Moody’s Downgrades Turkey to ‘Negative’ Over Islamist Government

Daniel Greenfield, a Shillman Journalism Fellow at the Freedom Center, is a New York writer focusing on radical Islam. He is completing a book on the international challenges America faces in the 21st century.


erdogans way

Erdogan’s abusive misrule is largely based on economic results. The Moody’s downgrade however is one of a number of emerging events that threaten that hegemony and the Ottomanism that comes with it.

Prime Minister Tayyip Erdoğan suffered a double blow to his authority when Turkey’s top court annulled part of a law tightening government control of the judiciary on Friday hours after Moody’s cut its rating outlook.

Cutting its sovereign outlook to negative, the credit agency said political uncertainty in Turkey would weigh on weak points in its economy, notably its high external financing needs, damaging its growth prospects.

“Moody’s expects these tensions in the political arena to persist until at least the second quarter of 2015, when parliamentary elections are due,” the agency said.

The lira weakened to 2.1172 against the dollar by 1438 GMT from 2.0975 late on Thursday, while bond yields rose and equities fell.

“While the timing of the cut in the outlook on Turkey’s rating is at odds with the recent improvement in sentiment, it’s a reminder, if one were needed, that Turkey remains one of the most vulnerable emerging markets,” said Nicholas Spiro, head of Spiro Sovereign Strategy.

“Although last week’s local elections were preceded and followed by a market rally, the victory of the AKP is merely storing up trouble for the future.”

Tyranny implodes sooner or later. Erdogan’s increasing abuses have resulted in a rising backlash which he has suppressed with violence and highhanded tactics. The AKP remains powerful, mainly because of the lack of a viable opposition, but Turkey is becoming more unstable as the backlashes increase.

  • Gee

    Turkey has borrowed it’s way into growth. There is little to no real growth in the Turkish economy – but they are no in debt more than Spain or Greece. This puts an end to their ever becoming a member of the EU

  • edlancey

    Turkey has masqueraded as an on-shore sweatshop for EuroDhimmies whilst Erdogan’s real plan of being a Trojan Horse for the conquest of Europe is encouraged.

  • Habbgun

    Why isn’t Eric Holder investigating Moody’s over this. The man is getting lazy. Doesn’t everyone know that downgrading an insane basket case of a government is racist islamophobia.

  • Can Kuzu

    The idea that Turkey lacks a viable opposition is popular. However, in a country where the Prime Minister can control what is seen on the TV News, opposition is extremely difficult.

  • jewdog

    The strong showing of the AKP is another sign that demographic changes in Turkey have advanced the agenda of the more primitive elements of that country. If Alexis de Tocqueville worked for Moody’s, he would say that countries get the downgrade they deserve.