Istanbul turns to foreign funding as state banks close their doors to city

Istanbul turns to foreign funding as state banks close their doors to city
Istanbul mayor Ekrem Imamoglu said on Saturday that Turkey’s state-run banks continuously refused to extend loans to the municipality. (AFP)
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Updated 06 December 2020

Istanbul turns to foreign funding as state banks close their doors to city

Istanbul turns to foreign funding as state banks close their doors to city
  • ‘Trying to punish Mayor Imamoglu may backfire and end up hurting Turkey’s rulers, especially Erdogan’

ANKARA: The refusal of Turkey’s state-run banks to extend loans to Istanbul is forcing the municipality to seek loans from abroad.

At a press conference in Istanbul on Wednesday, Ekrem Imamoglu, the mayor of Istanbul, announced that the municipality issued its first eurobond to international capital markets to fund its new infrastructure projects.

The municipality secured $580 million of financing with this eurobond for four landmark subway projects in the city.

“Our relationship with foreign financing sources will continue. This could be either another bond issue, project financing or another instrument,” Imamoglu said.

Imamoglu declared he will focus on metro projects in 2021 following the repeated calls of Istanboulites to ease the traffic jams in the second most congested city in the world.

Imamoglu emerged a powerful challenger to the authority of Turkish President Recep Tayyip Erdogan’s ruling Justice and Development Party (AKP) since he won two local elections last year in March, then in June to be elected the mayor of 16 million people.

The local projects he has implemented so far attracted various segments of the society as they touched on their daily needs. Imamoglu is also expected to challenge Erdogan in the next presidential elections in 2023.

Turkish state banks closed their doors to the municipality after they had supported AKP-affiliated municipalities for the past 25 years.

“It is no secret that Erdogan felt threatened by the loss of İstanbul to the opposition. He refused to accept the loss initially and demanded a rerun of the election, which – embarrassingly – Imamoglu won even more decisively. Now Imamoglu has emerged as a serious contender for 2023 and therefore has a target on his back,” said Paul T. Levin, director of the Stockholm University Institute for Turkish Studies.

“It is unsurprising that the AKP uses its sway over state banks to make governing difficult for the opposition mayor, but it is the citizens of the city who will ultimately pay for it,” he told Arab News.

Given Istanbul’s importance to the country’s economy, Levin warns that trying to punish Imamoglu may backfire and end up hurting Turkey’s rulers, especially Erdogan.

FASTFACT

The Istanbul mayor emerged a powerful challenger to the authority of Turkish President Recep Tayyip Erdogan’s ruling Justice and Development Party (AKP) since he won two local elections last year in March, then in June to be elected the mayor of 16 million people.

Separately, the government has not abandoned the controversial Kanal Istanbul, The $9 billion project, dubbed as Erdogan’s “crazy project,” aims to connect Black Sea and Marmara Sea through an artificial waterway. It has drawn harsh criticism from Imamoglu who has been a vocal opponent of the project on environmental and financial grounds along with the fear that it might trigger earthquakes.

The security around Istanbul mayor was recently increased following serious claims of Daesh-linked assassination plot.

According to Berk Esen, a political analyst from Sabanci University in Istanbul, the state banks' decision to not offer loans to opposition-controlled municipalities is another sign of the increasingly authoritarian regime in Turkey.

“The AKP government has turned the state bureaucracy into its partisan machine, using public resources to favor the party base and punishing opposition voters,” he said.

“This is a deliberate move by the government to leave mayors from opposition parties without sufficient funds to service the municipality debt and undertake large-scale public projects simultaneously,” he said.

Similarly, a senior official at the Ankara municipality confirmed that public banks are refraining from extending loans to the capital as well.

In March 2019 elections, the opposition candidate, Mansur Yavas, ended 25 years of rule by the mayors affiliated to the AKP who benefited continually from the loans of state banks for strange and unpopular urban projects such as dinosar parks.

According to Esen, the AKP elites calculate that these projects could help opposition mayors draw votes from their base, thereby undermining the AKP's political hegemony.

“State banks are a convenient tool to use for this strategy. Under the AKP rule, the state banks instead turned into cash machines for pro-government businesses who openly side with Erdogan,” he said.


