S&P comments on Turkey's resilient economy

Companies in Turkey are diversifying and investing in other, mainly emerging, markets" said the S&P report on Turkish firms.

S&P comments on Turkey's resilient economy

World Bulletin/News Desk

International credit rating agency Standard & Poor's (S&P) has noted, Turkish economy was resilient to potential shifts in capital inflows.

S&P's "As New Investors Dive Into Turkey, Corporates Expand Outside Their Borders" titled report which assessed Turkish firms said, "Turkish companies are making headlines in Europe by selling debut bond issuance at record-breaking low yields. In addition, these companies are looking to expand outside their domestic market through acquisitions, joint ventures, or organic growth. And by operating in a low-cost, high-growth emerging market, Turkish firms can often gain an edge when competing with European companies in neighboring countries."

The report which was prepared by four S&P analysts and S&P's Regional Ratings General Manager of Turkey Zeynep Holmes underscored, despite many of the Turkish conglomerates that they rated were family controlled, but that did not stop family-owned firms from achieving investment-grade ratings.

It was underlined, "As the Turkish economy continues to grow, companies are issuing debt through the capital markets more frequently in addition to traditional bank funding."

S&P report added, "Companies operating in Turkey benefit from strong positions domestically, but are continually looking to expand into new markets. They are growing organically, making acquisitions, and forming joint ventures. They should in our opinion benefit further over the coming years as domestic demand expands and exports continue to grow."

"Companies in Turkey are diversifying and investing in other, mainly emerging, markets such as Russia and Africa, which generally offer better growth opportunities than the more mature markets of Western Europe", said the report. 

Güncelleme Tarihi: 24 Mayıs 2013, 14:43