"The Longest Boom
July 05, 2007
By Serhan Cevik | London
Turkey is still enjoying its longest stretch of uninterrupted economic growth. Even a sustained pace of economic growth is usually taken for granted these days, as the entire global economy keeps expanding at an above-trend rate, but we are not inclined to dismiss the longest stretch of uninterrupted growth in the Turkish economy as a mere by-product of global trends. Like many other developing countries, Turkey, too, has taken advantage of favourable financial conditions around the world and fuelled its domestic economy. However, Turkey’s success in increasing the rate of real GDP growth is not just a function of global liquidity and foreign investments. In our view, prudent policies and structural reforms have played a far more important role in economic normalization and thereby attracting international capital flows. Although the ever-present opposition to fiscal consolidation and monetary discipline has gained momentum in the midst of the election cycle, the latest figures provide unambiguous evidence for economic rationalization that has resulted in productivity improvements and made Turkey one of the fastest-growing (commodity-importing) countries."
More:Morgan Stanley - Global Economic Forum