Search Free Articles

Turkey one of globalization’s winners, says expert

2007-11-23T22:34:00.000-08:00

Frederick Kempe, president and CEO of the Atlantic Council of the United States, is optimistic about Turkey and its future despite its having faced so many economic and political difficulties.

Frederick Kempe

“I’ve seen this country go through economic ups and downs. I’ve seen it go through periods of time when the democratic process was in one way or another moving forward or not. Interestingly, at a time when I’m worried about US-Turkish relations, at a time when I’m really worried about Turkish-European Union relations, I’m less worried about Turkey itself,” he says.

Kempe, with more than a quarter-century of distinguished work at the Wall Street Journal behind him when he joined the Atlantic Council in 2006, stresses that Turkey’s best future still lies in its being integrated in Europe and with the West: “That’s still the best place for it to be. The problem with being a bridge is people blow up bridges and bridges crumble. It’s much better to be connected within a community. Turkey will also have more influence in its region if it can leverage the size and influence of Europe and the West behind it.”

During a work visit to İstanbul Kempe set aside some time for Monday Talk, also evaluating the historic meeting between Turkish Prime Minister Recep Tayyip Erdoğan and US President George W. Bush on Nov. 5 that resulted in a US promise of cooperation against terrorism perpetrated by the outlawed Kurdistan Workers’ Party (PKK).

What’s different about US policy this time that means Turkey can rest assured the US will take the PKK issue much more seriously?

What you see now is that the president put his personal prestige at stake. I think you’ll see more decisive action -- and intelligence support. Much of it you won’t see, but it will happen. Turks may not get what many of them want: the leaders of the PKK rounded up by American military, or Apache helicopters firing on a pickup truck filled with PKK terrorists, but one will certainly see much closer cooperation than we have had thus far.

The United States administration still doesn’t desire a cross-border operation by Turkey, right?

President Abdullah Gül was very wise when he said we have not only an Iraqi neighbor, but we also have an American neighbor. It has never happened in the past that a NATO country has executed an incursion into territory where another NATO country’s troops are operating. It is a sensitive issue from that standpoint. The US certainly should have been more forthright in taking on the PKK problem in northern Iraq much sooner. I understand all the reasons why it hasn’t happened. The north has been a relatively peaceful part of Iraq and problems for the US are greater elsewhere. Some may also believe Kurdish insurgents might be useful against Iran, though they are not desired against Turkey. However, any major cross-border Turkish operation into Iraq would be a mistake. It doesn’t really fix the problem. It could radicalize Kurds within Turkey at a time when the AK Party has really done more for Kurdish minority rights than perhaps any government before. It could push off European Union membership even further.

Looking from the United States, what do you see in Turkey?

We’re facing an historic turning point in Turkey -- that is a turning point in Turkey’s internal politics, a turning point in Turkey’s foreign policy, a turning point in its relationship with the United States, a turning point in its relationship with the European Union. All of historic nature, all coming together at the same time. This is of huge importance to the United States and to Turkey’s neighbors. Richard Holbrook, the veteran diplomat, told me that he considered Turkey to be the frontline state of our current period and he compared it to the role Germany played during the Cold War. It’s on the fault line between extremists and moderate Islam, it’s on the fault line between Europe and the Middle East, it’s on the fault line between chaos and order. It’s on a number of fault lines. First and foremost, Turkey has to decide what it is.

What do you think Turkey is?

Following the elections there is a totally new situation, where it’s less the military that is the guarantor for secularism and democracy and it’s more the AK Party that is the guarantor for secularism and democracy. The AK Party has never had this much influence and power before. Now it has to decide what it’s going to do with this. What course is it going to choose? Thus far, I’m optimistic -- but this is the beginning.

Do you see any vulnerability in the situation?

As it is with many historic turning points, the situation is fragile. You have a whole group of leaders who in the next few years will show whether they’re determined to keep this country on a democratic and secular direction. If so, this country has an exciting possibility of truly being something quite unique, an example for others. I’ve seen this country go through economic ups and downs. I’ve seen it go through periods of time when the democratic process was in one way or another moving forward or not. Interestingly, at a time when I’m worried about US-Turkish relations, at a time when I’m really worried about Turkish-European Union relations, I’m less worried about Turkey itself.

Why are you so optimistic about Turkey’s future?

I’ll say, as someone who worked for the Wall Street Journal for a long time and has been watching this economy develop for a long time, I think the most pleasant surprise to the world business community is that the AK Party leadership has made this a more interesting place to invest and a healthier economy. After the 2002 elections I don’t think people were universally convinced that would be the case. So far Turkey has been one of the winners of globalization. There are a lot of losers out there. For all the problems Turkey is facing, it seems to be finding a way. I’m really optimistic about Turkey and its future. I hope Turkey is smart enough to know that its best future still lies being integrated in Europe and integrated with the West. That’s still the best place for it to be. The problem with being a bridge is people blow up bridges and bridges crumble. It’s much better to be connected within a community. Turkey will also have more influence in its region if it can leverage the size and influence of Europe and the West behind it.

You mentioned Turkey’s foreign policy as another turning point.

We’re seeing a development of a Turkish foreign policy. It’s a mature country saying, “We have our own interests.”

Doesn’t this make it a difficult partner for the United States?

Yes, but it also becomes a more important partner for the United States because of the closer relationship it’s building with its neighbors. We’ve left the unipolar world where the US was by far the dominant power. We’re in a multi-polar world where the US is coming to terms with the fact that it has to manage a number of different interests if it wants to achieve its policy goals.

Do you think Turkey’s relations with the European Union and the United States will recover soon?

Relations are threatening to turn sour both with the EU and the US at the same [time] for the first time. It needs attention. Strains with the EU are far more important. Whatever we’re going through in US-Turkish relations, we’ll get over and we’ll be friends and will work with each other again. The larger question is, will Turkey become part of Europe and become a member of the European Union?

Do you think it will happen?

It’s long way off. We’re talking about 2014. A lot can happen between now and 2014. What I worry about is what Turks and Europeans will decide before we’ve gone through the process. Turkey brings Europe a vibrant, large economy, which it needs to be competitive on the world stage. It brings a relatively youthful country -- desperately needed in aging Europe. It gives Europe reach into neighboring economies: the Caucasus, Central Asia, the Middle East.

Do you think the US government is still supportive of Turkey’s EU membership?

Senior US officials consider Turkish membership of the European Union to be the most important geopolitical action that the European Union could take -- even though only 9 percent of Turks like us at the moment, if you believe the polls.

Why do you think Turkish public support for the US is so low?

It surprises me. I think Turks have forgotten how much the US has stood on their side vis-à-vis the European Union. I think Turks have forgotten it was the Americans who turned over PKK leader Abdullah Öcalan. I think what is driving the relationship at the moment is the PKK issue, is the Iraq issue. Bush in general isn’t popular in the world, but it’s a mystery to me that the Unites States is less popular in Turkey than almost any other country in the entire world.

Turkish people believe that the United States has planned the establishment of a Kurdish state in northern Iraq.

The US has been working very hard to keep an integrated, federal Iraqi regime. The second-most-powerful politician in Iraq is Kurdish -- that’s the reality. In the United States there are many voices who believe that Iraq, like Bosnia, will only work if you separate the Sunnis and the Shias, because they are never going to get along together -- and that would then suggest that you will also need to separate the Kurds. You may need a looser federal structure. Everyone knows the most successful part of Iraq thus far has been the Kurdish portion. It hasn’t been the conspiracy of the United States to move things in that direction. It’s more of an outcome of a very ugly few years in Iraq, where the Kurdish territory of Iraq has been the most peaceful and most economically successful.

Why do you think this is so?

Partly because they were really acting quite separately from Iraq, even during the period of Saddam. So this is not a totally new situation.

So the US wasn’t surprised by the situation in northern Iraq. Again, Turkish people think that the reason the Kurdish leaders are so powerful is because the US supports them.

If only the US was effective as the Turks give us credit for being! If you look at the rest of Iraq and how ineffective the US has been in trying to exercise its will, why would you think they would be any more effective, then, in trying to create a Kurdish state? I don’t think this has been the aim of US policy. The aim of US policy is to make Iraq work, to reduce violence and to create a situation where US troops can be brought home safely.

Does the ‘Armenian genocide’ resolution have a chance of coming to the House floor?

The House committee’s approval of the resolution was the most irresponsible thing that the newly Democratic Congress had done in terms of foreign policy. It was irresponsible because we’re at such a critical point in the US-Turkish relationship. And the relationship between the United States and Turkey is one of the most important bilateral relationships on Earth at the moment. This resolution has been around forever. The fact that it’s being pushed forward at the moment was irresponsible. It won’t now go to the House floor. Turkey should give the Bush administration credit for bringing this to a dead stop. So it gives Turkey an opportunity to look at its own history and archives and to make conclusions, as the Turkish government said that’s what it wants to do. And if Turkey does this, my view is that the resolution will not come forward again.

[PROFILE]

Frederick Kempe

He became president and CEO of the Atlantic Council of the United States in December 2006 after more than a quarter-century of distinguished work at the Wall Street Journal, where he won national and international prizes while serving in numerous management and reportorial capacities. He is a Bloomberg columnist and a regular commentator on television and radio in both Europe and the United States. He has written three books that have been published in several languages: “Divorcing the Dictator: America’s Bungled Affair with Noriega,” “Siberian Odyssey: A Voyage into the Russian Soul” and “Father/Land, a Personal Search for the New Germany.” He is currently working on a fourth book, on the Cold War, in Berlin.
todayszaman.com

Travel the world and see

2007-07-12T23:43:00.000-07:00

A wise person wrote in a letter dated 1867, “...nothing so liberalizes a man and expands the kindly instincts that nature put in him as travel and contact with many kinds of people.” If you have the opportunity to travel, do so. Travel is a great “elective course” to take. It provides you with fun and challenge. You have opportunities for practical experience and exposure to how other cultures think and behave.

Turkey offers both historical, magnificent architecture such as the Blue Mosque and Hagia Sophia and many other places, as well as outdoor museums. If you are fit, the trek of St. Paul’s Trails in Asia Minor is a must.

In June, 12 Arkansas teenagers followed the trail of the Apostle Paul in Turkey and Greece by vessel rather than on foot. Not so physically rigorous, but definitely thought-provoking and life changing.

Just think, roughly 1,950 years after the Apostle Paul stood on Mars Hill in Greece and spoke to the Athenians about their monument to the unknown god, a dozen Arkansan teens stood on the same hill and unfurled a banner reading “Footsteps of Faith: We’re All About Paul.” The students had made their banner with each student’s footprint marked in Day-Glo paint colors. How fun and creative.

The stop was part of a 10-day trip to Europe, particularly to visit sites associated with the New Testament in Turkey (Asia Minor) as part of a study project. As preparation for the trip, the six boys and six girls who were chosen had to submit written assignments monthly throughout the year. They wrote papers on different aspects of St. Paul’s writings. The students kept in touch with each other throughout the year by more immediate methods such as Facebook and MySpace. After a year of preparation, they got to see many of the places they had read about. What a wonderful experience and awesome way to study, learn and see for yourself.

One of the requirements in making the trip was to leave their iPods at home. Sometimes we think it would be impossible to live without something. If we stop and think about it: all of us have something in our life we think we can’t live without. The accompanying instructor thought she would get many complaints about this requirement. The instructor said, “Before we got on the plane, it was hard for them, but after that I didn’t hear another word about it,” she said. Travel is so fascinating that we learn there are things we can do without.

Paul’s various ship journeys to Athens, Corinth, Ephesus and Rome spanned more than a decade, traveling by foot and by boat. The Arkansas group sandwiched those spots into a whirlwind trip by ship.

After visiting Athens, the group flew to the island of Samos, which they used as a base for day trips. They also took a speedy hydrofoil boat to the smaller island of Patmos, the place where, according to church tradition, St. John spent his final days in exile.

The travelers also took a boat to Turkey, where they visited the ruins of ancient Ephesus. The group marveled at the acoustics of the coliseum. When an instructor dropped a coin at ground level, students who had climbed to the very top could hear it.

“We talked about how that was exactly where Paul walked in and people looked down to the stage to see him,” said Haley, one of the instructors. The Ephesus tour also included excavations of the homes of some wealthy Ephesians. Walking through a more modern part of Turkey, the group encountered the most aggressive vendors of the trip.

“It was a little bit nerve-wracking,” said Johnston, age 18. “There were a lot more people than we were used to, and everybody’s trying to sell you something.” Experiences like this can be overwhelming.

Traveling puts you on the spot. You have to learn to think and react. You have to make decisions. The instructors who accompanied the students on the trip commented: “It makes you feel good when you see kids looking out for other people instead of being me-oriented.”

Travel provides us with the opportunity to decide for ourselves.

I remember when I was a child there used to be an ad on television about travel. It said: “Travel and see the world! Go Navy!” There are many options nowadays for travel and study programs. If you have the chance, take it.

“Travel is fatal to prejudice, bigotry, and narrow-mindedness, and many of our people need it sorely on these accounts. Broad, wholesome, charitable views of men and things cannot be acquired by vegetating in one little corner of the earth all one’s lifetime.”

“Innocents Abroad,” Mark Twain.

CHARLOTTE MCPHERSON

Happy 50th birthday Europe!

2007-03-23T23:35:00.000-07:00

The European leaders who signed the Treaty of Rome on March 25, 1957 were perfectly aware that this treaty would change Europe and their countries’ destiny. At that time, most people were not aware that this treaty would lead one day to unification; maybe they would have opposed it if they had known. But today they have become a part of an irreversible union. Fifty years has witnessed serious crises because of the paradoxes of the integration and the enlargement. Competition with other actors, internal cleavages and disharmony between peoples were in fact triggers for integration, and paradoxically helped the process to move forward. Every question found a consensus solution and this process in turn made Europe a region of security, stability and prosperity. As a unique body the EU had to face both the advantages and disadvantages of being unique. The EU never had the opportunity to profit from other experiences. This has made the EU a center of attraction and a target. The European integration project was at the beginning a project for world peace. It was hoped that this kind of cooperation would spread all around the world, once it was realized in Europe. But the “security community” project was much too Kantian, and the EU has become an institution which is willing to ostracize itself from the world’s contradictions, rather than becoming an enlarged peace and stability project.

The current status of the EU was not the founders’ intentions, but nevertheless today Europe is in the middle of internal and external contradictions. Europe has a unique currency and several common policies, but does not have the capacity to quickly and transparently ease social reactions to this process. It is unknown how many Europeans really want to stay within this partnership. Its unknown even who is a European, what is or what should the common foreign policy be. This what Europeans are thinking on their 50th anniversary. Common sense is trying to figure out how economic, social and cultural differences will be transformed to a common political attitude under the motto “unity in diversity.” The main paradox that will dictate the next 50 years of the EU is between diversity and unification. Because the unification process is triggering diversities and as diversities grow, the need for unification becomes more powerful.

In order to resolve this Europe wants to obtain a new common ground by writing a new common history. But it is not easy to do this without any common expectation about the future. The EU is becoming an attraction and a target at the same time, because it is still incapable of defining itself. In this ensemble of 500 million people, only 2 percent of the workers are working in a foreign member country, only 1.5 million students are studying in a foreign university within the Union. Most people still live in their homeland. This is not helping to forge the coexistence of differences.

Today’s differences are not easily described only with historical facts. Europe has deepened and multiplied differences during its evolution and has no idea now how to manage these.

