Turkish economy crisis also threatens financial system in Europe

What's going on with Turkey? Rather, what went wrong with the country that boasted about the momentum of its economy, which today lies in the eye of the perfect “stude”? Turkey was listed in recent years as one of the fastest growing economies in the world, but its impressive figures were fueled by foreign currency debt. The country's borrowing resulted in deficit in its fiscal and trade accounts, and according to experts, Ankara does not have enough reserves to save the economy when things go wrong.

The situation seems to have burdened thecep Tayip Erdogan's preference to keep interest rates low, though inflation is three times higher than the Central Bank's target.

The Turkish currency's free decline has sparked fears even across borders. Not many fear violating European banking systems from this situation.

Erdogan rejects claims that the Turkish economy is facing serious problems, but speaks of conspiring plots against his country, citing a well-organised operation against Turkey.

But, “J.P. MAKERSTION: They are convinced that their member NATO will face worsening financial conditions, with a fluctuation of investor beliefs, with insufficient management of the economy, and all of these add to American tariffs.

Washington threatened to tighten economic measures on Ankara unless American Protestant priest Andree Brunson, imprisoned there for two years under claims of ties with illegal political groups, is released.

The clashes between the two NATO allies have seen each of them impose tariffs on the other side, which exacerbated the Turkish lira crisis, which since January has lost nearly a third of the value against the US dollar.

This crisis is being seen with concern in our country. Currently, Turkey is the second largest importer in Albania, after Italy, with $500m a year. While Albanian exports to Turkey are noticeably lower, only $20m. /Top Channel