Fire crews battle Turkish wildfires at holiday destinations

While authorities say they are investigating whether the fires may have started as ‘sabotage’ by outlawed Kurdish militants, experts mostly point to the climate crisis. (AP)
While authorities say they are investigating whether the fires may have started as ‘sabotage’ by outlawed Kurdish militants, experts mostly point to the climate crisis. (AP)
Updated 02 August 2021

Fire crews battle Turkish wildfires at holiday destinations

While authorities say they are investigating whether the fires may have started as ‘sabotage’ by outlawed Kurdish militants, experts mostly point to the climate crisis. (AP)
  • Panic-stricken tourists were evacuated Saturday from some hotels in Bodrum as a fire rolled down the hill toward the seashore

ISTANBUL: Wildfires in the Turkish holiday beach destinations of Antalya and Mugla raged on Sunday as firefighters worked to battle the blazes for a fifth day. As some residents boarded boats to flee the danger, coast guard ships waited in the sea in case a bigger evacuation was needed.
Police water cannons, usually used to control riots, assisted helicopters and fire trucks in a village of Mugla’s popular district of Bodrum to fight fires. Turkish television showed fires had reignited after being extinguished earlier, with blazes and smoke approaching a village.
Civilians were trying to help, hoping to protect homes and olive groves, but some houses were already damaged. Coast guard and private boats were helping some residents evacuate by sea.
Fires in Marmaris, another tourist destination in Mugla, continued Sunday as strong winds made firefighting efforts more difficult. Residents of villages around Marmaris pleaded for more help on social media. Tourists and some residents were boarding boats with their suitcases as others waited anxiously to see if the fire would come down to the shore. Fires were also encroaching on a village near the town of Manavgat, where helicopters were trying to extinguish blazes. The minister of forestry and agriculture, Bekir Pakdemirli, tweeted that 107 wildfires were “under control” across Turkey. His list showed that, since Wednesday, wildfires had ignited in 32 provinces. The wildfire death toll rose to eight on Sunday.
Panic-stricken tourists were evacuated Saturday from some hotels in Bodrum as a fire rolled down the hill toward the seashore. Russian media reported that 100 Russian tourists were among those evacuated. While Turkish authorities say they are investigating whether the fires may have started as “sabotage” by outlawed Kurdish militants, experts mostly point to the climate crisis, as seen by the drastic increases in temperatures along with accidents caused by people.
Turkey’s president said Saturday that one of the fires was started by children. President Recep Tayyip Erdogan toured some of the affected areas on Saturday and promised to help residents rebuild their homes. But social media users criticized him for arriving in Marmaris in a massive convoy that affected traffic and throwing bags of tea from the top of his bus to people gathered to hear him speak.
A heatwave across southern Europe, fed by hot air from North Africa, has led to wildfires across the Mediterranean, including on the Italian island of Sicily and in western Greece, where some residents had to be evacuated by boat to escape the flames.
Temperatures in Turkey and nearby countries in southeast Europe are expected to climb to 42 degrees Celsius on Monday in many cities and towns. Antalya was already registering 41 degrees Celsius on Sunday.
Meanwhile, in Turkey’s eastern Van province, floods destroyed at least six houses after a small river overflowed amid heavy rains. Floods in northern Turkey last month killed at least six people.


Assad army steps up offensive in restive southern city

Assad army steps up offensive in restive southern city
Updated 02 August 2021

Assad army steps up offensive in restive southern city

Assad army steps up offensive in restive southern city
  • The rebels disrupted traffic along the Damascus-Daraa highway leading to the border with Jordan

AMMAN: Syrian regime troops stepped up shelling of an opposition enclave in the southern city of Daraa in a bid to assert control over an area that has defied state authority since it was retaken three years ago, witnesses, the army and residents said.

An army assault on the old quarter of Daraa suffered a blow on Thursday when rebels mounted a counteroffensive across the province, capturing dozens of troops.

The army has since sent hundreds of elite troops, dozens of tanks and armored vehicles to storm the enclave where peaceful protests against Assad family rule began in 2011 and were met by deadly force before spreading across the country.