It would be nice to have Turkey join the 50th anniversary celebrations in Berlin.

BERIL DEDEOGLU

KERIM YANILDIM MP3

2007-03-23T12:33:00.000-07:00

Yanıldım Allah ım yanıldım
Hep böyle kalacak sandım
Geride kaldı anılar
Unutulmaz yaşantılar
Soruyorum şimdi kendime
Yanıyorum kendi derdime
Ne var elimde kalan ?
Bu dünya zaten yalan

Soruyorum şimdi kendime
Yanıyorum kendi halime
Ne var elimde kalan ?
Bu dünya büyük bir yalan

Olmek varsa kaderde
Dert ekleme derdine
Kaderin kader olsun
Benliğin aşkla dolsun

Olmek varsa kaderde
Dert yükleme derdine
Paylaş dünyayı
Aynı rüyayı

kerim yanildim mp3, kerim yanıldım mp3, kerim yanıldım şarkı sözü, yanıldım kerim mp3 sözler,yanildim

Turkish real estate market rising

2007-03-13T00:23:00.000-07:00

“I was shocked,” said my friend on the price offered by Zorlu Group for land adjacent to a highway in Istanbul. Although he worked for a prime real estate developer he did not expect the price to reach $8,300 per square meter.
(After zoning deductions on the land, the price is about $10,000 per square meter.) Well, as the bidders also had experts and third party appraisals made, the new price is presumably the new market rate for prime land in İstanbul.

First of all congratulations to the Turkish Privatization Administration for a quite professional management of the process. The administration’s smoothly managed process and excellent timing resulted in a 40 percent premium over the previous record price obtained ($10,000 vs $7,000 per square meter) at the sale of a Renault land plot not too far from the recent acquisition.

What is next? What kind of a price path do we expect real estate in Istanbul from now on?

My opinion is it will keep going up, and rapidly! Here are my reasons:

Istanbul is probably the first true metropolis in the world that remained “alive” even when times turned sour for the Roman and Ottoman Empires. As architect Sinan Genim reminds us (see the February issue of Turkish Airlines’ Skylife magazine), this is the city that Petrus Gyllius noted: “While other cities are mortal, this one will endure as long as there are man on earth.” Gyllius’ prophecy is justified so far: Istanbul is still considered an “alpha world city” by independent sources, although Turkey is just a lower-middle income country in terms of per capita GDP. And İstanbul is clearly on a path of reassuming its previous global status and more and more becoming a center of attraction to many different segments of the world, from European backpackers to Italian fashion designers; from Iranian businessmen to the pope.

Turkey’s economic growth potential is clear. Real estate prices are likely to move up with further economic growth and development. That process will work hand in hand with the impetus that Istanbul already has in its own right.

Strong “convergence play” with the EU and the world is likely for Istanbul’s real estate prices. Convergence in prices of non-traded goods between two countries is obviously a very complex process but I believe it can safely be argued that a large wedge between asset prices is unlikely to exist for protracted periods. The median price of 100-150 square meter luxury apartments in prime locations of Istanbul is lower than $2,500 per square meter. That is quite low compared to most major European or Asian cities (see table below). That large wedge is going to drive Istanbul real estate prices up in a medium of free capital flow.

Another (more short term) factor to drive prices up are yields. Istanbul currently offers among the highest yields (absolute and risk adjusted) to real estate investors in the world. That will continue to attract investors.

All that is supported by the findings of a recent report and survey published by Urban Land Institute (Emerging Trends in Real Estate - Europe). That study suggests that international real estate investors rank Istanbul as the top market for development in Europe. One interviewee apparently said Istanbul is “the biggest opportunity around the continent.”

All that is good but there will be repercussions as well. First of all, high real estate prices will drive the prices of other non tradables in Istanbul. As some economists will appreciate, that is likely to translate into inflationary pressures (reasons deserve a separate article). As the income potential of Turkish citizens will not increasing as fast, this will continue to trigger economic and social problems.

Second, faster development in the real estate sector will require more public infrastructure investment and bringing more risks to Istanbul. We as Turks have been so successful at damaging one of the most beautiful cities in the world that now we need to work hard to get the city back to its previous splendor. Ugly high rises and uncultured architecture will serve that purpose. Having paid so dearly for the highway land, the Zorlu Group will have to develop a high value-added project to obtain expected returns. Hopefully they will develop a project that will be a win for Istanbul as well. A good closing of today’s column comes from Sinan Genim’s reminder of the inscription at the entrance of Fatih Mosque Foundation: “True art is to produce a magnificent city; and to fill its people’s hearts with happiness.”

MURAT YULEK

The oxygen of democracy

2007-03-13T00:15:00.000-07:00

In the 18th century, the French philosopher Voltaire defined freedom of speech in a statement that succinctly conveyed both the complexity and the simplicity of the concept. “I may disagree with what you have to say,” he said, and added, “But I shall defend, to the death, your right to say it.” This notion has since been enshrined in national legislation around the globe. After the debacle of World War II, freedom of expression was included in the Universal Declaration of Human Rights, but the concept itself goes back much further. In the late 17th century, the English Parliament secured a Bill of Rights that granted “freedom of speech in Parliament,” and in the US, the founding fathers introduced the First Amendment of the US Constitution in 1791, guaranteeing freedom of religion, press and expression.

Yet, in the 21st century, freedom of expression appears to be in danger of being eroded everywhere. It is somewhat ironic, given that communication technology allows ideas to spread faster and more easily. But judging from the flurry of court cases that are taking place around the world, the limits of freedom of expression are constantly being tested and challenged, even in the most advanced of democracies.

Here are some recent examples:

In Thailand, a Swiss man faces 75 years in prison for insulting the king by defacing his portraits while drunk. The Thai king is protected by law from criticism;

In Turkey, a court suspended access to the Internet Web site You Tube for a few days because a Greek teenager uploaded a video insulting Atatürk;

Last week, a Swiss court in Lausanne sentenced Doğu Perinçek, the leader of Turkey’s Workers’ Party to a heavy fine for saying that the Armenian genocide was an “imperialist lie” under the terms of a law devised to combat racism;

In Turkey, a court case has been launched against a group of young people who wrote the lyrics of a song criticizing the university entrance exam system;

In France, the satirical magazine Charlie Hebdo is facing defamation charges for reprinting the Danish cartoons of Prophet Muhammad that caused protests across the Muslim world;

In 2006, an Austrian court jailed British “historian” David Irving for denying that the Holocaust against the Jews had ever taken place.

At stake here are not the ideas themselves, but the freedom to express them. Clearly, one can only reject the vile position adopted by Irving, yet it is questionable whether jailing him was the best way to protect Austria from a resurgence of anti-Semitism. For the same reason, Germany’s proposal to introduce a Europe-wide ban on Holocaust denial should be approached with caution. And while the Armenian question should be open to free debate, a Swiss court may not be best placed to issue a judgment on a historical matter. Meanwhile, in Turkey, the debate on Article 301 continues.

Should freedom of expression be unlimited? If not, where should it end? Finding the right answers to these questions is one of the most crucial issues facing liberal societies. Democracy cannot survive without the oxygen of free speech, but the fear that is gripping the world threatens to smother it. Napoleon Bonaparte believed that “a people which is able to say everything becomes able to do everything.” Perhaps we should all remember that freedom of expression is the best antidote to all forms of radicalism.

NICOLE POPE

Rental agreements under Turkish law

2007-03-11T23:54:00.000-07:00

Hello again, I hope that you enjoyed your weekend.
As you may have followed, I wrote about rental agreements two weeks ago and responded to a reader’s question. An urgent matter regarding maternity leave then took priority over two more questions on rental agreements.
I would like to apologize to my readers whose questions are still awaiting an answer. Sometimes the questions require research on the part of myself and my associates, and as this takes time we can run behind in responding. And other times, I receive a new enquiry and the question needs to be responded to urgently so I choose to give priority to urgent matters. Please keep your valued questions coming in the meantime.

Today, I would like to respond one of three questions that have been pending for a while.

The first question is from Amy. “Hello, I rented the apartment I live in last year (actually, it was 14 months ago.) We made a one year contract and I was supposed to leave my flat two months ago. In the meantime, my stay in Turkey was extended and therefore I needed the flat for a longer period. The contract is in Turkish and as far as I have been informed the landlord should have sent me notification for terminating the agreement. I have received nothing up to date and I paid the rent with a 10 percent raise. I have been given this percentage of raise by the real estate agent and made my payments to the bank account as I used to do for the previous payments. Now, I am worried the landlord may show up and ask me to evacuate the flat and/or ask for a compensation for breaching the contract. I’m hereby attaching the scanned rental agreement and I would be more than happy if you could advise me on this matter. Many thanks”

First, I checked the rental agreement and here is the result: You did not breach the agreement. The rental agreement is now renewed for another year with the same conditions.

Notification

According to the contract, either the landlord or the tenant can terminate the agreement. In case one of the parties does not wish to extend the rental agreement for one more year, it has to notify the other party at least one month beforehand the expiry date of the contract. In this case, the landlord should have notified the tenant (you) officially via a notary public. Since there is no such notification sent or received, the agreement is now renewed for one more year.

Termination

According to the termination clause cited in the agreement, other than the expiry date, the rental agreement can be either terminated on the grounds of breach, such as non or late payment, or on the grounds stated in the agreement or in the law.

In your case, the agreement is extended and there is no breach of the agreement.

Conclusion

The landlord cannot just show up and ask you evacuate the flat and/or for compensation for the breach since there is no breach of agreement in this case.

I will be responding the other questions related to rental agreements this week.

BERK CEKTIR

Turkey has 25 names on Forbes billionaires list

2007-03-11T10:44:00.000-07:00

Among the world's 946 billionaires, 25 are from Turkey, according to a recent survey by Forbes magazine. Hüsnü Özyeğin was ranked the world's 249th richest man with $3.5 billion.

Mehmet Emin Karamehmet followed him with $2.4 billion, the 390th-richest person. Third and fourth place in Turkey were Şevket Sabancı and Erol Sabancı with $2.1 billion. They both ranked 458th in the Forbes list. Microsoft Corp. Chairman Bill Gates was the richest man for the 13th straight year, with $56 billion, followed by Warren Buffett, chief executive of Berkshire Hathaway Inc., with $52 billion.

The other Turkish names that appeared on the list were Şarık Tara ($2 billion), Ahmet Nazif Zorlu ($1.8 billion), Aydın Doğan ($1.6 billion), Turgay Ciner ($1.5 billion), Semahat Arsel ($1.4 billion), Rahmi Koç ($1.4 billion), Ferit Şahenk ($1.3 billion), Bülent Eczacıbaşı ($1.2 billion), Suna Kıraç ($1.2 billion), Tuncay Özilhan ($1.2 billion), Murat Vargı ($1.2 billion), Olgun Zorlu ($1.2 billion), Yalçın Sabancı ($1.1 billion), Filiz Şahenk ($1.1 billion), Kamil Yazıcı ($1.1 billion), Hasan Çolakoğlu ($1 billion), Asım Kibar ($1 billion), Ömer Sabancı ($1 billion), Mehmet Sinan Tara ($1 billion), Murat Ülker ($1 billion) and Faruk Yalçın ($1 billion).

The world's richest are getting younger and richer with more Russians and Indians appearing among the 946 people on Forbes magazine's 2007 billionaires list, unveiled on Thursday. The number of billionaires is 19 percent higher than last year, when there were 793, and their total net worth grew 35 percent to $3.5 trillion, the magazine said.

The average billionaire's age fell by two years to 62, and 60 percent grew up with very little. Two-thirds of those on the list were richer, with net worth up for nearly everyone in the top 50.

This is the richest year ever in human history, said Forbes Chief Executive Steve Forbes. Never in history has there been such a notable advance. Among those joining the list are Howard Schultz, the founder of Starbucks, which pioneered the $3 cup of coffee, and former Walt Disney boss Michael Eisner.

Microsoft Corp. Chairman Bill Gates was the richest man for the 13th straight year, with $56 billion, followed by Warren Buffett, chief executive of Berkshire Hathaway Inc., with $52 billion. Mexican telecom tycoon Carlos Slim remained No. 3, with $49 billion. Schultz is 840th on the list and worth $1.1 billion. Eisner is 891st and worth $1 billion.

In China, Yan Cheung, chairwoman of Nine Dragons Paper, made history as China's richest person and was one of three self-made women born in the communist country to debut this year. She is worth $2.4 billion and is 390th on the list.

Russia climbed to No. 3 in country rankings with 53 billionaires, two less than Germany, which has long held the runner-up spot in the billionaire stakes behind the US. But the total worth of the Russians surpassed the Germans, at $282 billion versus $245 billion, Forbes said. The average age of Russia's billionaires was 46.

In Asia, India had the highest number of billionaires, overtaking Japan, which for two decades had held the region's top spot. India had 36 billionaires worth a total $191 billion while Japan's 24 billionaires were worth $64 billion, the magazine said. The wealth of Mexico's Slim increased by $19 billion, the biggest one-year advance in a decade. His wealth is equal to 6.3 percent of Mexico's annual economic output, a comparison that would make Gates worth $784 billion, the magazine said.

Two newcomers climbed into the Top 10. Spaniard Amancio Ortega of retailer Zara rose to No. 8 with $24 billion, and Canadian David Thomson and his family were at No. 10, replacing his father, the late media baron Kenneth Thomson. There were 178 new billionaires and 53 nations were represented on the list. Of the 83 billionaire women, 10 were self made, it said.

Spain added 10 new billionaires, nine of whom made fortunes in the country's booming real estate and construction business. Americans made up 44 percent of the world's billionaires, with 415, 55 of whom were new to the list. Google founders Larry Page and Sergey Brin are now worth $16.6 billion each, and the speed at which they amassed their fortune far exceeds the pace of Gates, the magazine said. They both were ranked No. 26 on the list. Back on the list were BET television network founder Robert Johnson and AOL's Stephen Case, in 840th place with $1.1 billion and 891st with $1 billion, respectively.

Japan's Yoshiaki Tsutsumi, the world's richest man in 1987, is no longer a billionaire, the magazine said. Tsutsumi, the former chairman of Kokudo Corp., the core firm of regional railway operator Seibu Railway group, received a suspended prison sentence in October 2005 for falsifying financial statements and insider trading. Computer maker Michael Dell and the heirs of Wal-Mart founder Sam Walton fell from the top 20. Dell was No. 30, worth $15.8 billion, and four Waltons were worth from $16.4 billion to $16.8 billion, ranking 23rd to 29th.

1. Bill Gates, Washington, 51, $56 billion, Microsoft

2. Warren Buffett, Nebraska, 76, $52 billion, Berkshire Hathaway

3. Carlos Slim Helu, Mexico, 67, $49 billion, telecommunications

4. Ingvar Kamprad and family, Sweden, 80, $33 billion, Ikea

5. Lakshmi Mittal, India, 56, $32 billion, steel

6. Sheldon Adelson, Nevada, 73, $26.5 billion, casinos, hotels

7. Bernard Arnault, France, 58, $26 billion, LVMH

8. Amancio Ortega, Spain, 71, $24 billion, Zara

9. Li Ka-shing, Hong Kong, 78, $23 billion, diversified

10. David Thomson and family, Canada, 49, $22 billion, inheritance

Stop making sense

2007-03-11T00:02:00.000-08:00

Only when you see the perplexed eyes of the foreigners do you realize what a country Turkey is: It challenges, increasingly these days, all logic. It can easily defy common reason.
It can also get really cranky as soon as the boundaries for it’s sense of humor are set to be enforced.
I wonder sometimes. Should one be proud of living in such a surreal land?

