October 2015, London – Jan Dehn, Head of Research at Ashmore Investment Management to discuss key challenges for investors at Bonds, Loans & Sukuk Turkey 2015
Emerging Market expert Jan Dehn, Head of Research at Ashmore Investment Management will deliver a keynote address at this year’s Bonds, Loans & Sukuk Turkey event in Istanbul November 11 and 12, where he will discuss the country’s recent political and economic challenges and how they are impacting the opportunity landscape for investors in the region.
Turkey’s economy has grown tremendously over the past five years, but much like many emerging markets has struggled in recent months from a number of structural and economic challenges like political instability, high inflation, and significant corporate leverage, which have prevented the country from realising its growth potential.
The outcome of the election, and the need to address longstanding structural issues, will be crucial for the country and investors looking for opportunities in the region, Dehn explained in a recent interview with GFC.
“Turkey’s immediate growth outlook looks moderate, but there are two immediate challenges. One is political, the other relates to economic policy. The run-up to the election has polarized society and a period of reconciliation will be required afterwards. In turn, this will require considerable flexibility on the part of the involved parties. It remains to be seen if such flexibility is possible. Second, economic policy has been subjugated to the administration’s broader political objectives, both in terms of monetary policy as well as implementation of reforms,” Dehn said.
“Realizing the main upside potential on the growth front hinges on a return to orthodoxy at the central bank and resumption of reforms. Domestic demand has been strong in Turkey, fuelled by cheap credit. This source of growth is now getting exhausted. Reforms need to focus on education, the saving industry, rule of law and returning the policy framework to orthodoxy. This would restore long-term investment appetite and generate the long-term funding required to raise Turkey to a sustainably higher growth rate.”
Described as a “tremendous gathering, without precedent in the market of borrowers, issuers, arrangers and lenders active in Turkey” by Harvey Hoogakker, Managing Director, Head of Risk Distribution & Loan Syndications, EMEA, Wells Fargo, the Bonds, Loans & Sukuk Turkey conference is the ‘must-attend’ event to learn about debt financing strategies in Turkey and network with the most senior industry stakeholders.
For information about the conference or to register contact Antonella.DeCuia@gfcconferences.com.