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TURKEY IMPOSING ECONOMIC SANCTIONS AGAINST FRANCE COULD RISK ITS EU BID
epress.am
12.27.2011
The Turkish Central Bank could withdraw its nearly 23 billion euros
of reserves from France after the EU member's recent move to fine
any denial of the Armenian Genocide in 1915, economists say. However,
such a sharp move could risk Turkey's EU bid, they add.
"The Central Bank could withdraw its reserves from France as part of
its economic sanctions in the future," Erol Katırcıoglu, professor of
the economics department of Istanbul Bilgi University, said yesterday,
the Hurriyet Daily News reports.
"Looking at the steps taken by the Turkish government and the tone
of the political rhetoric, we can expect such a move," Katırcıoglu
told the Hurriyet Daily News in a phone interview yesterday. However,
such a move would strengthen opponents to Turkey's EU membership bid
and denounce Turkey as an "unreliable partner."
It is the right of Turkey to withdraw its reserves from France,
according to Kerem Alkin of Istanbul Commerce University. "This might
not hurt the French economy but will prove Turkey is serious about
sanctions," Alkin said.
Turkey's Central Bank has its second highest reserves in France with
28.8 billion liras, following the United States with 48.6 billion
liras, reports the Daily News.
"The French economy might face serious difficulties if the Turkish
Central Bank withdraws reserves, as most of it is in French
government bonds," said Mehmet Usta, deputy chair at Bank Aktif,
who also served as general manager at Banque de Bosphore in France
between 1994 and 2007.
Noting the rising need for liquidity in France due to the ongoing
European debt crisis, "Turkey's investment in the country would still
play an important role economically if France could not compensate
the amount from any other source immediately," he said.
Yet, responding to Daily News questions, Yucel Yazar, press counselor
of the Central Bank, declined to comment on the issue. "Our data is
open for everyone and clear enough, unfortunately we cannot comment
on this issue now," Yazar said.
Turkey might impose additional economic sanctions against France if
the country insists on accepting the bill punishing any denial of the
Armenian Genocide at the French Senate, on Dec. 23 said Ali Babacan,
Turkey's deputy prime minister.
epress.am
12.27.2011
The Turkish Central Bank could withdraw its nearly 23 billion euros
of reserves from France after the EU member's recent move to fine
any denial of the Armenian Genocide in 1915, economists say. However,
such a sharp move could risk Turkey's EU bid, they add.
"The Central Bank could withdraw its reserves from France as part of
its economic sanctions in the future," Erol Katırcıoglu, professor of
the economics department of Istanbul Bilgi University, said yesterday,
the Hurriyet Daily News reports.
"Looking at the steps taken by the Turkish government and the tone
of the political rhetoric, we can expect such a move," Katırcıoglu
told the Hurriyet Daily News in a phone interview yesterday. However,
such a move would strengthen opponents to Turkey's EU membership bid
and denounce Turkey as an "unreliable partner."
It is the right of Turkey to withdraw its reserves from France,
according to Kerem Alkin of Istanbul Commerce University. "This might
not hurt the French economy but will prove Turkey is serious about
sanctions," Alkin said.
Turkey's Central Bank has its second highest reserves in France with
28.8 billion liras, following the United States with 48.6 billion
liras, reports the Daily News.
"The French economy might face serious difficulties if the Turkish
Central Bank withdraws reserves, as most of it is in French
government bonds," said Mehmet Usta, deputy chair at Bank Aktif,
who also served as general manager at Banque de Bosphore in France
between 1994 and 2007.
Noting the rising need for liquidity in France due to the ongoing
European debt crisis, "Turkey's investment in the country would still
play an important role economically if France could not compensate
the amount from any other source immediately," he said.
Yet, responding to Daily News questions, Yucel Yazar, press counselor
of the Central Bank, declined to comment on the issue. "Our data is
open for everyone and clear enough, unfortunately we cannot comment
on this issue now," Yazar said.
Turkey might impose additional economic sanctions against France if
the country insists on accepting the bill punishing any denial of the
Armenian Genocide at the French Senate, on Dec. 23 said Ali Babacan,
Turkey's deputy prime minister.