Page 7 - TURKRptAug21

2.0 Politics 2.1 Watchlist
● Global liquidity: The Fed’s balance sheet is breaking fresh records.
A sharp reversal in the money printing is not expected soon. The traditional liquidity dry in August is watched.
The Biden administration’s another package focused on infrastructure investments was agreed. Discussions over the tax hike plans continue.
● Virus lockdowns and demand conditions in Europe. Delta variant is on the rise but lockdowns are not expected.
● Halkbank case: On April 12, a hearing was held at the 2nd US Circuit Court of Appeals in Manhattan, a higher court will decide whether Halkbank can be prosecuted by the US. The appeals court did not say when it will rule. The case stays politicised.
● September 11: Erdogan has managed to dig his claws into a “transactional” partnership with Joe Biden.
He will continue operating the Kabul Airport in Afghanistan after the US’ targeted departure on September 11.
The Afghanistan deal has not been concluded as yet but the Biden administration may now see its way clear to keep Erdogan in power to secure the agreement. It is, after all, always better to do business with a single weak man rather than dealing with many.
Such are Erdogan’s growing difficulties, though, the Biden administration’s tentative support may not be enough.
● September 26: Elections in Germany. There is a possibility that Germany, Europe and the rest of the world might be waving goodbye to the German Christian Democratic Union (CDU). Lately, German capitalists are on the stage to stop the green and leftist reaction, and chances of a government shift are diminishing.
● Corona: Tourists are coming but figures do not look enough to satisfy Turkey’s needs.
7 TURKEY Country Report August 2021 www.intellinews.com