranean.
Turkey has postponed its moon landing project, which it had aimed to carry out in 2023 to mark the 100th anniversary of the Republic but later delayed to 2026, this time to 2027. The government established the Turkish Space Agency in 2018 to coordinate space activities.
İsmet Sayhan, the former head of the state-owned Mechanical and Chemical Industry Corporation (MKE) and a close associate of MHP Chair Devlet Bahçeli, was arrested in Ankara. Amid speculation that the detention was a sign of cracks in the ruling alliance, Bahçeli and President Recep Tayyip Erdoğan met in Bitlis’s Ahlat and Malazgirt on Aug. 25–26, posing for cameras to signal the strength of their alliance in their first meeting since July 10. They even listened to folk songs together.
Transportation and Infrastructure Minister Abdulkadir Uraloğlu was fined 9,267 lira for speeding.