Or should one be seeking a dark corner to hide one’s shame?

I suggest the former. I advise discussing even the most gloomy of the matters of politics to foreigners, who also wonder what a boring place this earth be if we did not hear absurdities stemming from this land.

This entire business of YouTube does not seem to make sense, right? Yet, it has made most of us laugh. (Although I know it has frustrated many youngsters here, leading some of them to apply for lifting the block.)

The logical question, as the court here banned the access to YouTube, that many here asked as well was: “For God’s sake, what is the purpose here? To protest an insult to the memory of Atatürk? By denying access to YouTube here, do the authorities think they can blindfold the rest of the world? While through the publication it has caused, even the people living in Greenland now are interested in what those visuals were, excited to see freely accessible site on their mark, while angry Turkish youngsters and others curse the air in the internet cafés in Anatolia because their toy is taken from them?”

Maybe justified questions, but there is always a more legitimate one, that I strongly advise my foreigner friends:

“Why bother with logic to find logic? Just laugh and enjoy.”

Therefore I am happy that we produce so much laughing elements to the world, which, as you very well know, is not a great source of optimism these days. Do you hear anything funny from Belarus or Moldova? Heard anything humorous from Nigeria? Even Borat’s adopted homeland is gradually left to be forgotten forever these days.

Turkey is such a stimulus for minds that the great Los Angeles Times devotes all too often fully serious editorials on developments that generously contain old and new absurdities. Take these deliberations from last Friday:

“George Washington and Kemal Atatürk, the founder of modern Turkey, had much in common. Both men led successful wars of independence; both fought ferociously against the British; both became the first president and ‘father’ of their respective countries, and both proved to be uncommonly forward-looking statesmen who made sure their new republics were secular democracies.

“And yet the national cultures that the two men helped to create are vastly different, which explains partly (if glibly) why the United States produced YouTube while Turkey is producing ridiculous justifications for banning it. Though Washington’s name graces the nation’s capital and currency, it is also used for such crass purposes as selling used cars and mattresses.

“Ataturk, on the other hand, who died in 1938, remains the object of a cult of personality, one in which merely insulting his memory is grounds for imprisonment. That’s why the file-sharing company YouTube was banned from Turkey this week after it hosted a sophomoric video titled ‘Kemal Gay Turk.’ Playground stuff, to be sure --”

Lovely thoughts, these,

Yet, they do not help my broken joy in seeing the access to YouTube restored again in Turkey. Part of wanted it to continue.

People know me for my fierce opposition to Article 301 (you know “insulting Turkishness” thing) but nowadays, after all, well, I am not so sure anymore.

What tempts me is the unfolding parts of the YouTube story: Now, YouTube restored but hearts still broken, I learned that a prosecutor’s office in Istanbul decided to launch an inquiry, aimed at finding that “Stavreatos” guy, who dared to put that dreadful video on Atatürk on the web. Prosecutor will ask the US attorneys to find the perpetrator and deliver him (her?) the indictment that he (she?) be charged on Article 301.

What? Why are you angry, all of a sudden? Have you lost your sense of humor? Is it not wonderful that 301 lightens up the existence of humankind on this dull planet? What would you people do, if Turkey’s “official face” did not defend its right to remain serious, and nothing but serious?

I somehow do not want to be deprived of my right to smile.

I’ll stop making sense. Long live 301!

The LA Times concludes: “But the underlying issue is dead serious: Turkey can, and needs to, fulfill Ataturk’s goal of modernization by allowing him to be mocked.”It must be joking.

YAVUZ BAYDAR

İstanbul Modern

2007-03-10T23:55:00.000-08:00

Metro to Taksim, then the new cable-drawn funicular to Kabataş, then the newly laid tramway to the museum’s front door.
It seems peculiar to brag that I made my way to interview David Elliott, the newly anointed director of the Istanbul Museum of Modern Art (Istanbul Modern) by public transport, but the journey was swift, comfortable, and in terms of a carbon footprint, was moccasin-like as opposed to the hobnail boot option of hailing a taxi. I felt better for it -- more upbeat, more equalitarian, ready to face the world -- and if I am not mistaken, just the sort of punter David Elliott wants to see in his museum.

I have to confess, however, the notion of an Istanbul possessed of an infrastructure that works -- that can get you from A to B with high-speed efficacy -- is not the city of my imagination. A city of its size and stature has long been capable of attracting the best and the brashest -- a good sushi chef off Istiklal, Valery Gergiev conducting the Mariinsky’s production of “The Queen of Spades,” Madonna in a bustier. But these always seem rare, elitist treats

Of course, Istanbul has long lived with the notion that there is an alternative city to that preserved on the historical skyline, one populated by in-migrants from the countryside and the three or four generations they begat. The prejudice is that this modern Istanbul may have great vitality but that its very size pulls and tears on the cultural fabric of the city rather than makes it stronger. But of course the Istanbul Modern itself is an institution that has built on its own, if not immigrant, somehow “transient” past. The current building is a converted late 1950s dockland warehouse that was briefly occupied by the Eight Biennial in 2001. It was handed over as a permanent home for Turkish modern art and may soon be at the heart of a whole redevelopment of the vast acreage of what has become known as the Galata Port.

“Istanbul certainly has the longest and densest history of any place I’ve lived in,” said David Elliott, but its clear that he is not one to squat in the ruins of empire. He described his visit to the Fourth Istanbul Biennial in 1995, famously curated by René Block, as what opened his eyes to the modern city but was not attracted to becoming part of its future.

The intervening years have changed everything. “Istanbul has everything to play for,” he said. In just over 10 years Istanbul has acquired a new geography. It has shifted in cultural and geopolical terms. It has acquired new standards, not just in the artists it produces, whose works are shown all over the world, but in the expectations of its audience. They have learned not just to consume, but to “consume in a new democratic way” and “to take delight.”

“Delight,” and “pleasure” are important concepts for a man whose opening exhibition as director of the private Mori Art Gallery in Tokyo was titled “Happiness: a survival guide for art and life.” You sense Istanbul Modern under his watch is not going to be Orhan Pamuk’s Istanbul of nostalgia, melancholy and regret. His first job it seems is to make the city aware of its own capacity for change. His first exhibition is to be a retrospective of a century since 1880 of Turkish modern art and then to bring the story up to date by looking at the two decades since the first Istanbul Bienniel in 1987.

There is, David Elliott confesses, a hunger to see great art and fantastic things. The Istanbul Modern has to find a balance -- not just “dumping from outside” things that might be good and improving, but helping the city to find its own voice, “to play to its own strengths of what is here and what is around.”

David Elliott is a member of an international “art-ocracy.” Prior to Tokyo he was director of the Moderna Museet in Stockholm for the five years before that. His work as a curator and international jurist has taken him from the Turner Prize in London to the Triennale in Delhi, from Poland to the Alternative Miss World in his native UK. In Istanbul terms, however, he is a familiar figure -- Ingiliz David Pasha -- the émigré welcomed for his skills and imagination, the latest in long lines of renegade soldiers, architects, musicians and the odd painter who see an Istanbul its own inhabitants do not.

ANDREW FINKEL

Right, wrong or rude?

2007-03-10T00:59:00.000-08:00

The elderly bearded man stood there tossing his head and making a clicking sound. I thought I had not asked my question correctly in Turkish. I kept repeating it, thinking that maybe my pronunciation was wrong, so he had not understood my question. Actually, he was answering my question, with this head and sound gesture! He was saying “No.” I thought to myself that it was impolite that he could not even give a simple short answer - how lazy!

When we live in another culture we often face this dilemma: How much of the other culture’s customs do we adopt, and are we willing to do so? Even though I am an anthropologist and appreciate different cultures, some things still strike me as strange, and I am reluctant to adopt them. Of course, one could say the same about some things in my culture. It all has to do with how we were raised -- what our parents taught us.

Everyone, everywhere, uses their hands, heads, bodies and sounds to communicate with others. When we visit another country, we may not have time to learn the oral language, but we can observe the silent language of gestures. Gestures are signals that serve as a powerful communicator. Rather than looking at gestures Turks make, I would like to share some of the gestures I have made that may seem offensive to others.

In general, Americans are not touch-oriented people. Our comfort zone is to stand about an arms length apart. Sometimes when someone begins to cross into my comfort zone I find myself backing away. When at a concert, cinema or sporting event and I need to pass others to get to my seat, I slide into a crowded aisle facing forward and say “excuse me.” Turks would do the complete opposite. They would pass the people sitting down with their backs to those sitting down.

Here are a few other examples of things that I was taught as a child that are perceived the opposite way here:

When greeting one another, I should give a firm handshake. Turks prefer a less firm grip.

When speaking with a person, we should look the person right in the eye. If this is not done, it means we are shy or weak. In a Middle Eastern culture, depending on the situation, it could communicate the wrong message with sexual overtones.

When one has a light heart, they may whistle a familiar tune. Whistling may also be a tool for cheering or applauding. Whistling can communicate different messages depending on the culture: throughout Europe, whistling at public events is a signal of disapproval or even derision, while in the Middle East and Central Asia, it may be interpreted in a superstitious way.

If a universal study were conducted on how we all nod and shake our heads, we would find it has many different meanings. The way I was taught to shake and nod my head has the opposite meaning in Bulgaria, parts of Greece, Yugoslavia, Turkey and Iran.

Be careful with your gestures -- fights can break out! Problems can occur. We have all seen drivers fighting on the highway, or the police man who signals for you to stop.

There is a universal gesture which is understood everywhere -- the smile! It rarely is misunderstood. It is believed to be the best medicine for a sad heart -- it releases chemicals called endorphins into the system that create a feeling of mild euphoria.

A smile can get you out of the biggest jam. Use it often.

CHARLOTTE MCPHERSON

What is the United Kingdom doing?

2007-03-10T00:57:00.000-08:00

The United Kingdom is the important but invisible actor of the interventions in Afghanistan and Iraq, which is exactly how British foreign policy has worked in history.
The UK is hiding itself while anti-Americanism grows among Eastern societies because the US is perceived as solely responsible for the occupation and civil war in Iraq. Even the end of the political career of the British prime minister has been presented as a transition problem within the British democratic system, without any connection to the Iraqi war.

These days the UK is calling some of its troops back. In Bosnia, the number of troops within the EU peacekeeping mission EUFOR will be reduced to 2,500 from 6,000 and 600 of its soldiers will leave Banja before the end of the year. The second redeployment region is Iraq. The UK has announced the withdrawal of its 1,600 soldiers there. Secretary of State for Defense Des Browne declared in the House of Commons that the presence of British troops in Afghanistan is more crucial than its presence elsewhere. The number of British troops in Afghanistan exceeds 5,000. The extra contingent is composed of 1,000 soldier. That means 1,000 more soldiers will end the emergency situation.

In February the UK sent 800 more soldiers to Afghanistan and will transfer 500 of its men to the southern regions. Additionally, Denmark has called 430 of its soldiers back from Iraq and has decided to deploy them to Afghanistan.

NATO wants to increase the global number of troops present in Afghanistan. It shouldn’t be forgotten that 35,000 soldiers from 37 countries are involved in the mission in this country. In order to assure its stability, the US and the UK have proposed an Arab unification force by Jordan, Egypt and Saudi Arabia, which proves that the increase in the number of troops is not the only solution.

The withdrawal of British troops from Bosnia and Iraq doesn’t mean that the UK wants to reduce its role in the system, as the deployment of more troops in Afghanistan demonstrates. This merely shows that the UK has changed its priorities. Maybe there are new situations in Afghanistan inciting NATO to send more troops, and this is not related to the situation in Afghanistan. While the US is fighting in Iraq, it also stops Iran and the power influencing Iran to go to the “South.” But if the Northern Power has decided to advance toward the South, Iraq is not the only way and Afghanistan has appeared as a gateway so the UK has decided to reinforce its presence in Afghanistan. This also will save the UK from getting drowned in Iraq along with the US. Moreover, as the US faces major problems in Iraq while NATO succeeds in Afghanistan, a connection will be possible to establish between Iraq and Afghanistan through NATO.

History shows that southern regions of the northern hemisphere have always attracted the UK and Russia’s interests, as it is today, and France has always tried to fill the UK’s policy gaps in this region. But in the end, the UK has succeeded to be present in every region every time, and France failed to do the same. The emergence of Afghanistan as the new center of attention for British diplomacy doesn’t mean that there is a gap elsewhere - like the UK’s Cyprus policy -- that can be filled by another country, say France.

BERIL DEDEOGLU

Shake it up Şekerim

2007-03-10T00:40:00.000-08:00

Turkey will be represented in the Eurovision Song Contest by Kenan Doğulu's "Shake it up Şekerim." President of the Turkish Language Society Şükrü Haluk Akalın has criticized this hybrid language. It seems his anger is not about the use of the English language for a song contest where Doğulu is going to represent Turkey, Turkish people and the Turkish culture. On the contrary, he criticizes the use of Turkish words among English ones.

I am no supporter of Kenan Doğulu's shaky language. Yet this hybrid language is a quite relevant representation of our culture. Turkey is a bit of everything: a bit of democracy with a bit of deep state where the perpetrators of "murders by unknown assailants" are well-known but not apprehended; a bit of Europe with a bit of Asian-Eastern culture where the people cannot differentiate between reality and TV series; a bit of Islam with a bit of laicism where the intellectuals are rising against the teaching of creationism as an alternative to Darwinism; a bit of freedom of expression with a bit of "military surveillance" of newspaper columns; a bit of basic human rights including the right to receive information and a bit of non-accredited newspapers by a certain state apparatus…

Years ago, when some separatist Kurds were elected to Parliament, the then no-worries Prime Minister Süleyman Demirel had said that this was the picture of Turkey. His logic was that Parliament was a representation of the country and that if they existed there in the mountains, they should also exist in Parliament. I am no great fan of Demirel. I would rather turn his logic upside down and say this; "If they exist in Parliament, this is not a representation of their existence; this is a representation of the seriousness of their existence."

This analogy holds for "Shake it up Şekerim" as well. This hybrid language is not the result of considerations about external factors like English becoming a global language. It is about what is going on in Turkey, and not only linguistically. Culturally, politically, economically, religiously, psychologically and even genealogically this nation is a hybrid nation. This needn't be a sign of identity confusion. Hybrid cultures are also the most productive cultures of the history of humanity. But I would rather keep my cynicism about what good can come out of the military's labeling of certain journalists as pro-military and others as not.

Turkey's search for identity is still an ongoing process. This makes certain ideological camps more sensitive to influence and change. "Shake it up Şekerim" is being criticized not because of how we are going to be represented in Finland, but because it says something about who we are. Or, should I say, who we are not?

The press is angry about the military media scandal not because it revealed the mindset of some military officers but because it reveals the immaturity of our democracy. How many revelations about who we are did we get in this first quarter of the year! We are a wonder of economic development and we have one of the largest levels of uneven distribution of economic wealth; we are a strategic ally of the US and our interests in Iraq are in continuous conflict with those of the US; we are the sole successful example of Muslim democracy in the world and we are a country where the rights of the majority are suppressed by a minority… One can add to the list without end.

Don't shake it, sweetie! Be who you are!

