Credit

The Shifting Politics of Debt in Turkey

State-sponsored credit campaigns are not a new strategy for Turkish governments but the low-interest consumer loans that were extended to almost 7 million people in the first months of the Covid-19 pandemic surpassed all earlier financial inclusion programs. Inviting masses into the financial sector amid stagnating or declining real wages and expecting people to reinvent themselves as entrepreneurs or small-scale investors were the main pillars of the project. It did not, however, solve the problems faced by low-income groups, women and minorities. Ali Rıza Güngen examines the state’s shifting approach to debt and the consequences for borrowers.

The Shifting Politics of Debt in Turkey

State-sponsored credit campaigns are not a new strategy for Turkish governments but the low-interest consumer loans that were extended to almost 7 million people in the first months of the Covid-19 pandemic surpassed all earlier financial inclusion programs. Inviting masses into the financial sector amid stagnating or declining real wages and expecting people to reinvent themselves as entrepreneurs or small-scale investors were the main pillars of the project. It did not, however, solve the problems faced by low-income groups, women and minorities. Ali Rıza Güngen examines the state’s shifting approach to debt and the consequences for borrowers.

Cancel

RECEIVE MERIP’S NEWSLETTER FOR ALL THE LATEST ANALYSIS. ENTER YOUR EMAIL AND CLICK SIGNUP.

    • Your Email

Pin It on Pinterest