© AP Photo/ Emrah Gurel
, an outflow of foreign investments and a setback in the country's financial sector; however much of the above will depend on President Erdogan and Turkish authorities, who still have a chance of avoiding the worst, according to Russian and foreign financial analysts. The failed coup attempt in Turkey has caused concerns among investors with regards to the political stability within the country and the steadiness of its financial system.
According to data released by the financial website Market Watch in March of 2016,
Turkish Gross Domestic Product (GDP) "surprised with 4% growth in 2015," beating market expectations. In the fourth quarter of 2015, Turkey's GDP rose 5.7% on the year, exceeding the 3.9% forecast issued by poll of 12 analysts which had been conducted by
The Wall Street Journal.
The National 100 Index XU100, a major index on the country's stock market, the Istanbul Stock Exchange, which tracks the performance of 100 companies selected from the National Market, real estate investment trusts and venture capital investment trusts, demonstrated 15% growth earlier this year, outperforming other emerging market indexes.
However, on Monday, Turkish shares dropped sharply following the failed Friday night coup attempt. The Istanbul 100 Index was down 4.32% by around 09:30 AM London time and ended the day having fallen 7.1%. Shares in tourism-related companies were worst hit on the Istanbul National-100 stock exchange. Airport operator TAV saw its shares fall by 17.34% and Turkish Airlines was down 12.58%. The Turkish Lira, which initially fell by nearly 5%, recovered some of its lost ground and rose by 1.4%. At about 1600 BST the lira was trading at 2.97.31 against the dollar, having ended the week at 3.01.57 per dollar, close to the record low set last September.
Comment: According to the latest from the Turkish Education Ministry: For context on the purge of Turkey's fifth column, see: Erdogan benefits from Turkish coup attempt because it failed, not because he engineered it