The international Agency Fitch downgraded the Outlook on Turkey’s rating from stable to negative BBB-. About it it is told in published on Friday, August 19 press release.
The document stresses that the military coup attempt in the country 15 on the night of July 16, “increased risks for political stability.”
The downgrade is also due to the deterioration of the security situation in the country, which refers to the terrorist attacks in Istanbul and Ankara that led to numerous victims among the civilians. According to analysts, the mass purges of the army after a failed coup has harmed the ability of Ankara to confront the threats.
In addition, the terrorist attacks had a negative impact on the tourism industry, the revenues from foreign travelers in the first half of 2016 in annual terms decreased by 41 percent. However, Fitch noted that the rapprochement with Russia can give Turkey some support in this area.
The persistence of political instability and new geopolitical shocks can worsen the condition of the economy and lead to a further downgrade, said the Agency. To increase it may be more predictable and stable political environment in the country, as well as structural economic reforms, analysts say.
July 19 it became known that the international rating Agency Moody’s placed the credit rating of Turkey, which is at the level of Baa3, on review for downgrade.
The attempted seizure of power by the military happened in Turkey on the evening of 15 July. In the course of the coup killed killed 246 people, not counting those involved in the coup (The Hürriyet Daily News, citing the statement of President Recep Tayyip Erdogan on August 3, reports that 238 victims), more than 2.1 thousand were injured.
Turkish authorities have closed more than 130 media, including three news agencies, TV channels 16 and 45 Newspapers. 13 August, Prime Minister Binali has Ildirimzade that the number of Turkish citizens, suspended from work or fired after a failed coup attempt in the country was 81 494 people.
After the riot, President Recep Tayyip Erdogan imposed a state of emergency for a period of three months. The President also referred to article 4 of the International Covenant on civil and political rights.
