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Abdülkadir ERKAHRAMAN
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Abdülkadir ERKAHRAMAN
 

Türkiye's energy resources: a new chapter for its economy

There is a strong link between energy and economy. Countries with energy resources, especially those with oil and gas reserves, become economically independent and have a strong political maneuvering room.   Therefore, the discovery of new energy sources in countries with energy resources will be an important step towards a new success story for their economies.   Türkiye is an exemplary country in this regard. The recently discovered natural gas reserves will not only eliminate its energy dependence but also make it economically independent. Being energy independent means that economic growth will not be restricted, and energy consumption will be reduced to prevent an increase in the current account deficit. This, in turn, means that the economic growth target can be set freely.     This will contribute significantly to Türkiye's ability to quickly move into the category of higher-income economies.   Energy Dependency and Economic Crises   One of the most significant reasons for countries like Türkiye that are dependent on foreign energy to constantly downshift their economies in past years is due to their energy dependency.   Moreover, the high energy bills that many energy-dependent countries pay for their energy result in a constant trade deficit and current account deficit in their economies.   Many countries' past financial difficulties, borrowing problems, standby agreements with the IMF, and economic crises are unfortunately caused by high energy bills.     Furthermore, it is worth noting that when situations such as the Russia-Ukraine conflict arise, the increase in energy prices causes many energy-dependent countries to face deeper economic problems in economic growth, inflation, and foreign trade.   Therefore, reducing and ending foreign energy dependency should be one of the most important goals.   Energy Resources and Sovereign Wealth Funds   Many countries with energy resources have strong sovereign wealth funds and use these funds for strategic investments both domestically and in many countries around the world.
Ekleme Tarihi: 09 Mayıs 2023 - Salı

Türkiye's energy resources: a new chapter for its economy

There is a strong link between energy and economy. Countries with energy resources, especially those with oil and gas reserves, become economically independent and have a strong political maneuvering room.

 

Therefore, the discovery of new energy sources in countries with energy resources will be an important step towards a new success story for their economies.

 

Türkiye is an exemplary country in this regard. The recently discovered natural gas reserves will not only eliminate its energy dependence but also make it economically independent. Being energy independent means that economic growth will not be restricted, and energy consumption will be reduced to prevent an increase in the current account deficit. This, in turn, means that the economic growth target can be set freely.

 

 

This will contribute significantly to Türkiye's ability to quickly move into the category of higher-income economies.

 

Energy Dependency and Economic Crises

 

One of the most significant reasons for countries like Türkiye that are dependent on foreign energy to constantly downshift their economies in past years is due to their energy dependency.

 

Moreover, the high energy bills that many energy-dependent countries pay for their energy result in a constant trade deficit and current account deficit in their economies.

 

Many countries' past financial difficulties, borrowing problems, standby agreements with the IMF, and economic crises are unfortunately caused by high energy bills.

 

 

Furthermore, it is worth noting that when situations such as the Russia-Ukraine conflict arise, the increase in energy prices causes many energy-dependent countries to face deeper economic problems in economic growth, inflation, and foreign trade.

 

Therefore, reducing and ending foreign energy dependency should be one of the most important goals.

 

Energy Resources and Sovereign Wealth Funds

 

Many countries with energy resources have strong sovereign wealth funds and use these funds for strategic investments both domestically and in many countries around the world.

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