Political Uncertainty and Istanbul Finance Summit September

coalition government: That would result in a budget gap to add to an already large current- account shortfall, he said, according to Business Week. The most important risk we’re facing is lingering political uncertainty and the potential deterioration in the economy, especially in public finances, Simsek said at the Istanbul Finance Summit on 9 September. Turkey is facing a twin deficit if the government overspends in response to instability, said Simsek, who maintained his position in an interim cabinet formed last month after talks to create a coalition government were aborted. A fragile three-year truce with separatist Kurdish militants came to a violent end as political parties squabbled following June inconclusive election, accelerating an investor exodus from Turkish assets. Economic growth probably slowed below the government already revised down target of 4 per cent in the second quarter, according to a Bloomberg survey before the data is announced on 10 September. The government growth target is set to be missed for the fourth year in a row, with tumbling exports defying the lira plunge to a record low. (news.financializer.com). As reported in the news.