Turkish finance minister announces $50.7 billion in agreements with UAE during Erdogan’s Gulf tour

24 days ago
Turkish finance minister announces $50.7 billion in agreements with UAE during Erdogan’s Gulf tour

President Recep Tayyip Erdogan concluded his successful three-country tour of the Gulf by overseeing the signing of deals between Turkey and the United Arab Emirates worth a substantial $50.7 billion.

In an exciting development, Finance Minister Mehmet Simsek took to Twitter late Wednesday to announce the signing of several key agreements and Memorandums of Understanding, totaling an impressive $50.7 billion. This significant move aims to strengthen the already robust relationship between the UAE and Turkey.

The agreements cover export financing, earthquake bonds, energy, defense, and other key sectors.

Erdogan embarked on a tour of Saudi Arabia, Qatar and the UAE on Tuesday, seeking trade and investment opportunities for Turkey’s floundering economy.

Inflation in Turkey was 38% last month, down from a high of 85% in October, while the budget deficit widened to $8.37 billion in June, seven times the level of a year earlier.

Ankara has repaired ties with Riyadh and Abu Dhabi over the last two years following a decade-long split with the Arab states.

Timothy Ash, an emerging markets analyst at London’s BlueBay Asset Management, said the deals represented a “new strategic relationship between Turkey and the Gulf states.”

Describing a “real triumph for Erdogan and his team,” Ash said similar commitments from Saudi Arabia, Qatar and Kuwait could help Ankara as it begins a period of economic reform that embraces more orthodox policy-making.


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