KERIM BALCI

One day a year

2007-03-08T23:00:00.000-08:00

On Thursday morning, I walked down the road to buy a few newspapers like I do most days. I usually buy several to get different points of view. This time, the front pages were somewhat different: articles about women had made it to the front page in most of the papers. For those who wonder what purpose International Women’s Day serves, here is the answer: At least one day a year, most media, including the most conservative, feel the need to examine the situation of women. And they are usually surprised by Turkey’s poor record. One day out of 365 may not be much, but it is an opportunity to air a few issues.

This year, the Turkish national assembly had even scheduled a special session to discuss ways of improving Turkish women’s status in society. It sounded like a good idea since Turkey lags so far behind EU and OECD countries on gender equality. I thought it might even be an encouraging sign that the government was finally getting into higher gear on gender equality. That was until I spotted the picture in Hürriyet. It showed the state minister for women’s affairs, Nimet Çubukçu, sitting entirely alone in the area reserved for the government during the discussion, amid the bright red chairs vacated by her male cabinet colleagues. They had better things to do.

Yet there aren’t many ministries or state institutions that do not have a part to play in challenging the status quo. You could perhaps argue that the Ministry of Public Works is not directly concerned, although the wide gender employment gap that exists in all public institutions could perhaps be narrowed there too, but where were the education minister, the health minister, the minister of labor and social security and their colleague from agriculture? In all these fields, there is a long “to do” list if Turkey is to abide by the commitments it made when it signed the Convention for the Elimination of All Discrimination against Women.

“Discrimination against women is worse than racism”, Prime Minister Recep Tayyip Erdogan said a couple of days ago. Well spoken, Mr Prime Minister, but what is your government prepared to do about it? Would a well-attended parliamentary session not have been a good opportunity to show that the government meant to take action? Minister Çubukçu is trying her best, but she alone is not going to change society.

The worst offenses -- domestic violence, the honor killings -- are now regularly covered by the media and were even the subject of a parliament report. Still largely unnoticed, however, is the benign neglect that not only blights the lives of many young girls and women today, but also undermines the development of an active and educated population for tomorrow. For instance, an OECD study last year found a high level of inactivity, 44 percent, among Turkish girls aged between 15 and 19. These are teenagers who neither attend school nor have a job. In comparison, this ratio is 8.2 percent among OECD countries.

Surely, even the most conservative of men, who believe that women’s primary role is to look after their children, can see that mothers who have had minimal education, have never held a job and have little experience of life beyond the boundaries of their homes, are not best equipped to support their family’s educational needs. There are examples of individuals born in illiterate families who have risen in society, but statistical evidence shows a direct correlation between the parents and the children’s education level. Encouraging girls to play a more active role in society therefore has wider benefits.

NICOLE POPE

Stocks hesitant again as recovery stalls

2007-03-08T05:41:00.000-08:00

A tentative global share price recovery ran into sand in Asia and Europe on Wednesday, with some major bourses turning lower again after a week of steep losses left investor nerves jangled and as key central bank meetings loomed.

Possible interest rate rises from the European Central Bank and the Bank of England on Thursday and a key US employment report on Friday loom large this week for many traders.

But last week's sudden shift away from relatively risky assets such as equities and speculative bets such as yen-funded, high-yield plays still dominated sentiment. Wall St's strong rally of more than 1.5 percent on Tuesday saw little follow-through in other markets.

Tokyo's Nikkei index fell 0.47 percent, reversing an early gain and leaving Japan's benchmark index down 8 percent since Feb. 26. While other Asian markets firmed, Hong Kong's Hang Seng turned tail to end down 0.73 percent. European markets seemed to take their cue from this fresh hesitancy in Asia rather than New York's powerful bounce and S&P futures pointed to a slightly weaker opening later on Wall Street.

By 08:45 GMT, the FTSEurofirst 300 index of top European shares was 0.1 percent higher at 1,461.7. London's FTSE 100 was down 0.4 percent. "The market is now looking a little bit ahead to ECB tomorrow and payrolls on Friday, so I guess they are taking a breather after the very volatile moves we have seen," said Niels Christensen, FX strategist at Nordea in Copenhagen. The yen, which surged in tandem with equity market losses since last Monday as so-called carry trades were unwound, nudged higher on Tuesday after one day on the back foot. "This implies the markets have not sufficiently calmed down, and the yen still has a risk to bounce back again following the global equity markets development," analysts at Citigroup in London told clients in note.

Asian bourses failure to match Wall St's bounce was striking for many analysts. MSCI's index of non-Japan Asian shares was up 0.5 percent, with China's main index up two percent. "But losses in Tokyo and Hong Kong overshadowed the broader moves. The scenario that the US economy would see a soft landing has been somewhat destroyed," said Koichi Ogawa, chief portfolio manager at Daiwa SB Investments.

Although a lot of people, such as policy makers, keep saying the US economy is fine, investors remain worried. The global flight from risk of the past week was triggered on Tuesday last week by a sharp fall in Chinese stocks and worries about the US economy, and some analysts say it has further to run.

Among policymakers offering views on Wednesday was US Treasury Secretary Henry Paulson during his three-country tour of Asia. He predicted stable growth for the US economy but made no remarks on financial markets. Export stocks such as Canon, which fell 2.54 percent, were among the big losers as investors worried about the strength of demand in the United States, Asia's main export market.

Todayszaman

Cem Uzan

2007-03-06T07:55:00.000-08:00

cem uzan, genç parti, cem uzan vaadleri, cem uzan vaatleri, cem uzan reklamları,mazot 1 ytl olacak,öss ve harçlar kalkacak,her işsize 350 ytl maaş,ezilenler iktidar olacak,artık kızlar teklif edecek,türk kızları gidecek rus kızları gelecek,

First prize at the tea party

2007-03-06T00:37:00.000-08:00

A few years ago an American friend brought her mother to visit Goreme while I was away from the village. Afterwards she reported that her mother had raved about the beauty of Cappadocia, but what, she wanted to know, did I find to do with my time?
It was a good question. I was, after all, a Londoner by birth who had grown up in big British cities with access to the best of cinema and theater (and, contrary to popular belief, many excellent restaurants). Then in my forties I had moved to a village of just 2,000 souls with none of the trappings of urban life.
So what do we find to do with our time here?
Well, one thing we do is sit around and drink lots of tea. Traditionally, Cappadocian women have always socialized in their homes, dropping in on friends and settling down for the evening on their sedirs (bench seats) with a glass or two of cay. It’s an unvarying routine. Out come the bowls of nibbles -- sunflower seeds, pumpkin seeds, chickpeas and popcorn. Then out come the little bags containing the knitting and crocheting, and everyone oohs and aahs over everyone else’s work and exchanges tips on how to improve their own. Everyone, that is, except me who sits and twiddles her thumbs.
Occasionally more formal tea parties have also been held to raise funds for repairs to the school roof. These parties take place at the Turist Hotel, a grimly utilitarian building recently granted a much-needed facelift. Given the lack of organized entertainment in the village, much excitement attaches to these events. My friend Fatma and I even arrived late for the first one because her sister was in floods of tears, having mislaid her precious ticket.
As it happened she needn’t have bothered crying because the party turned out to be a damp squib. To start with, there were barely enough chairs for all the assembled bottoms. Then, after an interminable delay, we received our party fare which consisted of plates of dry biscuits to soak up the tea. The event was scheduled to last until five o’clock but by four the band was already packing up its instruments and we were on our way home.
The next time round the party planners had learnt their lesson. This time they organized a raffle, and for the equivalent of YTL 1 we each received a ticket for the draw which guaranteed us a prize. This being Goreme, the prizes included such mouth-wateringly desirable tourist luxuries as kilims, jewellery and inlaid wooden picture frames.
Fatma s ticket was first out of the hat and she went very quiet when handed her prize -- a table lamp featuring a plastic doll with its thumb stuck in its mouth. I landed a pair of pajama bottoms big enough for a two-year-old.
But best of all was Hatice s prize. As we wandered back up the hill she was still jabbing me in the ribs and cackling: “A dustpan, Pat! A dustpan!”

PAT YALE

A long way to go

2007-03-06T00:19:00.000-08:00

It is that time of the year again. As Women’s Day approaches, we take stock and look back at the road already travelled on the way toward greater gender equality. And, year after year, we realize that we still have a long way to go. In Turkey this year, Parliament will mark March 8 with a special session focusing on women’s issues. Is the fact that gender equality will be discussed in the sacrosanct atmosphere of the National Assembly, where so few women have entered, a sign that closing the gap has become a mainstream political issue in this country? There have certainly been positive signs in recent months, but we will have to wait until party leaders unveil their electoral lists later this year to see if women will really get a chance to influence the political agenda.
Overall, there is no doubt that progress has been achieved on many levels, in Turkey and around the world. The Scandinavian states have probably come closest to achieving gender equilibrium in their societies, but the fact remains that while women now have access to most professions and the highest levels of education, overall they still operate in a largely male world. The feminist movement has succeeded in opening doors but not in changing the global framework. We still see the world largely through male eyes and operate by men’s rules.
Take the media, for instance. Do you see many women on the evening news? The presenter may be a woman, but few of the topics covered relate to women or express a woman’s point of view. A year ago, an interesting survey analysed 86,000 news items published or broadcast around the world on a single day in 2005. It found that women were only 21 percent of the people featured in the news. Particularly striking was the fact that 83 percent of experts and 87 percent of spokespeople consulted by reporters were male. Men still have a quasi-monopoly on authoritative analysis. Women are more likely to appear in the media when they express popular opinion and of course, as celebrities: Britney Spears and Paris Hilton use up a significant share of women’s news coverage.
In developed countries, a majority of women now have jobs but fewer have proper careers. Too many women still take jobs for which they are overqualified because they offer a degree of flexibility not available in the higher echelons of corporate life. Rising through the ranks in any big company still requires the kind of 24-hour-a-day dedication that few women can, or are willing to, provide if they have children. If anything goes wrong in the carefully orchestrated life of a two-career family, the woman is still overwhelmingly expected to pick up the slack. When the school calls to say that little Hasan is ill and needs to be picked up, or the babysitter cancels at short notice, it is usually mum who will cancel that all-important meeting at work to step in. When the pressure gets too much and a parent needs to take time off or switch to part time work, the wage gap that remains at all levels will ensure that the loss of the mother’s salary will have less impact on the family’s finances. But when she tries to return to the job market, the “empty years” on the CV may count against her.
Perhaps it is time to seek more people and women-friendly alternatives to the rat race and the relentless drive for financial success. It is becoming increasingly obvious that the neo-liberal model of development is unsustainable in the long run and that male political brinksmanship is making our world more dangerous by the day. Women have an important role to play in creating a more balanced and human world, but they must be allowed to speak in their own voice.

NICOLE POPE

Intellectual property rights in Turkey 2: Trademark registration

2007-03-06T00:08:00.000-08:00

Yesterday I wrote about how to make an application for registering a trademark in Turkey and gave some brief explanation on trademark protection. Today I would like to talk about more on this subject and finalize this file for the week. What documents are necessary for registering a trademark application?
It depends. Either real persons or legal entities can apply for registering a trademark in Turkey. Different documents will be necessary for application depending on whether it is a legal entity applying for registration or a real person applying for registration.
If it is a real person applying for registration, documents of Identification, such as an officially approved copy and translation of a passport. will be satisfactory. If it is a legal entity, then a certificate of activity showing that the company is duly incorporated and actively operating will be satisfactory. A detailed description and visual models of the trademark should be submitted to the institute.
The final documents should be for power of attorney only if you are using a professional for registering your trademark on your behalf.
Finally the forms and petitions for registration should be duly signed and submitted to the Turkish Patent Institute. As a basic rule, you can register your own trademark; however, in real life professionals do it for you much faster and more safely.
Only registered and certified patent and trademark attorneys can act on your behalf before the Turkish Patent Institute. You should provide a power of attorney in order to appoint a professional to act on your behalf. The power of attorney can be made in two ways for a foreigner: in Turkey or abroad.
If you want to provide a power of attorney in Turkey, you may conduct this process before a notary public. Please make sure that your intention in giving this power of attorney is to appoint a professional to act on your behalf regarding the matters of intellectual property rights and registration of your trademark. The authorities may want to see this specific wording in the text of the power of attorney.
If you will be providing this power of attorney outside of Turkey, please make sure that it is duly apostilled in accordance with the Hague Convention governing the approval of legal documents. The apostille shall be made by competent local authorities and this local authority is different for each country. Please consult a legal professional in your country or to home office to find out which authority provides the apostille.
Anything further?
I would recommend that you follow up the journal published by the Turkish Patent Institute that you can see if someone is trying to register a trademark that could affect your registration. If you have already hired a trademark attorney, he will do it for you.

BERK CEKTIR

Intellectual Property Rights in Turkey (1): Trademark Registration

2007-03-05T01:12:00.000-08:00

Intellectual Property rights become more important every new day. The legal war between music companies and software companies, trademark litigations will be even more frequently taking place as long as the brand awareness develops worldwide.
I am planning to write about intellectual property rights and its different aspects today and tomorrow.
Basically intellectual property rights have been protected under the general rules of Turkish Law since the beginning of the Turkish Republic. However, special regulations came into force during the last decade and now, trademarks, patents and other intellectual property rights are protected in particular in particular.
I will give brief explanation on Intellectual Property Rights related matters. Since “Intellectual property rights” is a very wide subject to write on, I will focus on the Trademarks and should you have any questions please do not hesitate to write to me.
How do I register my trademark in Turkey?
Turkish Patent Institute registers trademarks, patents, license agreements and such rights upon application. The application is made in writing via uniform documentation of Turkish Patent Institute.
How long does it take to apply and how long does it take to register a trademark?
Application process takes not more than 1 day if all documents are ready for application to Turkish Patent Institute. The registration process is completed in one year after the application is made.
There are different classifications for several goods and services. You should clearly state the service or goods in which you want to register your trademark.
Turkish Patent Institute checks if an earlier registration was made with the same or similar trademark.
What should I do if someone has registered my trademark in his name before I applied to Turkish Patent Institute for registration?
You should apply to the competent courts in order to cancel the registration of the other party. The competent court for such cancellation cases is Intellectual Property Rights Court. The IP rights courts see cases only related to IP rights and the judges has very well established expertise in the field of IP rights.
What happens if someone infringes my trademark in the meantime of registration process? When does the protection start for my trademark?
The protection starts right on the application is registered with Turkish Patent Institute. You may start to enjoy your trademark and start legal action in order to protect it.
We don’t have enough space to write more and I will give a list of necessary documents and responses to other FAQ tomorrow.

BERK CEKTIR

Cyprus-France military accord: Will it deepen gap between Turkish and Greek Cypriots?

