Is Erdoganโs Gambit Destabilizing Turkeyโs Future?Erdoganโs administration continues to engage in high-stakes geopolitical maneuvers by maintaining direct and indirect ties with groups designated as terrorist organizations. His governmentโs strategic alliances, notably with Hayat Tahrir al-Sham (HTS), serve immediate military and political goals in Syria, despite significant international controversy and longstanding terrorist designations by the U.S. and other global actors.
This risky strategy has had a pronounced impact on the Turkish economy. Investors have increasingly shifted their capital from the Turkish Lira to the U.S. dollar, leading to a notable rise in the USD/TRY rate. Fears of further economic isolation and the looming threat of sanctionsโwhich could cut off Turkey from critical European banking and trade servicesโhave only intensified market instability.
The growing strains within NATO and shifting regional alliances are compounding these economic challenges. Erdoganโs pragmatic yet contentious foreign policy raises serious questions about Turkeyโs future role within the alliance, as Western partners deliberate potential sanctions and other measures. Meanwhile, evolving dynamics with regional powers such as Russia and Iran add further uncertainty to Turkeyโs strategic position and economic prospects.
