Fear of capital outflow growing in Turkey's economic circles

Bad news on the Turkish economy keeps coming, one after the other.

While everything in the global financial system is working against us, the political crisis and the terrorism incidents fuelled by that crisis have tremendously increased economic uncertainty.

Just as we were about to say that we are getting used to it, a new crisis stemming from China came along.
We started the week with the China crisis and its reflection on all developed and developing countries. 

It is not clear how long this wave will last, but the truth that this crisis has unveiled is that the 2008 economic crisis in the global economy is continuing.

In other words, fluctuations will continue for some time until a proper normalization and it will take time to reach a point of balance.

Normalization is certain, but it is still a matter of curiosity how long it will take and exactly how economies will emerge this process. 

In the coming days and months, it is clear that global capital will flow to big states instead of developing countries like Turkey.

At that point, the timing of the U.S. Federal Reserve?s interest rate hike is important for the process to become clearer.

The expectation that the Fed might announce a rate hike in December rather than September - due to the China crisis and the fact that inflation in the United States has not come to the targeted levels - has been gaining ground in recent days. 

But at the same time there is talk that a rate hike could come in small steps. We will see whether this expectation is wishful thinking or whether it will become a reality.

Looking from Turkey?s point of view, our job looks more difficult. Political uncertainty is set to last longer and the fact...