© 2018

Turkish Economy

Between Middle Income Trap and High Income Status

  • Ahmet Faruk Aysan
  • Mehmet Babacan
  • Nurullah Gur
  • Hatice Karahan

Table of contents

  1. Front Matter
    Pages i-xx
  2. Ahmet Faruk Aysan, Mehmet Babacan, Nurullah Gur, Hatice Karahan
    Pages 1-11
  3. Political Economy

  4. Financial System

  5. Real Economy, Trade and Energy

About this book


This book scrutinizes the last 15 years of exceptional growth in the Turkish economy, and presents a model for sustainable ongoing growth that has particular implications for other key emerging economies. 

The growth of the Turkish economy in the 2000’s was based on two integrated fundamental factors: fixing deteriorating dynamics and implementing further reforms to stimulate economic activity. This basic formula led to pleasing rates of economic growth, fuelled particularly by domestic private investments along with revived consumption and exports. Driven by political stability established by single party governments in the post-2002 period, an improved economic outlook helped Turkey enjoy record levels of foreign investment, adding momentum to its growth story. 

The Turkish experience in the post-crisis period implies that in order to achieve a fast and - more importantly - sustainable onward growth, the economy needs a new generation of structural reforms that simultaneously heal fragility and vitalize economic activity.

The papers in this book offer professional assessments and assistance - especially for policymakers, and present a new direction upon which the Turkish economy - and emerging markets - can progress successfully for a further 15 years.


Foreign Direct Investment (FDI) Structural reforms Banking sector Islamic banks Turkish Central Bank Business-Government relationships Social trust Quality of institutions Political stability

Editors and affiliations

  • Ahmet Faruk Aysan
    • 1
  • Mehmet Babacan
    • 2
  • Nurullah Gur
    • 3
  • Hatice Karahan
    • 4
  1. 1.Department of Economics School of Management and Administrative SciencesIstanbul Sehir UniversityIstanbulTurkey
  2. 2.Department of Economics and Finance School of BusinessIstanbul Medipol UniversityIstanbulTurkey
  3. 3.Department of Economics and Finance School of BusinessIstanbul Medipol UniversityIstanbulTurkey
  4. 4.Department of Economics and Finance School of BusinessIstanbul Medipol UniversityIstanbulTurkey

About the editors

Dr Ahmet Faruk Aysan is an associate professor and a member of the Board and the Monetary Policy Committee of the Central Bank of the Republic of Turkey. Dr Aysan has served as a consultant at various institutions including the World Bank, the Central Bank of the Republic of Turkey and Oxford Analytica, and he has been lecturing at the Department of Economics at Boğaziçi University since 2005. 

Before joining the Central Bank, Dr Aysan was Deputy Director of the Center for Economics and Econometrics at Boğaziçi University, a member of the G-20 Financial Safety Net Experts Group, a member of the Advisory Board of Social Sciences and Humanities Research Group of TÜBİTAK, and a National Expert in 'Socio-Economic Sciences and Humanities' under the Seventh Framework Programme of the European Union.

Dr Aysan's fields of specialization are international finance, macroeconomics, political economy, banking and finance, econometrics, governance and development.

Dr Mehmet Babacan is an advisor to the Office of the Prime Minister of Turkey. He has also been a member of the Auditing Committee of the Central Bank of the Republic of Turkey since May 2015. Dr Babacan has contributed a range of publications, projects, research documents and conference presentations, primarily on international trade and governance, economic growth, and political economy. He has published and refereed for articles in several international journals and is the author of three book chapters on trade and development in distinct edited volumes.

Dr Nurullah Gur is currently a faculty member at the Department of Economics & Finance, Istanbul Medipol University. He has published numerous articles in international journals with a focus on economic development and finance-real sector relations. 

Dr Hatice Karahan specialises in macroeconomics, and currently heads the Department of Economics and Finance at Istanbul Medipol University. In addition, she serves as an economic consultant for the Turkish Exporters’ Assembly and writes bi-weekly columns at Yeni Safak, a Turkish newspaper. Karahan also contributes to Dunya, a national newspaper on economy and business with her opinion columns. She has academic publications on the Turkish economy, foreign trade, energy, R&D, and entrepreneurship in various national and international journals, books and reports.

Bibliographic information