Cyprus-Forum.com

[repulsewarrior]

https://www.scmp.com/comment/opinion/article/3127022/coronavirus-recovery-time-emerging-markets-reject-rigged-finance

...an interesting read.

I have always wondered what the world would be like if interest was charged based on the ability to pay. People with the greatest confidence, and/or security, paying the most; the poorest a term they may honour, as well.

...indeed, with the threats of extremism looming, (even in the USA), the hardship which those much poorer may experience as more hardship, may be at a tipping point. Who are this "Financial world"; how few are they, i ask.

If we are not in this, the COVID thing, together, if we cannot demonstrate this, together as one Humanity, we are doomed; under the circumstances, like with these few, we all hope, among them saner heads will prevail.

[repulsewarrior]

Erdogan today is asking people to deposit their gold and money at the banks! Many people can't afford to buy the basic staples yet he expects people to give their hard earned money to the government. If this isn't a sign of desperation, I don't know what is. Turkey is on the ropes and I can't see how he is going to get out of this one. Capital controls will be next and when that fails he will be knocking at the door of the IMF. I do feel sorry for ordinary Turkish people that have to suffer this.

People who cannot afford to buy food have no gold. It is his rich muslim compatriots he is begging to sell their gold and give it to him as if it will make a blind bit of difference.

...indeed, his voter base has no gold, they are poor mostly rural dwellers, who with this plea have all the more reason to believe that richer urban dwellers have wealth, as something they hide.

win-win, you might say. Propaganda as social-pressure and (in a counter-intuitive kind of way,) hope.

[Kikapu]

it seems there are seveal other reasons why he is building the canal outside of his selfish interest.

Istanbul Canal aims to minimise shipping traffic in the Bosporus. It is projected to have a capacity of 160 vessel transits a day – similar to the current volume of traffic through the Bosporus, where traffic congestion leaves ships queuing for days off to transit the strait.

Some analysts have speculated the main reason for the construction of the canal was to bypass the Montreux Convention, which limits the number and tonnage of ships from non-Black Sea powers that could enter the sea via the Bosporus.

In January 2018, Turkish Prime Minister Binali Yıldırım announced that Istanbul Canal would not be subject to the Montreux Convention.

No, the Canal Istanbul will not be subject to Montreux Convention which means it will be used to generate income much like Suez and Panama Canals. The only problem is, whilst there are no alternative shortcut routes around Suez and Panama canals, there is a free passage on the Bosporus Straits, so what is the point building it? Well, it has more to do with developing both banks of the canal where rich Arabs have already bought great deal of real state with kickbacks no doubt to Erdogan and gang, but that won’t be enough as Erdogan wants to hamper the free passage through the Bosporus Straits anyway possible so to charge for the use of the canal instead, therefore I expect there to be serious increase in “accidents” to block the straits to that the canal is used instead for a fee. I get there are delays now to go through the strait, but the same is also the case at the Suez and Panama Canal. We had to wait about 4 days to transit the Panama Canal on my sailboat to get to the Pacific side, which took 2 days to go through it. It is normal to wait.

If the ground water gets mixed with salt water by building the canal, then Istanbul would become a very thirsty city for generations to come.

Free passage does not mean generating no income, it means they have the right to que up and use the streights they still have to pay fees. Or is the money generated peanuts. You are the sailor, you should understand this stuff better.

http://www.vda.org.tr/tariffs/agency-and-protecting-agency-service-fee/5

The passage of the ships are free through the Bosporus straits under the Montreux Convention, however, there are minimal fees for services of Tug Boats, Pilots on ships and so on, but these are peanuts when you consider what they charge at Suez and Panama Canals and the time it takes to go from one governmental agency to the other to get all your papers in order if you are lucky to be seen my them, which is why one needs to hire a local agent to get everything done for a large fee, which then he pays off all those government agencies who wouldn't see you because you came to him in the wrong order or that you were 5 minutes late.


This is the game Turkey wants to enter with Canal Istanbul. The question is, are the transiting ships willing to pay the high fees when they can pass for free plus minimal expenses as detailed above through the Bosporus strait even if they need to wait for couple of days to do so. Now, on the other hand should there be constant disruptions at the Bosporus Straights due to "human errors" all the time so that the ships would be forced to go through the Canal Istanbul, then the members of the Montreux Convention might have a say in the matter also.

[Maximus]

Alright people,

I have just finished mapping the alignment of stars and calculating the trajectory of cosmic forces and think that;

The USDTRY rate of exchange will reach 10.00 before the end of this year.

In other words 1 USD will buy 10 TRY at some point, before the end of this year.

Do you agree or disagree?

State your opinion,

[Kikapu]

Alright people,

I have just finished mapping the alignment of stars and calculating the trajectory of cosmic forces and think that;

The USDTRY rate of exchange will reach 10.00 before the end of this year.

In other words 1 USD will buy 10 TRY at some point, before the end of this year.

Do you agree or disagree?

State your opinion,

For the past last year, the USD was depreciated against major currencies by about 10%, but has made a comeback in the last couple of months, so just by the USD getting back to where it was a year ago, that alone will make the 1USD = 9 TRY, so it is not a big hill to climb to 10TRY.

[Londonrake]

"Economists are currently forecasting a currency crisis for Turkey beginning as early as late May to June. This will force the country to adopt capital controls, although the government recently issued a statement claiming that this could not happen."

"Inflation is currently at about 16 per cent in Turkey, and the prices of food, electricity and other necessities have risen beyond the means of nearly 20 per cent of the population."

https://cyprus-mail.com/2021/03/31/turk ... 5-to-euro/

.

[Lordo]

What does it mean when a country is bankrupt?

Now here is a few countries nearer to bankruptcy well befor Turkey:

Cyprus 95.5% of GDP
Greece 180.92% of GDP
UK 85.4% of GDP
Turkey 32.99% of GDP

Surely what ever problems she is having today probaply due to tourism will easily be contained through debt. One thing they have in their favour is the fact that it is a farming country and can produce their own food and of course they have plenty of water too as well as plenty of financiers redy to lend. Especially now that the interest rates are low for states.

I get a feeling some people here are just wishfulling but it does not work. I rember TL being 33 to a pound and that was old TL before they knocked 6 zeros off it a few years ago. So long as a country can feed herself and has water she will survive.

They anounce they will send 50,000 new settlers to ooohps I mean sheep to Sheeprus.
Gavolo mavrolo lambron na dus gapsi
Dje guzzalin na das gamni.

[Maximus]

I had to read your post again Lordo,

You missed the united states, 129% debt to GDP.

Then I realised that it is April fools day.

Nice one.

"Inflation is currently at about 16 per cent in Turkey, and the prices of food, electricity and other necessities have risen beyond the means of nearly 20 per cent of the population."

About another 30% of the population is living just above the poverty line.

Turkey doesnt have the leeway of having a high debt to GDP ratio like those countries.

Even at < 32% debt to GBP, Turkey had to go looking for liquidity lines and borrow money from Qatar.

[Lordo]

Nothing to do with April fools day here, that joke was played on you by EOKA back in 1955 and have been playing it ever since.

As to bankrupt, you do not really understand the meaning of the word itself. To be bankrupt one has to have more debt than self fanancial worth.

As to where Turkey borrowed from, She will borrow from whoever has the money and has the lowest interest rates. So I guess Greece is ok and can be allowed to have 180% of GDP. She can thanks and so can Cyprus for that matter that they are in the EU and have the protection of the EURO currency .

[Maximus]

Sounds like you learnt history as well as economics from Erdogan.