Currencies by Country:

What is the Turkish lira (TRY)?

Credit Ratings & Outlook

In the latest credit ratings from December 1970, Moody's gives Turkey a Ba2 rating, with a positive outlook. Fitch has a positive outlook with a BB+ rating. Finally, S&P last issued a BB rating, with a positive outlook.

Sovereign credit ratings play an important part in determining a country’s access to international capital markets, and the terms of that access. Sovereign ratings help to foster dramatic growth, stability, and efficiency of international and domestic markets.

GDP

In 2010 the total GDP was $734,364,471,759 in US Dollars, while the per capita GDP was $10,094. It grew by 9.01% over the previous year.

Unemployment

The latest unemployment rate for 2010 is 9.99%.

Consumer Price Index

The latest consumer price index for 2010 is 153.12.

Political Structure

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Currency Details

The new Turkish lira is the currency of Turkey and the Turkish Republic of Northern Cyprus. The currency was introduced in January of 2005, and is equivalent to 100,000 of the old Turkish lira. The old lira will be accepted through the end of 2005, until its division into 100 kurus. Because of heavy inflation in Turkey, from the 1970-90′s, the lira has depreciated in value in the last few decades. Although suffering from inflation for many years, the Turkish government has never undergone hyperinflation. In the late 1960′s, the approximate exchange rate was 9 liras to 1 dollar. In 2001, 1.6 million liras were worth 1 dollar. In the end of 2004, the Turkish government passed a law that removed the last six zeros from the currency, and in the process created the new Turkish lira. Along with the new currency, the government introduced two different banknotes, called TRY 100 and TRY 50. After the revaluation of the lira, the Romanian leu became the least valued currency in the world. All Turkish notes and coins show the portrait of Mustafa Kemal Ataturk, the founder of the Turkish Republic and its first President.

Moody’s Rating
Ba2, 08 Jan 2010
S&P Rating
BBB-

Sovereign credit ratings play an important part in determining a country’s access to international capital markets, and the terms of that access. Sovereign ratings help to foster dramatic growth, stability, and efficiency of international and domestic markets.

What does it look like?

Political Structure

The Turkish government is a republican parliamentary democracy. With 81 provinces, the National Assembly elects the president for a 7-year term. The president appoints the prime minister and the deputy prime minister. The government has an advisory board, made up of top military and cabinet members, which is led by the president. The legislative branch, the Grand National Assembly of Turkey, holds 550 seats and is elected by popular vote and its members serve 5-year terms. The judicial branch is made up of the Constitutional Court, (where judges are appointed by the president), and the Court of Appeals and Council of States, (where the Supreme Council of Judges and Prosecutors elect the judges).

Prominent Figures

Chief of State President Abdullah GUL (since 28 August 2007)
Head of Government Prime Minister Recep Tayyip ERDOGAN (since 14 March 2003); Deputy Prime Minister Cemil CICEK (since 29 August 2007); Deputy Prime Minister Ali BABACAN (since 1 May 2009); Deputy Prime Minister Bulent ARINC (since 1 May 2009)
Cabinet Council of Ministers appointed by the president on the nomination of the prime minister
Elections president elected directly for a five-year term (eligible for a second term); prime minister appointed by the president from among members of parliament
Election Results on 28 August 2007 the National Assembly elected Abdullah GUL president on the third ballot; National Assembly vote – 339 note: in October 2007 Turkish voters approved a referendum package of constitutional amendments including a provision for direct presidential elections

Key Economic Factors

Turkey’s economy is moved primarily by private consumer demand. PCD accounts for approx. 70% of nominal GDP, compared with 15% for public consumption. In 2001, the percentage exports of goods and services in the GDP was greater that 30%; this was the first time exports accounted for more than 25% of the GDP. A year of recession caused domestic demand to decrease sharply, however, the devaluation of the lira helped to increase exports. The agricultural sector has been on the decline for the last 3-decades, with its stabilization at a share of 15%, primarily depending upon prices, weather conditions, and the performances of other sectors. The agricultural sector accounts for approximately 60% of female employment, while for men it accounts for one-quarter. Industry accounts for 25% of the GDP and one-fifth of employment. The manufacturing industry dominates; manufacturing of consumer goods, especially textiles, clothing, motor vehicles, and consumer electronics have boosted Turkey’s economy. The Marmara region including Izmit, Bursa, and Istanbul, account for a large portion of the GDP. These areas have a huge effect on Turkey’s industrial and business development sectors. However, Denizli, Konya, Kayseri, and Gaziantep have had their share of popularity as well, in that they attract a good amount of investment for their significance in textiles, food processing, and furniture. The south and west base a lot of their wealth on areas of tourism and agriculture. Antalya, is the main area for tourist activity.

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