2007-03-05T00:54:00.000-08:00

France hoped to obtain the use of a key air base somewhere in the Middle East to facilitate its ambition of playing a major role in the eastern Mediterranean after Jan. 16, 1991, or the US’s Operation Desert Storm.
In plain terms, after this operation, the French influence, existing in the Middle East since the late 1800s, was successfully wiped out by the Anglo-Saxons, and full control of the area moved into their hands.
France had to find an ally to creep into the area; there were no other options. She had to find a country with which the benefits of an alliance would be mutual. After a comprehensive search, Cyprus, having problems with Turkey, was chosen as the ideal partner.
The Greek Cypriots, on the other hand, were in a state of unrest due to the existence of the Turkish army on the northern part of the island. The Turkish army, embraced by the Turkish Cypriots, intervened in 1974 to protect the lives of the Turkish Cypriots, who had been suffering from attacks by the Greek Cypriots since 1963.
The Turkish Cypriots had lost hundreds of innocent compatriots, mostly women and children who were forced to leave their homes, belongings and memories and flee for their lives to the liberated parts in the northern territories during attacks in 1963, 1964 and 1967. After 1974, they formed the Turkish Republic of Northern Cyprus.
The Greek Cypriots, aiming high to get control of the island again and form a unitary Greek government in which they planned to treat the Turkish Cypriots as a minority, were seeking an ally who would back them in the UN and EU loyally under any circumstances, preferably a strong one as well.
France, a permanent member of the UN Security Council and an outstanding country in the EU, was chosen to be the ideal candidate for an alliance against Turkey. And so started the tale.
During EU-Turkey accession proceedings, France played her role perfectly, satisfying the demands of the Greek Cypriots by pressing Turkey to open up its seaports and airports to Greek Cypriot vessels and planes. A report by then Secretary-General Kofi Annan, drafted after a referendum held in Cyprus on April 24, 2004, was vetoed by France in the UN Security Council. The report clearly blamed the Greek Cypriots for blocking efforts leading to a sustainable and comprehensive solution on the island acceptable to the international community.
The Greek Cypriots, pleased with the efforts of France, made the first move by offering sea and air military bases, aiming to accomplish several objectives with a single stroke. Their first objective was to secure France’s crucial support against Turkey in both the UN and EU.
And the second important objective was to call on France for help if one day Turkey were to attack to them or if they decided to attack the Turkish Cypriots and take over the northern territories, relying on French support, as they did on 1919, which ended in catastrophe.
Of course, this alliance, France’s signing of a military agreement with the southern Cypriot Greek administration, is a worrying development. It will definitely block the way and weaken the initiatives for a comprehensive solution on the island.
As a matter of fact, the cracks already existing between the two communities of the island, namely Greek and Turkish, will only deepen, leading to a stable separation, and one with no hope of getting together again in the future.

ATA ATUN

France’s elections, Turkey’s choice

2007-03-02T23:01:00.000-08:00

As the president has important powers in the French political system, the winner of the presidential elections this May is important not only for France but also for many other countries. The rightist UMP candidate Nicolas Sarkozy, who says that “Together Everything is Possible,” seems to receive the support of the conservative sectors of the electorate. He wants to restore France’s former power and importance. But having said that, he seems to be supportive of a federal Europe. He affirms that as in De Gaulle’s time, France and Germany should be the EU’s pivots, and he thinks that the UK is an obstacle on the path to full European integration. Sarkozy would be right if the world were the same as in De Gaulle’s time. Today the UK is a member of the EU -- and a powerful one -- even if it doesn’t please France. Sarkozy also affirms that France would be stronger if it joined fully in the dynamics of globalization. He defends globalization and a federal Europe at the same time. Beside this, he promises to take harsh measures to tackle the immigration issue, even though it’s not understandable how he reconciles this with globalization.
Sarkozy’s other important rhetorical point is rejecting Turkey’s membership in the EU. He perceives Turkey as the immigrant, foreigner, the Muslim “other.” In his understanding, Turkey is not a European country, and the UK and US push to have it become a full member of the EU is done to block European integration efforts. But he doesn’t understand that the EU needs to have a member like Turkey in order to become a regional or global political actor. He is, in fact, cherishing nationalist trends in France by opposing European enlargement through Turkey and by talking about the dangers of uncontrolled immigration. History shows that nationalism has always benefited from mistrust towards friends and allies. To say that Turkey is not a European country because it doesn’t recognize the “Armenian genocide” represents the beginning of a dangerous process for France and for the EU as a whole because the EU is the lesson learned from European history, not the rewriting of it.
The other prominent candidate, Ségolène Royal from the Socialist Party, seems to be more prudent, and she insists on focusing on the social problems of France. She tries to use global subjects and conditions in order to resolve these problems but she appears to be very vague. She’s not afraid of Europe’s enlargement; she thinks the EU is at the service of world peace and she underlines human rights issues. Some criticize Royal for not being as informed and capable as Sarkozy, but the history of French democracy is the story of rejecting management by the capable.
If Sarkozy wins, the EU will determine the relationship between Turkey and the EU. France’s interlocutor with Turkey will be the other EU countries, and the debate about the EU’s future will be held over Turkey, without discussing the substance of the membership issue. This will help Turkey to postpone its homework for some time. But if Royal wins, Turkey will determine the Turkey-EU relationship. The transformation of this country and its success in doing its homework will be of primary importance. In brief, Turkey will have to start doing its homework immediately.

BERIL DEDEOGLU

Music -- go live!

2007-03-02T22:48:00.000-08:00

Although music festivals are becoming very important and popular in Turkey, studies on what makes music festivals a success and who goes are scant.
My guess is success depends on the location and price, or possibly it is the star lineup. In some countries having a theme or message brings the people. I am not so sure that is the case here.
An internationally famous Turkish composer and pianist, Burçin Büke, wants to see the trend in music appreciation drastically improved in his homeland. Büke has carved out a niche for himself in the Turkish music market with his recently released album “W.A. Mozart for Babies.” Germans refer to Büke as a “wunderkind,” he played Mozart’s sonatas at the age of 11. And Büke is convinced that music appreciation should begin at a very early age -- in the womb. Büke loves soccer. He dreams of a symphony orchestra playing classical Western music before an international match. Another idea that Büke has to educate the masses is to rent a big truck, put his piano on it and travel from town to town in Anatolia, playing the piano.
Büke has a point that the Turkish masse needs to have the opportunity to develop music appreciation, just as Pavarotti singing Nessun Dorma for the World Cup introduced the classics to the European masse.
Hope for the future of classical music becoming more popular is evident at a concert. While attending a Borusan concert, I remember seeing young people sitting on the steps and rushing in before the curtain opened to grab a seat. It was explained to me later that these are music students who can attend free but do not have assigned seats, or any seats, if the room is full. Students studying at the conservatories and young music lovers wanted to hear and experience the concert.
Young adults, anywhere in the world, have to be more selective in their attendance of concerts because of lack of finances. Obviously if more learn to enjoy classical music concerts, the marketing techniques need to be revised. In Turkey, even pop music concerts are expensive for those on average incomes. To increase affordability, festivals have focused on a single ticket for multiple concerts.
The American audience for live music is substantially greater than attendance at major league baseball games. However in Turkey more people go to watch football than attend concerts. Maybe this is to do with the number of concerts available (e.g., often stars will only play for one night, and that is sold out within a few hours of going on sale), the relative cost of tickets, the excitement surrounding special matches such as local derbies, and the anticipation building up toward the end of season.
Turkish stars always seem to manage to pull a big audience. The same is true of well-known foreign names (I must admit though, I am waiting for Barbra to come!), but visitors tend to play just one venue one night. This compares with the night after night offering of music videos on TV channels.
But it is no comparison! Videos cannot replace the amazing effects and lighting on stage, the anticipation of the crowd waiting for the concert to begin, the sound quality of a live performance. These are true of both pop and classical concerts.
Those working to bring more artists here, and develop the local concert market deserve our support. So log on to the internet ticket sales sites, or go to your local box office and enjoy a great musical night out.
With music, it’s better to be live!

CHARLOTTE MCPHERSON

We're looking for a tenor! Who goes to concerts?

2007-03-01T21:29:00.000-08:00

Hearing live music is one of the most enjoyable experiences we can have. It doesn’t matter which music -- that depends on our taste. Attending a live performance brings even more pleasure. The music sounds great, it feels great, and you get to watch the musicians as they create it. No matter what kind of music you love, try listening to it live.
One of the things I miss when I am in the car is listening to classical music on the radio. With an almost endless choice of music at my fingertips, from American and British pop, Turkish hard rock, Arabesque and even inspirational, you may wonder why I can’t be content.
Did you know that a recent survey carried out in America among adults showed that nearly half had attended a live musical performance within the past 12 months? Nearly one-third of American adults -- 30 percent -- have attended a popular music concert in the past year and just less than that have attended a performance of classical music, be it a symphony concert, a chamber music concert or an opera performance.
The popularity of albums such as the “Three Tenors” has shown that classical music, the traditional province of the palace and the bourgeoisie, now has a wider appeal. American adults of modest income attend classical music performances.
How to enjoy a Classical music concert? This is something we need to learn. In some ways a concert is like a ballgame; both concerts and ballgames have their rules of behavior and their rituals, and both can be baffling if you don’t know what’s going on. I took my British friend to a baseball game once and she found it very boring. She said to me a few days later, “I’m still trying to figure out how, in the middle of a baseball game, when everybody is talking and eating hot dogs, and nobody is watching the game, all of a sudden everybody -- except me -- knew to leap to their feet and pay attention.”
If you have not been to a live concert before it can be baffling, too. Classical music concerts can seem like snobby affairs full of elite terminology and peculiar behavior. It can be hard to understand what’s going on. It can be hard to know how to act. It can be hard to find the restroom. Though once you have learned the rigmarole, you can settle down and enjoy the concert.
What about in Turkey? Is it still more the affluent who attend concerts? Crossover occurs: in that many adults who have attended a live pop concert in the past year probably have also attended a classical music performance during that span of time. But do different social classes attend these events?
Many people would be quick to say that popular and classical music performances are often considered to be worlds apart. Interestingly enough, the popular and classical musical audiences crossover. Yes, they overlap. I think it is true in Turkey for those who go to concerts that adults who attend a classical music concert would also attend a pop concert. People have a wide taste in good music. The ability to attend a concert here often depends on income, tickets can be too expensive for many people.
In Turkey, during the ‘90s, even Madonna and Michael Jackson performed in Istanbul. I remember seeing James Brown in Çeşme a few years ago, Bryan Adams at Beylerbeyi and Sting at Harbiye. I have also enjoyed seeing Candan Ercetin live, my favorite Turkish star.
A couple of years ago I had a year’s subscription to the Borusan Philarmonic Orchestra’s concerts, which included wonderful recitals by İdil Biret and Fazıl Say. Most of the regular season-ticket holders seemed to be older than me, but it was wonderful to see empty seats filled at the last minute by young music students.
Turkey has a young population that makes concert-going exciting here. The warm weather makes the wonderful outdoor location very pleasant in the summer. Foreign artists genuinely seem to enjoy giving concerts, and of course local stars love the reception they get from their many fans of all ages.
If any impresarios want to know who I would queue up for hours to see, that’s easy: Invite Barbra Streisand!

CHARLOTTE MCPHERSON

Rental agreements under Turkish law

2007-03-01T21:25:00.000-08:00

I was supposed to write about labor law issues today but I received three questions related to rental agreements which seemed urgent and therefore I decided to respond to these questions.

I will be responding the first one today and in Monday’s Today’s Zaman you can read my responses to the remaining two readers’ questions.
The first question comes from Nigel. “Dear Sir, I have been reading your corner with great interest and I wish the best of luck and success to Today’s Zaman. I have two holiday houses in Turkey and I rented one of them to a foreign person who is a Dutch citizen. He has been paying his rent with delay and even sometimes as a whole payment for two, three and once even four months. According to our contract the rent payment shall be paid in the first seven days of each month and the seventh day of the month is the last day for payment. According to the contract, ‘failing to fulfill any obligations provided by this contract by the tenant, the landlord may terminate this rental contract immediately without any prior notification.’ I have sent the tenant several reminders and notifications via email. My question is, if this clause of the contract gives me the right to terminate the contract, which procedure should I follow so the tenant evacuates the house without causing any hassles for me? Thank you in advance for your response.”
Dear Nigel, I would have been very happy if you had sent me the rental agreement you made with your tenant. I have to see the agreement to give you certain information. Anyway, I will give you the basics of evacuating a rented premise on grounds of late payment.

Proving the late payment
First, we should prove that your tenant is paying the rent later than the agreed date. Please ask your tenant to pay the rent to a bank account. If you do not use a bank account, please keep the record of the payment dates. In case you do not use a bank I would recommend you prepare simple proof of payment. This receipt MUST include the date of payment and it MUST include the signature of the tenant. The tenant would also ask for proof of payment and it would be a good idea to include the payment date in this receipt including the signatures of both parties.

Notification
You mention that you have notified and reminded the tenant regarding the late payments. Actually you have got the basic point yourself. In case a tenant is fulfilling the rent payments later than the decided date of payment, the landlord should notify the tenant via PUBLIC NOTARY. The form of the notification should include the clause regarding the payment date and proof of late payment.

Termination
According to the termination clause you have quoted, you can terminate the agreement and ask the tenant to leave and vacate your house. However Turkish law provides the landlord with a special way to ask the tenant to vacate a rentel premises.

Accelerated process for evacuation
In case the tenant fails to pay the rent twice and if the landlord notifies the tenant regarding the late payment, then the landlord can ask the tenant to vacate the rented premises. The vacate process is much easier in this case since you don’t have to question if the contract can be terminated or not but simply ask for vacate

BERK CEKTIR

Turkish financial markets watching China, say only wait and see

2007-03-01T00:51:00.000-08:00

Turkey's markets were hit as fiercely as the rest of the world following the 9 percent drop on the Shanghai stock market on Tuesday.

The İstanbul Stock Exchange finished the day down 4.5 percent, and overnight interest rates rose around 20 percent. Yet the İMKB-100 index closed yesterday at 41,430.99, which means the day's end marked only a slight 0.82 percent fall. Like the markets, financial analysts are being cautious as well. Everyone is curious as to whether the effects will be permanent or only minor turbulence, similar to what struck the markets in May and June. Currently, the word is “Let's wait and see.”