The rebels disrupted traffic along the Damascus-Daraa highway leading to the border with Jordan, which closed the crossing point on Sunday.

The Syrian regime troops, aided by Russian air power and Iranian militias, retook control of the province that borders Jordan and Israel’s Golan Heights in 2018.

Russian-brokered deals at the time forced rebels to hand over heavy weapons but kept the army from entering many towns including the old quarter of the provincial capital known as Daraa Al-Balaad.

The Syrian regime troops on Sunday blamed what they called terrorists for foiling several rounds of negotiations with opposition figures since last week to allow the army to set up checkpoints in the enclave.

The opposition insists the agreement allowed only civilian control, local officials say.

“The regime wants to end what they see as a living symbol of the revolt against it. If they silence it by returning the army they will subjugate the whole Hauran region,” Abu Jehad al Horani, an opposition official, said from inside the enclave.

Damascus-based relief bodies said at least 2,000 families fled their homes since the fighting began on Thursday.


Egyptian foreign minister: We trust wisdom of Tunisian leadership on managing current crisis

Egypt's Foreign Minister Sameh Shoukri. (AFP)
Egypt's Foreign Minister Sameh Shoukri. (AFP)
Updated 01 August 2021

Egyptian foreign minister: We trust wisdom of Tunisian leadership on managing current crisis

Egypt's Foreign Minister Sameh Shoukri. (AFP)
  • Shoukry highlights Cairo’s aspiration for continued cooperation with Libya to promote regional stability

CAIRO: Egypt says it trusts the wisdom and ability of the Tunisian presidency to overcome the current crisis as soon as possible.

It also expressed its full solidarity with the Tunisian people and their legitimate aspirations, according to a spokesperson for Egypt’s Foreign Ministry.

The spokesperson stressed the need to avoid escalation and refrain from violence against state institutions, praising the role of the latter in maintaining the security and stability of the country.

“We are following with great interest what is happening in Tunisia and what the authorities are doing there to achieve the security, stability and sovereignty of the country,” Egyptian Foreign Minister Sameh Shoukry said in a press conference with his Algerian counterpart Ramtane Lamamra.

“We fully trust the wisdom of the political leadership in Tunisia and its ability to manage the situation to achieve the aspirations of its people,” he added.

Lamamra, for his part, stressed that “what is happening in Tunisia is an internal matter,” adding that Algeria stood in solidarity with the country.

Shoukry also spoke on the situation in Libya. The Egyptian foreign minister said that the opening of the coastal road in Libya was a good sign of dialogue and reconciliation and would enhance the chances of the elections’ success, putting Libya on the right path to restore its stability, eliminate the terrorist threat and work with neighboring countries Egypt, Tunisia, Algeria, Sudan and Chad.

“We need cooperation between these countries in the region due to the turmoil and challenges it is witnessing,” Shoukry said, adding that every positive step taken would find support and sympathy from Egypt, Algeria and the rest of the neighboring countries.

Shoukry spoke on the importance of restoring stability to Libya for the benefit of both the Libyan people and the other countries in the region.

He also stressed the need for foreign forces to exit Libyan land and for the issue of militias to be dealt with.

The Algerian minister said that the relations between Egypt, Ethiopia and Sudan were going through a delicate stage and that it was important to reach an agreement on the issue of the Grand Ethiopian Renaissance Dam (GERD).

Lamamra expressed his hope that Algeria would be part of the solution, stressing that the issue of the GERD was of global importance and ought to receive the attention of the international community.


At least 40 Houthi fighters killed in fierce Marib fighting

At least 40 Houthi fighters killed in fierce Marib fighting
Updated 48 min 44 sec ago

At least 40 Houthi fighters killed in fierce Marib fighting

At least 40 Houthi fighters killed in fierce Marib fighting
  • Warplanes conducted several aid raids in Marib province, targeting military vehicles carrying fighters
  • Tribesmen reported seeing at least two military vehicles catching fire after being hit by the warplanes in Marib

