Turkey Eyes Trade Revival with Israel Amid Ceasefire Hopes

Turkey may consider resuming trade with Israel if stability is achieved, according to DEIK head Nail Olpak. The trade halt followed last year's conflict between Israel and Hamas. Meanwhile, Turkish exporters face payment issues in Russia due to Western sanctions, and DEIK seeks currency regulation reforms to support exporters.

Turkey is contemplating resuming its trade relationship with Israel, contingent on lasting peace, according to Nail Olpak, head of the Turkish Foreign Economic Relations Board (DEIK). This development comes as Israel and Hamas implement a multifaceted ceasefire agreement, a significant step following last year's trade cessation due to conflict in Gaza.

During a media briefing in Istanbul, Olpak also highlighted concerns affecting Turkish exporters to Russia. With Western sanctions on Russia following its 2022 Ukraine invasion, exporters have encountered hurdles in receiving payments, particularly those exporting via Kazakhstan and Kyrgyzstan.

Additionally, DEIK has petitioned Finance Minister Mehmet Simsek to amend mandatory currency regulations. Exporters currently must sell a portion of foreign currency earnings to the central bank, with the percentage reduced to 30% in June last year from a previous 40%, in light of increasing reserves.

(With inputs from agencies.)