Tuesday’s plunge rattled markets across the globe, from the Asian tigers to Europe, from the US to minor economies. Almost all stocks suffered sharp declines in rates varying between 4 and 5 percent.
Chairman of İstanbul Chamber of Commerce, Tanıl Küçük, claimed that it is still too early to draw any similarity between the recent plunge and the turbulence in May and June last year. “Even if we can’t call it a fluctuation, such differences have to remind us always that we have to turn them into advantages,” said Küçük. In his speech at the assebly meeting of İSO, Küçük noted that minimizing the effects of external shocks must be the most improtant element in monetary policy. Market expert Mehmet Ali Yıldırımtürk believes that what happened in China is by no means a harbinger of another “Asian Crisis.” Yet he warns that it may cause a liquidity stifle in the medium term, noting that the interest rates of major economies are increasing, which means global funds will take refuge in safer markets regardless of their profitability.
Sevim Şahin, from Eczacıbaşı Securities, however, claims that more time is needed in order to clearly understand the characteristics of the Chinese plunge. Şahin also says unless the turbulence completely settles down, no one should expect complete stability in domestic markets. She implies that the bad conditions in the global markets may resurface the omitted uncertainties and risks of internal markets.
There is a fear that ambiguities about the upcoming elections, current account deficits and some structural problems will deepen the adverse effects of the global developments on the Turkish markets, analysts note. Yıldırımtürk, however, poses an optimistic stance. Pointing out that Turkey has the highest real interest rates worldwide, it still serves lucrative opportunities for foreign portfolio funds.
Reasons for China’s market plunge are abundant. Investors in China were spooked by comments Monday from former Federal Reserve Chairman Alan Greenspan, who said the US economy may suffer a recession later this year. In comments to a business conference in Hong Kong on Monday, Greenspan said the US economy has been expanding since 2001 and that there were signs the current economic cycle is coming to an end. A day after sending Shanghai’s benchmark index to a record, investors dumped stocks to lock in profits amid speculation about a fresh round of austerity measures from Beijing to slow the nation’s sizzling economy. The rumors that China is going to impose a capital gains tax also resulted in the dive. But Shanghai Securities News ran a front-page report denying those rumors. The newspaper, run by the official Xinhua News Agency and often used to convey official announcements, cited unnamed spokesmen from the Ministry of Finance and State Administration of Taxation.
The Shanghai Composite Index tumbled 8.8 percent to close at 2.771.79, its largest decline since it fell 8.9 percent on Feb. 18, 1997, at the time of the death of Communist Party leader Deng Xiaoping. The fall erased about $140 billion of value off the market. Ian Scott, global equity strategist for Lehman Brothers, pointed out that those multiples raised question marks before the sell-off over whether the Chinese market was still of good value. On Sunday the government announced that it had set up a top-level task force to clamp down on illegal securities trading.
Analysts said they expected China’s stock market to stabilize and keep climbing over time, although further near-term declines were possible given concerns that prices may have risen too precipitously in recent months. Despite the decline, the Shanghai index is still up by 3.86 percent for the year so far. Tuesday’s “sell-off does not reflect any fundamental change in the outlook for China’s economy,” Yiping Huang and other Citigroup economists said in a report released Wednesday. “A sharp contraction in excess liquidity that would reinforce damage in the stock market remains unlikely,” it said.
China’s big institutional investors are all state controlled and would be unlikely to sell so heavily as to completely reverse gains that more than doubled share prices last year. With a key Communist Party congress due in the autumn, the authorities have a huge stake in keeping the markets on an even keel.
The plunge spilled over to New York, where the Dow Jones industrials tumbled 416.02, or 3.29 percent, to 12,216.24. In London, the FTSE-100 dropped 2.31 percent, France’s CAC 40 dropped 3.02 percent and Germany’s DAX lost 2.96 percent. Major Latin American markets closed sharply lower Tuesday. In the US, the sell-off was deepened as nervousness over America’s economic prospects intensified after much worse than expected official figures showed a record monthly drop in January in new orders for US durable goods outside the defense industries.
Analysts said that the worldwide reverberations from Shanghai reflected both fears that any slowdown in China would hit its demand overseas, spelling direct consequences for sectors such as mining stocks, but also creating a wider sense that markets had not paid enough heed to broader risks in emerging markets as well as developed economies. Peter Oppenheimer, at Goldman Sachs, said that Shanghai’s losses were one factor that had helped to focus attention again on the cumulative risks that were out there. “It’s forced people to concentrate their attention on the risks that were probably already there, but that people had felt comfortable to ignore,” he said. Investors drew comfort from signs that selling momentum had -- at least for the moment -- abated. Shanghai stocks staged a late rally, while other Asian markets rose above early lows.

Todayszaman

Turkish labor law and maternity leave

2007-03-01T00:35:00.000-08:00

Labor law is a quite broad topic to cover, and I will write some notes about it from time to time. Today and tomorrow, I would like to highlight some issues regarding the labor law issues. Today’s subject is maternity leave.
Maternity leave has been regulated under Turkish law for a long time, and the new labor law has brought new regulations regarding maternity leave.
Although it is not that young the Labor Law 4857 is called the “New Labor law.” One of the main reasoned why the Labor Law Nr. 4857 is called this way is that it has brought fundamental new regulations to the business life as regards the employer- employee relationship.
As usual, I started to write about this subject in response to a reader’s question. The question was as follows: “I have been working for a Turkish Company and I am planning to have a baby. I would like to know how the issue of maternity is regulated under Turkish law. Is there a maternity leave and if yes, how long is it? “
Certainly, Turkish law grants maternity leave for mothers. The basic rule is that mother should have eight weeks of maternity leave prior to the birth and an additional period of eight weeks after the birth. In case the mother is giving birth to more than one baby, an additional two weeks maternity leave is recommended to be granted, however this is not mandatory on the part of the employer.
In case the mother would like to work, she should submit a report from a medical doctor, that there is no risk to the health of the baby(s) or the mother if she works. Upon submitting such a report, the mother shall be able to work until three weeks prior to the date of expected birth. If the mother asks for this, the time spent working prior to the birth shall be added to the period of maternity leave to be granted after the birth.
In addition, in case the working mother asks for a further leave from the employer, the employer is obliged to provide an additional maternity leave up to 6 months. To make it clear, I repeat that this 6 months period is additional to the 8 months after the birth. In this case, the maternity leave shall be an unpaid leave.
This is not the only leave for maternity matters, and the mother is allowed one and a half hours for breast feeding everyday, for those babies under one year old. This one and a half hour period counts as paid working hours. The period of one and a half hour breast feeding is scheduled by the working mother herself and the schedule is submitted to the employer.
Since you did not mention if you are already married or not, I am not able to inform you regarding the procedure for quitting work. If we presume that you are not yet married, it is also possible for you to leave your position due to the marriage. In this case, you should notify the employer and inform the employer about the time of marriage and when you want to quit the job. This is not understood as resignation, and the employer shall be obliged to pay compensation to you, calculated on the number of years you have spent in that work place.

BERK CEKTIR

When will the Cyprus frustration end?

2007-02-27T23:40:00.000-08:00

A Turkish Cypriot friend of mine recently compared the predicament of the Turkish Cypriots to a sandwich. The Greek Cypriots and Turkey were the slices of bread and the Turkish Cypriots the cheese in the middle being squeezed. My friend felt that her future was destined to continue to be determined by Turkey and the Greek Cypriots, as it had been since her birth more than three decades ago. Turkish Cypriots remain bitterly disappointed over the failure of the Annan plan, which allowed the Greek Cypriots to enter the EU even though they rejected the plan.
Turkish Cypriots, who supported the plan, have been left in a sort of limbo. Their basic human rights are still, for the most part, ignored; they remain financially dependent on Turkey; the Greek Cypriots continue to obstruct progress on EU initiatives and a long-term solution to the decades-old problem remains a distant dream. This situation is both frustrating and depressing.
Later this week Turkish Cypriot leader Mehmet Ali Talat is due to visit Brussels to discuss the stalled Direct Trade Regulation with commission officials -- something he has done many times over the past two-and-a-half years.
In 1993 Turkish Cyprus exports to the EU totaled almost 30 million euros. However, the impact of July 5, 1994, European Court of Justice judgment on north Cyprus’ trade with the EU was considerable. Since this date EU member states have not been permitted to import fruit and vegetables from Turkish Cyprus without a certificate issued by the Greek Cypriot authorities. this makes the EU’s Direct Trade Regulation a ray of light at the end of a long tunnel.
For Talat it has not been an easy ride, and I imagine that he must have one of the most frustrating and unenviable jobs in politics. On Jan. 22, the Council of the EU decided to take steps toward economic development of the Turkish Cypriot community “without delay.” However, since then there does not seem to have been very much action, although the German EU Presidency continues to repeat that it is determined to produce results by the end of its term in office.
Given the failure of the Finnish presidency to deliver after many months of effort and shuttle diplomacy there is a significant amount of skepticism on this. However, it also depends much on what the Germans are planning to put on the table as the wording of the regulation is rather ambiguous.
The Greek Cypriots have been predictably stubborn in their approach and continue to block anything that they would regard as recognition of northern Cyprus. A statement made earlier this week by Foreign Minister Yiorgos Lillikas clearly emphasizes this reiterating the Cyprus government’s readiness “to work either for the regulation or for any other ideas or proposals on the condition that such proposals will aim at the economic integration and reunification of Cyprus. We shall oppose any ideas or proposals which aim at developing separate interests or at consolidating the current unacceptable situation and, consequently, strengthen secessionist tendencies. The Cyprus government will defend the republic’s rights with all the legal means available within the European Union.”
Greek and Turkish Cypriots have fundamentally different ideas over how the Direct Trade Regulation should operate. The Greek Cypriots believe the Green Line Regulation could be modified to enable the Turkish Cypriots to carry out all their trade from the ports of Limassol and Larnaca in the south. However, the Turkish Cypriots claim that this would give them no control over their goods once the Green Line was crossed as all the paperwork necessary for exporting would have be carried out in the south, which would, in effect, not represent direct trade. Turkish Cypriots insist that direct trade must be carried out through ports in the north.
This is what the EU has to deal with and since the regulation can, due to its current legal base, only be passed unanimously, the Greek Cypriots have the trump card.
Given the amount of time that has elapsed since the EU’s original pledges were made, it is not surprising that the Turkish Cypriots have become disillusioned with the EU. I really hope that the German presidency is able to deliver. If the EU fails it will again erode its credibility further both in Cyprus and beyond. The Turkish Cypriots have displayed amazing levels of patience over the past three years. The EU must show that it can keep its side of the bargain and deliver on its promises.

AMANDA AKCAKOCA

We need to understand

2007-02-27T23:23:00.000-08:00

The US supports sanctions against Iran, and it even envisages a military operation. Iran claims that it is an intervention into its internal affairs. The US says it’s ready for a unilateral military operation if the international community doesn’t react. Iran affirms that it can resist the US even if there is no international support. At this point, we need to understand the US, which asserts that Iranian support for the groups in Iraq is the main reason for the insecurity there. Secondly, if every country were to develop nuclear capabilities, the world wouldn’t be safer. That’s why Iran must be punished to set an example. But we should also understand Iran; it wants to know why Iranian efforts at uranium enrichment are a problem while many other countries’ similar efforts are not. Iran also tries to say that it is understandable to stop the US from staying in Iraq since US forces are now on the Iranian border.
Iran tries to expose the fact that the US interventions against Iraq and Afghanistan are not legal in the eyes of international law, while Iran is criticized for not respecting international law and institutions. In fact, the US has already lost its chance to use international law to justify the war in Iraq, even if it can use it in Afghanistan. That’s why Iran appears to have strong arguments when it points out what has happened between Iraq and the US.
Before the intervention in Iraq, the US tried to justify the war. The main argument was the Iraqi regime’s efforts of developing weapons of mass destruction. As proof, some pictures taken from space showing trucks and buildings presented as factories were distributed to the press. The second argument was the alleged cooperation between Saddam and al-Qaeda. This argument was presented to use the legitimacy of the September 11 attacks and the war in Afghanistan. These two arguments were assembled to create a third and stronger argument: Iraq would transfer weapons of mass destruction to terrorist groups. But after the war, all these remained unproven. What is happening with Iran gives a feeling of deja vu. The US argues that Iran is about to produce weapons of mass destruction and is openly supporting Shia radical groups in Iraq. Some pictures taken from space are distributed to the press. With the help of the Mahdi Army, the connection between the weapons of mass destruction and terrorists has been established. Radical Shia groups are not attacking US territory directly, but they are the enemies because these Iranian-supported groups kill American soldiers in Iraq. In brief, the resemblance is clear. The US alleges that it has the right of self-defense as its soldiers are under attack. Besides, the US has appointed itself the mission to save the world from the proliferation of weapons of mass destruction.
Another deja vu is watching war simulations showing sites to be bombarded and weapons that will be used on television, as before the war in Iraq and even before the gulf war. This “show” can have many purposes. Maybe the US is trying to coerce Iran and other forces in the region by using this, when in fact it doesn’t have the intention of fighting a war. Or maybe the die has been cast and there is no turning back. In any case, we can say that the US is not very creative about tactics.
We should understand that the US is really stuck; we should understand Iran which is also stuck. What is not possible to understand is why other actors are still waiting while these two call for help.

BERIL DEDEOGLU

In search of profitability in the Turkish economy

2007-02-27T23:04:00.000-08:00

The Turkish economy has recently been experiencing an unprecedented pace of transformation in economic activities and integration into the world economic order. Obviously, this process is not free from uncertainties, risks and deep structural challenges as well as many opportunities.
It is commonly held that capitalism is a regime of capital accumulation, a unique way of increasing societal welfare and living standards permanently in the longer term. However, the sources and methods of capital accumulation have been quite different in many socio-economic contexts. That is why, despite a certain degree of convergence amongst the systems, rather than talking about a universal mode of economic development and industrialization, we are still talking about different types of capitalism, for instance in Japan, China and India, each exhibiting different modes and varieties of organizing economic activities.
As a matter of fact, many Asian countries achieved capital accumulation mainly through increasing national saving and therefore enforcing high level of fixed capital investment in strategic industries for decades with in the context of favorable social-state interaction, available international environment and sound macroeconomic balances. In conjunction with this observation, we must also add that at the age of their classical development era, priority was given on production and consumption was repressed via many direct and indirect economic as well as non-economic tools. In such a context, an export-led model has been one of the defining characteristics of the Asian development experience.
At the hard core of Asian paradigm of development, a successful architecture of guidance mechanism with different mixed of “support and discipline” elements takes place. As the agents of Schumpeter’s famous game for creative destruction, entrepreneurs have been the major driving dynamics of capital accumulation regime. Therefore, in the countries where domestic as well as external factors are not helpful, motivation of businessmen by satisfactory rate of return and profit should be seen quite strategic issue.
Once we accept this premise, then we should shift our attention to the issues of distribution of final income as well production and efficiency in allocating sources of production. Most definitely, this requires a certain degree of consensus between the state, society and business in the way of distribution income. In Asian countries, this consensus has been achieved neither through democratic channels nor from the view point of short term market priorities. Long term oriented agreement has been created and activated so as to guarantee certain degree of profitability through many tools in the priority sectors so as to motivate high level of investments.
However, most of those tools are neither available nor feasible under the current global environment. Therefore, rather than going into the details of the Asian experience in that regard, in search of our profitability and therefore preservation of competitiveness in Turkey, we must consider market mechanism as well as democratic principles in advance. Having considered all these issues, as of next week I will start discussing the pros and cons of ideas recently put forward by OECD economists in the way of increasing profitability and competitiveness of the Turkish industry against global competition.

IBRAHIM OZTURK

Tax cuts on housing loan interest rates

2007-02-27T14:05:00.000-08:00

There is a new law being passed for housing loans, though at this stage, it does not appear that the principle allowing people to deduct jousing loan credit interest from their tax assessments has been included in the law.

In some countries, individuals are allowed to deduct their housing credit interest rates from their taxes. There are a few reasons for this, the first being based in the very mentality involved in taxation. This stance is based on the idea that spending on investments can be encouraged through tax incentives. At the same time, as a part of this mentality, spending by individuals on items meant for their own personal development (this includes course fees, books, and items like this) can also be deducted.

The second reason for why some countries allow the deduction of housing credit interest rates from personal taxes is based on society itself. Allowing people to deduct such a factor from their taxes encourages families to live in houses they own themselves. In a sense, this means that the government, in such a situation, is bringing about a social security. This then reflects itself onto encouraging the housing-construction sector.

We are not prepared for this situation

What lies behind the resistance to embracing the housing loan interest rate deduction from taxes is the desire to avoid upsetting the balances of public finances through the reduction of tax income to the government. In this sense, both the Treasury Ministry and the economic leadership cadre of Turkey are correct. And it also seems that the IMF is opposed to such tax deductions at this stage of things.

For in the end, a possible deduction in housing loan interest rates from personal taxes would in fact open the way to a reduction in tax income for the government. It would also open one more loophole for escaping the payment of taxes. In the current atmosphere of rampant uncharted income and insufficient tax reporting, a law like the one discussed above could be very dangerous.

In short, for as long as the general rules are not heeded, it won't be possible to implement systems which require a foundation of laws. A new housing loan interest rate tax deduction law could easily be applied to everyone in Turkey who took out housing loans. This would not be surprising or difficult. What would be tricky would be that the state, which already has difficulty collecting taxes, would have even less coming in to them.