ALEXANDRIA: Dozens of Houthi fighters in Yemen have been killed in fierce fighting with government forces during the past 24 hours in the provinces of Marib, Lahj, Jouf and Al-Bayda, army officials and tribal leaders said on Sunday.
At least 40 Houthis were killed on Saturday and Sunday in Rahabah district, south of Marib city, when government troops pushed back their assault in mountainous areas in the district, Col. Yahiya Al-Hatemi, director of Yemen Army’s military media, told Arab News.
The Yemeni military official said that the army and allied tribesmen, backed air support from the Arab coalition, mounted a counteroffensive in the district and managed to seize control of a mountain and weapons left behind by Houthi fighters.
Warplanes conducted several aid raids in Marib province, targeting military vehicles carrying fighters and weapons heading to the battlefields.
Tribesmen reported seeing at least two military vehicles catching fire after being hit by the warplanes in Marib province.
By expelling the Houthis from Al-Abzakh mountain, loyalists would have control over a large swathe of land south of Marib and would effectively push away the Houthi threat to Marib city from the south.
Despite their losses in the south, the Houthis continued to aggressively attack government forces in areas west of Marib city, local media said.
The Houthis mounted attacks on government forces in the Al-Mashjah and Al-Kasara regions, but failed to make any territorial gains.

BACKGROUND

Houthis have ignored many local and international calls to cease their offensive and comply with peace efforts to end the war in Yemen.

Thousands of people have been killed in the province of Marib since February when the Houthis renewed a major offensive to control the strategic city of Marib.
Houthis have ignored many local and international calls to cease their offensive and comply with peace efforts to end the war in Yemen.
In the neighboring Jouf province, state media quoted Brig. Mohammed Al-Hajji, an army commander, as saying that army troops and tribesmen on Sunday repulsed a Houthi offensive on government-controlled locations in Al-Jadafer, east of Jouf province, and adding that the rebels were forced to retreat after suffering “heavy” losses.
Fighting also occurred in borders between Lahj and Al-Bayda provinces where the Houthis attacked an area controlled by forces loyal to the Southern Transitional Council.
Local media said that a government soldier and several Houthis were killed during the failed Houthi attack in the Senah area of Lahj province. Tribesmen on Sunday attacked the Houthi areas in Al-Souma district, west of Al-Bayda province.
Coronavirus
Coronavirus cases continue to fluctuate across government-controlled provinces in Yemen, with the Aden-based National Coronavirus Committee on Sunday recording nine new cases and one death, compared with three new cases and zero deaths on Saturday.
On Friday, the committee announced the recording of 16 new cases and one death.
The total number of confirmed cases in liberated areas is 7,070, including 1,377 deaths and 4,200 recoveries. Local health officials believe that the surging numbers of cases might represent a new wave of the pandemic.
“The epidemiological situation is worrying, as cases have begun to surge,” Dr. Ahmed Mansour, a health official in the southern city of Taiz, told Arab News by telephone.


Egypt COVID-19 vaccine to begin distribution in mid-August

Egypt's Health Minister Hala Zayed speaks during a news conference announcing the details of a vaccination campaign against the coronavirus disease (COVID-19) outbreak. (Reuters/File Photo)
Egypt's Health Minister Hala Zayed speaks during a news conference announcing the details of a vaccination campaign against the coronavirus disease (COVID-19) outbreak. (Reuters/File Photo)
Updated 01 August 2021

Egypt COVID-19 vaccine to begin distribution in mid-August

Egypt's Health Minister Hala Zayed speaks during a news conference announcing the details of a vaccination campaign against the coronavirus disease (COVID-19) outbreak. (Reuters/File Photo)
  • People will be able to receive certificates proving they have been vaccinated through 126 government offices

CAIRO: The first 10 million doses of Egypt’s coronavirus vaccine Vaccera Sinovac will be distributed in mid-August to more than 500 centers nationwide, the Ministry of Health and Population has announced.

People will be able to receive certificates proving they have been vaccinated through 126 government offices, said Health and Population Minister Hala Zayed.

The certificates are accredited and insured, and carry a unique QR code that will contain the holder’s data, photo and vaccination status, she added.

The ministry is also finalizing an Egyptian Health Passport app to be used in airports.

Zayed stressed the need to continue adhering to the required precautionary and preventative measures, and to stay away from large gatherings.