tag:blogger.com,1999:blog-8882885377462271395.post7177859263191733111..comments2024-03-26T15:38:10.097+03:00Comments on Emre Deliveli's Blog on Economics: A Tale of Two AuctionsEmre Delivelihttp://www.blogger.com/profile/01768296361677773172noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-8882885377462271395.post-59832836926723555582010-01-31T06:47:27.106+02:002010-01-31T06:47:27.106+02:00Reality Check: Political Will & Policy
Since ...Reality Check: Political Will & Policy <br />Since the early 1990’s Istanbul has had the potential to evolve into a financial centre, and the reason it has not done so, is because there isn’t the political will to acknowledge what needs to be done, and do it; <br /><br />1) Dislocate political influence of elites <br /><br />2) Reform the methodological mindset/paradigm of Turkish regulatory agencies<br /><br />Such policy pronouncements to create a financial centre, lack any semblance of credibility, primarily because in the past, political merit alone has been the sole criteria for appointments to key positions in regulatory agencies and stock exchanges, and for example, the location of commodity exchanges. This is a culture where political bureacracy has an unacceptable role, which factor is an impediment to a credible financial, investment, and capital centre. <br /><br />Failure to address these two issues are the primary underlying factors that have resulted in:<br /><br />a) A dysfunctional regulatory environment which has driven away capital, job creation, and innovation.<br />b) The slow and immature growth & development of financial sector products and services, resulting in ‘naive’ and ‘shallow’ results.<br /><br />Alternatively, until such time as <br />1) and 2) can be achieved, (and the ‘political will’ most certainly requires a firm hand to manage), one possible solution may be to explore options for ‘an offshore free trade zone’ to co-exist within the Turkish Capital & Investment Markets sector.<br /><br />Otherwise the results will continue as they have since Tuncay Artuns passing nearly 20 years ago; <br />1) All significant capital and investment market decisions related to Turkish investors and assets will continue to be centred outside of Turkey.<br />2) The pace of meaningful innovation in Turkish financial services will continue to be stymied, and growth and development stagnate.<br />3) The inefficiencies of the present backward financial and capital market sector will continue to hinder the global competitive position of the Turkish economy in general.Anonymousnoreply@blogger.com