In a systen which is effective in its controls, which implements rules without making concessions, and which is well explained to everyone, a tax break rule for people with housing laws would in fact be beneficial for both the economy and the society. In the future, when we become a society which respects the laws and refuses to make concessions on rules, this subject will definitely rise to the agenda again. If, however, before that time it comes onto the agenda, all it will mean is that we are once again putting our public financing at risk.

Erkan Kumcu

Mortgage approvals fall at banks

2007-02-27T09:01:00.000-08:00

Mortgage approvals by the UK's biggest banks dipped slightly in January, said the British Bankers' Association (BBA).

The underlying number of mortgages approved for house purchase last month was 44,804, a fall of 1% from the figures from a year earlier.

But a BBA spokesman said that despite the recent rises in interest rates, lending had not yet begun to subside.

A week earlier, the Council of Mortgage Lenders said January had produced record levels of lending.

"January saw a continued stable demand for mortgages," said David Dooks of the BBA.

"Actual borrowing on mortgages remains strong compared with this time last year, so the impact of higher interest rates has yet to feature."

Impending slowdown?

The three quarter-point increases in interest rates since last summer should, most economists believe, inevitably slow down the property market in due course.

"It was notable that underlying mortgage approvals were down by around 1% year-on-year in number in January," said Howard Archer of Global Insight.

"This was the second successive month that approvals were down year-on-year, and contrasts with the substantial year-on-year increases seen through much of 2006."

Other recent indications of an impending slowdown have come from the Royal Institution of Chartered Surveyors.

Its regular surveys in the past few months have noted a drop-off in the number of enquiries being made by new buyers.

The mortgage approval figures from the BBA cover about half the mortgages lent in the UK.

Full figures covering all mortgage lenders will be published by the Bank of England later this week.

news.bbc.co.uk

Tremendous interest in Turkey at New York’s Travel Show

2007-02-27T00:24:00.000-08:00

The Travel Show tourism fair, bringing together the world’s most important tourism agencies, is organized by The New York Times every year at the end of February.

It took place this year at the Jacob Javits Convention Center in Manhattan over the last weekend, from Feb. 23 until Feb. 26. The Turkish Tourism Attaché Office attended the fair on behalf of Turkey and ran a booth there.
Noting that the tourism market in America is continuing to accelerate, Hasan Zöngür, Turkey’s cultural and tourism attaché in New York, said, “We hope the number of American tourists will increase significantly over last year,” reported the Anatolia news agency.
Turkey operated a stand for the first time at this fair, which is usually attended by the major tourist organizations and establishments from many countries, from Asia to the Pacific, from Africa to the Caribbean. Attaché Zöngür speculated that the number of American tourists coming to Turkey in 2007 would increase, relative to the number of visitors in 2006, by 45 percent.
After world-famous New York Times travel-tourism writer Rick Steves’ positive talk about Turkey at his seminar for tour operators at the fair, many Americans had stopped by Turkey’s stand, Zöngür said. He added that he had found out that the writer will come to Turkey to make a special documentary. Zöngür also noted that it is necessary that Turkish Airlines (THY) increase its Turkey-America flights to two daily so that they can provide the proper service for tourists, whose numbers continue to increase. Buket Şahin, the public relations director of the FLO-USA Turkish tourism company located in Florida, who is attending the fair for the sixth time, said that Steves’ praise for Turkey is a very positive development and that at last Turkey is receiving the attention it deserves.

Breaking the bank

2007-02-26T07:47:00.000-08:00

Last month a gaggle of investor- relations executives from ABN Amro, the Dutch banking group, filed into a meeting with a London-based hedge fund. It was a run- of-the-mill event: coffee, mineral water and the normal questions about the bank's strategy, financial performance and prospects for the year.

There was no hint of the storm to come. That broke on Tuesday, when a letter from the hedge fund, The Children's Investment Fund (TCI), dropped into the in-tray of the same investor-relations staff. It contained a message for the chairman of the bank's supervisory board, Arthur Martinez, and a warning that its contents would be made public the following day.
The letter caused consternation in the ABN ranks. It was a financial J'Accuse, a detailed dissection of the bank's failings that flayed ABN's management, lambasted its "terrible" shareholder return and called for the bank to break itself up. The missive ended with a punchy list of five motions to be put to the bank's annual meeting of shareholders in April.
On another occasion, the letter would have passed without a ripple. The idea of a tiny hedge fund, run out of a small suite of offices in Mayfair, taking on the mighty ABN, a pillar of the Dutch establishment, a global bank with 105,000 staff and assets of nearly 1 trillion euros, was laughable, like a flea attacking an elephant.
This was no any ordinary hedge fund, however. TCI, run by investment guru Christopher Hohn, has established a reputation as the hammer of underperforming continental groups. During a bruising clash two years ago with the management of Deutsche Borse, the German stock market, it rallied shareholders to thwart a plan to take over the London Stock Exchange. One of the casualties of the affair was Werner Seifert, Deutsche Borse's until then untouchable chief executive.
What was more, it was clear TCI was not fooling around. It had quietly built up a stake of 1 in ABN -- an investment of euros 500 million -- sufficient to give it the probable right under Dutch law to force the management to confront its questions at the April shareholder meeting. The trigger for the letter was ABN's flirtation with an Italian bank, Capitalia -- TCI wanted quickly to put a stop to any thoughts the Dutch might have had of making a bid.
TCI seemed to be rowing with the tide. Its letter gave a sharp edge to a general mood of dissatisfaction with the Dutch group. While its rivals have been cashing in on the boom in investment banking, ABN had marked time, its shares languishing while the sector rocketed. Stuart Graham, an analyst at Merrill Lynch, captured the mood in a recent note, saying 2007 was a "now or never" year for the bank.
The effect of TCI's letter was electric. ABN hastily convened a meeting of directors to discuss a response. The following day, when the news broke, ABN's shares, moribund for years, shot up. TCI's rival hedge funds and other investors, sensing something big was afoot, piled in. The shares ended the week up 8.7 to 27.94 euros, a six-year high, and by the end of the week there was speculation that ABN would seek a white-knight partner - with Fortis, the insurance giant, tipped as a candidate.
ABN's formal response was cautious. "We receive many ideas and suggestions from our shareholders, which we always treat with the highest respect and care, and these suggestions will also be treated in that same way," it said. TCI's intervention will have set alarm bells ringing beyond ABN. Although US-style shareholder activism has become common in Britain, it is almost unknown in continental Europe, where TCI's successful corralling of Deutsche Borse remains one of the few successful examples.
But Deutsche Borse was a different animal - much smaller than ABN, and with a tight group of large, institutional shareholders familiar with the hurly burly of corporate battles. ABN, by comparison, is one of Europe's largest banks, with deep roots in the Dutch establishment and thousands of retail and institutional shareholders. If activist funds can target ABN, Europe's top chief executives will reflect nervously, then it could be their turn next.
If they are reading this over their cornflakes, Hohn and his TCI colleagues will be bridling at the description of their organisation as a hedge fund. While TCI fits the mould -- like other hedge funds, it operates outside the regulatory regimes that control public and mutual investment groups, and is free to short stocks and buy alternative investments, such as financial derivatives -- it regards itself as a cut above the typical rapacious hedge-fund investor.
Set up in 2003 by Hohn and a small group of other investment managers -- including Patrick Degorce, whose name is on the bottom of the letter to ABN - TCI is unusual in that it devotes a slice of its earnings to charity. The money flows through the Children's Investment Fund Foundation, which is run by Hohn's wife, Jamie Cooper-Hohn. Its donations help to tackle Aids in the Third World, and it is reported to have funded research that allows Aids medicines to be produced in small-enough tablets to be taken by children.
TCI's supporters say its investment strategies are different from most of its hedge-fund rivals. Rather than the rapid, in-and-out trades with which the industry is associated, TCI invests long term, with some likening Hohn to Warren Buffett, the American investment guru. But Hohn, 40, is not regarded with the same affection afforded the avuncular Buffett. The son of Jamaican immigrants, Hohn was educated at Southampton University and then did an MBA at Harvard Business School. He is viewed in the financial industry not only as a genius investor, but also a tough nut. "If you go to TCI for lunch and a conversation, there isn't much lunch and you do the listening," said one adviser who has dealt with Hohn.
Seifert, the loser in the Deutsche Borse battle, poured vitriol on Hohn in his book on the affair entitled Invasion of the Locusts. He described Hohn as a kind of super-geek, imagining him standing apart from the crowd at a party. "One would ask oneself, 'who is that strange guy over there in the corner?'" Seifert said. He thought Hohn was driven less by greed than a fierce competitive instinct.
Hohn and colleagues are notoriously media-shy, but a financier involved alongside TCI in the ABN Amro approach said the fund operated on different lines to most of its peers. "Investors in hedge funds typically have the right to redeem their money within 30 days - they can call up and ask for it back. That drives hedge-fund managers into very short-term decision-making," he said.
Independent analysts have also called into question ABN's record. Merrill Lynch's Graham, in an eerily prescient note published last month, observed that the company had promised much in the past but had failed to deliver.
Aware that it was under pressure, ABN had set out a plan to mollify shareholders. A fortnight ago it announced it would spend 1 billion euros buying back shares, and in a letter to shareholders sent on February 8, chief executive Rijkman Groenink promised it would do better.
The spotlight is now likely to fall on Martinez: will he remain loyal to the bank's management or bend to the will of the TCI-led rebels. ABN's chairman is American, and while he may not immediately see it this way, TCI sees in him a potential ally. He made his name reforming Sears, an underperforming US financial conglomerate, selling off underperforming assets and returning the proceeds to shareholders. "At Sears, he did the right thing by shareholders, and we are hopeful that he will assume a real leadership role here," said the financier close to TCI.
It is not yet clear whether TCI will succeed in having its five points put to the April 26 meeting. ABN said last week it was still considering what it would do, and banking sources said it was likely to take soundings from shareholders - and check to see whether others rally to the TCI flag. Even if they don't, ABN will know that Hohn is unlikely to disappear -- and that he is a dangerous enemy to have.

The Sunday Times, London

How Greek Cypriots deceived the European Union

2007-02-26T07:35:00.000-08:00

The genius trickery planned to eliminate the Turkish language from being one of the “main languages” of the European Union was successfully staged during the annexation talks of Cyprus with the EU. The European Union, which claims “Liberty, Democracy, Respect for human rights and fundamental freedoms and the rule of law” as the fundamental principles of their establishment, was unbelievably misled by the Greek Cypriots during the negotiations and eventually deceived at the end.
Item 2 of the Zürich Agreement, agreed upon and initialed by the Greek and Turkish prime ministers in Zürich on Feb. 11, 1959 as “Basic Structure of the Republic of Cyprus,” reads “The official languages of the Republic of Cyprus shall be Greek and Turkish. Legislative and administrative instruments and documents shall be drawn up and promulgated in the two official languages.”
This item clearly defines that there are two languages spoken on the island and that the official languages of the Cyprus government are Greek and Turkish. All legislative and administrative documents, mails, communications, correspondence and similar paper work will be done in Greek and Turkish, according to the choice of the applicant.
The Greek population of Cyprus lives in the south, which covers 66 percent of the island, and naturally all the schools from kindergarten to colleges have their education and teachings in the Greek language and follow the books printed and sent by Greece, the main land of Greek Cypriots, which declared Greek as its main language upon entering the EU in 1981.
The prayers and religious ceremonies in Orthodox churches are held in Greek and the Greek Cypriots talk, shop, communicate, read newspapers printed in Greek, watch TV broadcasting in Greek and use the Greek language largely in every second of their daily life.
The same applies for the Turkish population of Cyprus, living in the northern parts of Cyprus and covering 34 percent of the island. They use the Turkish language in all stages of their daily, economic, religious and educational life.
Turkish Cypriots are the equal partners of the Republic of Cyprus, as per the 1959 Zürich Agreement and 1960 Treaty of Establishment of the Republic of Cyprus.
The Greek Cyprus administration when entering the EU on May 1, 2004 deceived the European Union with a false declaration and declared English as the main language, instead of Greek and Turkish, as per clearly stated in item 2 of the Zürich Agreement.
As mentioned, in the southern part of Cyprus, school teachings, religious ceremonies, daily life and even discussions in the parliament and the language spoken and written in official buildings is not English, but Greek.
What was the trick?
Why then, was the official language of the Cyprus government declared as English, but not Greek and Turkish?
The answer is very simple.
To keep the Turkish Cypriots and the Turkish people living in European countries out of the EU and to block all the entrances to EU offices for them.
To be employed in any EU office, the applicant sits for an examination in his/her main language and chooses another EU main language as their second best.
When a Greek Cypriot applies, he/she chooses Greek as his/her main language, which is declared by Greece and not by his country, and chooses English as the second best. But when a Turkish Cypriot or a Turkish origin European makes an application as an European citizen to any EU post, he/she has to sit for an examination and interview in any two other languages than his/her main language, because Turkish is not accepted as one of the main languages of the European Union.
This crystal-clear and unacceptable discrimination does not match with the fundamental principals of the European Union, namely “Liberty, Democracy, Respect for human rights and fundamental freedoms and the rule of law.”

ATA ATUN

Traffic accidents

2007-02-26T06:58:00.000-08:00

Last week, a truck hit my car from behind. I was on my way to my office to write an article for my column in the Today’s Zaman Expat Zone. I am fine but my car was so badly damaged that it took one full week to recover it.
Luckily I had my notebook with me, fully charged, and I managed to complete my article while waiting for the police to come and make their report on the accident.
Since I started writing the Legal Corner, I have been thinking like an expat. What would an expat do in the event of an accident? Today I would like to give you some information regarding traffic accidents. Imagine that you were in my position, a truck hit your car from the back side. What should you do?
Safety first; get out of the car and don’t forget that a significant number of injuries happen after traffic accidents. Take safety measures, put your flashing emergency lights on, etc.
Do not move your car and keep the exact position of your car after the accident. It is very important for the police to see your car’s exact location as it stopped right after the accident. If you do not have a good command of Turkish, ask for help from people who witnessed the accident or at least from somebody speaking English. The reason I am writing this is because you may not be able to find an English speaking police officer and explain how the accident took place.
Police officers will make a sketch of the accident on a map and will put in all the details they found out about the accident. Make sure that all the details are shown correctly on this map. Your statements will be guiding the police, as well as their own observations. In my case, the truck driver insisted that he did not hit me from behind but I somehow got in front of his truck and actually hit him backwards. The officers just ignored this ridiculous claim. However, not all accidents are this clear and the statements of the parties may be important for the officers to draw their maps and make their reports. The police will ask for an alcohol test. Please also keep an eye on the other party’s test results. If the other party is past the allowed limit, this will be an advantage for you in proving that the accident took place because of drunk driving.
Make sure that you have Xeroxed copies of the other party’s car registration papers and their driver’s license because you may need it for your claims from the insurance company.
Please take good care of your self and your car. Have a safe trip.

BERK CEKTIR

ULI executive praises optimism but says consider risks as well

2007-02-24T01:01:00.000-08:00

There is extreme optimism in Turkey regarding the real estate market, but risks are usually not taken into consideration well enough, said Jan de Kreij, the Europe chair of the Urban Land Institue (ULI) and CEO of Corio.
“I am not saying that this optimism is a fault. You have to care about the risks, however,” he added.
Kreij was addressing a meeting organized in İstanbul to introduce the “Emerging Trends in Real Estate Europe 2007” report prepared by PricewaterhouseCoopers (PwC) and ULI. The real estate market in Turkey was enjoying great conditions, said Kreij, adding that they would like to have a place in this boom. “Property owners are assuming the tree will continuously grow,” said Kreij. “If excessive numbers of firms enter in the market, only the fittest will survive.”
Remembering their partnership in the Akmerkez property venture, Kreij stated they were the first foreign company who invested in the shopping center. He informed they were also attempting to do business in Denizli. “Turkey has succeeded in marketing itself and we are listening to this country,” said Kreij, “as Corio, we are trying to understand Turkey.” He stated his belief in sticking with the Turkish markets for many years after declaring plans to make some 3 billion euros in investment within the next three years.
ULI Turkey Chair and CEO of Krea, Hakan Kodal, also gave a speech during the meeting. He also made similar remarks and noted that Turkish entrepreneurs usually do not ponder risk enough. “We have to learn the risks. Europeans are considering not only the advantages but also the risks,” said Kodal. He also touched on the mortgage law that passed in the parliament on Wednesday. “We shouldn’t expect a miracle to happen,” said Kodal, adding that just one piece of good news would not be sufficient to solve the problems of the sector.
Adnan Nas, PwC Turkey’s senior partner, pointed out that Turkey was going through a belated period of animation, but its potential was much higher than what it is presently showing. Turkey is waiting to be explored by foreigners, said Nas, adding that it has to give up its introverted perspective in order to get along with the fierce global competition. With predictions that Turkey may face hurdles regarding foreign investments in the middle-term, Nas said Turkey must evaluate opportunities with better agility.
The report, prepared with the contributions of 400 real estate experts, shows İstanbul as the most promising city in terms of real estate growth. European has capital shifted to central and Eastern Europe, the report said, and Turkey is also closely followed by European investors.
İstanbul ranked 11th in returns against risks grading, which is eight places higher than the previous year. Istanbul became first in returns and ranked 21st in risk and became fourth in rent charges, second in supply demand equilibrium and first in growth.
Almost 69 percent of report participants recommended purchasing office property in İstanbul, while 56 percent advised commercial property and 48.9 percent advised industrial property.
One of the attendees said the real estate market in İstanbul needed project developers more than the investors and noted it was still in its initial phase.
The report showed that Paris has become first in returns against risks in the European market. The main reasons behind Paris’ jump are listed as economic stability, sustainability and its being a global transition gate. London ranked second in terms of real estate investing after Paris.
According to the report; İstanbul, Madrid, Barcelona, Hamburg and Moscow are strong purchasing markets. Stockholm, Helsinki, Zurich, Milan, Prague, Rome, Lisbon, Warsaw, Athens, Budapest, Berlin and Frankfurt are shown as the strongest selling markets. Shopping centers are again expected to be the most profit-making properties in 2007.

Todayszaman

Europe’s American impasse

2007-02-24T00:37:00.000-08:00

The first choice for the US in order to stabilize the situation in Iraq is to put more military pressure and to boost violence. No one knows if that will bring stability to Iraq or to the whole region; it can even weaken the US role as a global power. The second choice for the US can be an immediate withdrawal. But in that case, without the American military presence, the conflict in Iraq can spread far beyond Iraq, including some regional states that are still not direct players in this war. In brief, the “Middle Eastern Threat” will grow. That means the trouble will carry on, no matter if the US stays or leaves. So there must be a third choice.
The overwhelming cost of the war creates a recession risk for the US economy, which will bring a great danger for economies all over the world. The danger is certainly more important for countries having important trade and investment relations with the US. The catastrophe scenarios are very disturbing for European markets but European governments prefer to look to “immigrants” or to Chinese competition to understand their economies’ problems. The EU accuses the US of wasting money in Iraq but doesn’t mention its impact on the European economy. Meanwhile, European countries implicitly want the US to secure Iraq. It is quite clear that a chaotic Middle East will produce more immigrants heading for Europe. Besides, no one knows how to realize reconstruction projects or to improve foreign investment if the chaos spreads.
Before the war in Iraq, the US had asked its Western allies if they wanted to support this action. Many EU member countries have promised to contribute in different ways. But when the US faced serious problems on the ground, they all deserted the US, except the United Kingdom. As the latter has its own problems, it couldn’t play its ally role as was expected. In brief, European countries left the US to deal with its problem on its own. Whatever their reasons were, the price of this attitude has become unbearable. Russia affirms indirectly that it can provide help to the US in order to handle the situation, as it understands best the impasse in which the US is in. Putin’s latest declarations serve to legitimize the US presence in Iraq. But the US is unwilling to receive more Russian help because it doesn’t want Russia to expand its influence. At this point the third choice appears to be, namely, the US need for assistance from the Europeans.
Some European countries enjoy saying that they warned the US before the war and they continue to create obstacles rather than simply staying out. Some European countries hope to get themselves in the region through Iran, Syria, Lebanon or the PKK. Their vain efforts are not making things easier, not for the US nor for the region itself. Obviously, it is not easy to align oneself with the Bush administration after criticizing it for a very long time. It is not easy either to convince European citizens in countries where elections are about to take place. It is not easy, but the current situation is not sustainable.
Maybe the time has come to think if a rapprochement of some of the European powers with the US would be more constructive to the EU’s future.

BERIL DEDEOGLU

$ 4 billion investment for real estate

2007-02-23T06:10:00.000-08:00

The Wall Street Journal wrote that the growing economy of Turkey will lead more investment on real estate sector; especially to giant shopping malls.

An article published in the Wall Street Journal on Friday has emphasized that Turkey's healing economy, political stability, potential EU membership, young population and increasing number of consumers are the important factors for investing on the real estate sector.

The article said the EU's gross national product has increased by % 2, 4 during 2006 while Turkey's gross national product is expected to increase by % 6, 4 this year.

The article indicated that Turkey will continue attracting foreign and domestic investors on the real estate sector.

Turkey's real estate investments were 1.1 billion dollar in 2006. According to the Wall Street Journal, the market will grow up to 4 billion dollars in 2007.

http://english.sabah.com.tr

Forbes announces the most expensive houses of the world

2007-02-23T06:03:00.000-08:00

For a mere $138 million, you can own a cozy 103-room English country home, with a panic room, marble driveways and helipads -- a property that tops the 2007 Forbes annual list of the world's priciest homes for sale.

Uptown Court in Windlesham, Surrey, has 58 acres of gardens
and woodlands, five pools, 22 marble bathrooms and more than
50,000 square feet of living space, according to the list
posted on Forbes.com, which did not say who the seller was.
Oh, and a bowling alley, too.

Coming a close second is The Hala Ranch (welcome in
Arabic), a 95-acre property in Aspen, Colorado, owned by Prince
Bandar bin Sultan bin Abdul Aziz, the former Saudi Arabian
ambassador to the United States -- a job that must pay well as
the asking price is $135 million. The 56,000-square-foot
mansion has 15 bedrooms and 16 baths.

Who are the prospective buyers?
"These properties are marketed internationally. I supposed
you would say to the wealth of the world," said Joshua Saslove
president of Joshua & Co, the listing broker of The Hala
Ranch.

"We all know there's been large growth in the petroleum
fuel industry, but there's been an enormous amount in money
management, private equity, in real estate," he told Reuters.
At these prices, buyers pay cash, he said.

Where would opulence be without Donald Trump, whose Maison
de L'Amitie is up for sale at an asking price of $125 million.
Trump bought the estate, previously owned by health care
executive Abe Gosman, in 2004 for $41.25 million at a
bankruptcy auction, Forbes.com said. The Palm Beach, Florida
abode is adorned with 475 feet of ocean front.

Sharing fourth place at $100 million each are Tranquility,
in Lake Tahoe, Nevada, a 210-acre estate owned by Tommy
Hilfiger cofounder Joel Horowitz; and Waterfront Estate in
Istanbul, Turkey, which has a nearly 200-foot-long quay.
http://english.sabah.com.tr

Microsoft ordered to pay $1.9 billion

2007-02-23T00:11:00.000-08:00

Microsoft has been ordered to pay Alcatel-Lucent 1.9 billion USD. A US jury has found Microsoft guilty of infringing Alcatel-Lucent patents.A US jury has found Microsoft guilty of infringing Alcatel-Lucent patents and ordered the software giant to pay the French-US firm more than $1.9 billion.

"We think this verdict is completely unsupported by the law or the facts," Microsoft general counsel Tom Burt said in a written statement.

"We will seek relief from the trial court and if necessary appeal."

Alcatel-Lucent operated as Lucent when it filed a US federal lawsuit in 2003 claiming Microsoft partners, including computer makers Dell and Gateway, used Windows software that infringed its patented technology.

The jury trial that ended in US District Court in the southern California city of San Diego centred on MP3 audio technology used in Windows Media Player software.

newstime7.com

The next generation

2007-02-22T23:57:00.000-08:00

I recently wrote about a new UNICEF report, which focused on the growing malaise affecting children and teenagers in some of the world’s most developed countries. This time, I would like to look at the situation of children in Turkey. Local surveys show that Turkish adolescents are not immune to these trends. Like their Western counterparts, Turkish children increasingly engage in hazardous behavior, they get into fights and lose their sense of direction. Rapid urbanization has had a negative effect on the traditionally strong family structure, causing new domestic tensions. In addition, adolescents find it increasingly hard to reconcile their everyday reality with their expectations fuelled by growing consumerism. As a result, the authorities have reported a marked increase in teenage delinquency.
A study published in January by the education workers’ union Eğitim-Sen revealed that drugs were found in 11.68 percent of Turkish schools and chemical stimulants in 15.15 percent. Drug use was most prevalent in Istanbul where stimulants in the form of pills were encountered in over a third of school establishments.
The report also revealed an increase in the number of violent incidents in and outside schools, sometimes involving guns and knives. While these appear to be modern issues, an old-fashioned approach to education may also contribute to creating a culture of violence: in 39 percent of schools, educators still resort to physical punishment to discipline their students.
In addition to urban challenges, Turkey’s children also face more traditional problems associated with underdevelopment and poverty in rural areas or in the suburbs of big cities. At the turn of the millennium, UNICEF estimated that 37 percent of children under 15 in Turkey were affected by poverty. They may not be starving, but they are severely deprived. The East and Southeast provinces are worst affected. There, poverty is due in part to the conflict that ravaged the region and forced hundreds of thousands of villagers to migrate. Household size is also a crucial factor that increases the risk of poverty: the more children a family has, the most likely it is to be poor.
In a 2003 report, UNICEF estimated that 873,000 girls and 562,000 boys between ages six and 14 were not attending school. Since then, Turkey has launched a major enrolment drive. A World Bank-financed scheme also provides financial incentives to the poorest families who send their children to school regularly. As a result, more children, particularly girls who were lagging behind, now get an education.
But more needs to be done. The social services in Diyarbakir attempted to assess the scale of child labor in their province and found 3,302 children working in the streets. Most of them earned less than YTL 3 a day. This is only the visible tip of the iceberg and does not take into account the children who drop out of school to follow their parents in search of seasonal work each year, or those who are rented out for agricultural work far away from home during the summer.
The underdevelopment and the rapid modernization that coexist in Turkey present a double challenge. The authorities have to combat new social threats caused by rapid urbanization and unemployment, as well as traditional attitudes that still keep children out of school or see them as cheap agricultural labor. These are problems that Turkey can overcome, but not without major investment in better social policies and a more equitable education system.

NICOLE POPE

Wills and inheritance law under Turkish law

2007-02-22T23:55:00.000-08:00

To be frank, inheritance law is definitely not my favorite topic. On the other hand, it is a fact that if one thing is certain in life, it is death.
It might be a good idea for those who have properties in Turkey to review their inheritance position and ensure property owners wishes and goals have been properly covered by their wills.
I recently received an enquiry from my readers and the question is related to inheritance law.
The question is as follows; “My husband and I are British and have made British wills. We have purchased a flat in Turkey and are getting conflicting advice regarding the necessity to have Turkish wills or translations to cover this property. We have been told that Turkey upholds wills legally drawn up in Europe, but also that this does not cover property. Our wills are simple we leave all to each other. Would be grateful for your help in this matter.’
According to Turkish law, inheritance matters are governed by the national law of the inheritor and there is an exception for the properties located in Turkey.
Turkish international private law Article 22 governs inheritance matters. According to Article 22, inheritance matters shall be subject to the national law of the deceased person. The properties covered by the will shall be governed by Turkish law if these properties are located in Turkey. In other words, the transfer of title and such procedure will be carried out under the governance of Turkish law.
In case of death, the inheritor(s) should apply to the Turkish courts for the immovable properties located in Turkey. The Turkish judge shall apply Turkish Law. A will made in England in the English language will be subject to Turkish law again in means of translation. In this regard, the judge shall ask for the apostil application and official translation for the will. The translation of a legal document is not always a good choice. The translator may fail to translate the will if he does understand the intention of the person who made the will.
I would rather have it translated myself and make sure that the translation fits the original document.
As a practical solution to your problem, it might be a good idea if you can make the same will before a Turkish notary with the assistance of a legal professional and a sworn translator. Please do not forget to address that this is not a new will and was made on purpose to avoid a future problem regarding the assets in Turkey. Otherwise, the first will you made will be under the risk of invalidity.

BERK CEKTIR

Funny Photos of Celebrities

2007-02-22T09:21:00.000-08:00

Vladimir Putin	Tom Hanks	Tom Cruise

Tina Turner	Sarah Michelle Gellar	Sarah Jessica Parker

Robert De Niro	Robbie Williams	Ringo Starr

Ricky Martin	Phil Collins	Paul Mccartney

Patrick Swayze	Pamela Anderson	Nicole Kidman


Natalie Imbruglia	Mika Hakkinen	Mick Jagger

Michael Jordan	Michael Jackson	Schumacher kardeşler

Meg Ryan	Marilyn Manson	Mariah Carey

Madonna	Leonardo Di Caprio	Kurt Cobain

Kimi Raikkonen	Keanu Reeves	Julia Roberts


John Lennon	Jimi Hendrix	Jennifer Lopez

Jennifer Aniston	Jean Reno	Jean Claude Van Damme

Janet Jackson	Helen Hunt	Hally Berry

> George Harrison	George Clooney	Freddy Mercury

Fernando Alonso	Elton John	Drew Barrimore


Demi Moore	David Duchovny	Courtney Love

Christina Aguilera	Cher	Bruce Willis

Britney Spears	Bjork	Ayrton Senna

Avril Lavigne	Anna Kournikova	Angelina Jolie

Maksimum
Vladimir Putin,Tom Hanks,Tom Cruise,Tina Turner,Sarah Michelle Gellar,Sarah Jessica Parker,Robert De Niro,Robbie Williams,Ringo Starr,Ricky Martin,Phil Collins,Paul Mccartney,Patrick Swayze,Pamela Anderson,Nicole Kidman,Natalie Imbruglia,Mika Hakkinen,Mick Jagger,Michael Jordan,Michael Jackson,Schumacher,Meg Ryan,Marilyn Manson,Mariah Carey,MadonnaLeonardo Di Caprio,Kurt Cobain,Kimi Raikkonen,Keanu ReevesJulia Roberts,John Lennon,Jimi Hendrix,Jennifer Lopez,Jennifer Aniston,Jean Reno,Jean Claude Van Damme,Janet Jackson,Helen Hunt,Hally Berry,George Harrison,George Clooney,Freddy Mercury,Fernando Alonso,Elton John,Drew Barrimore,Demi Moore,David Duchovny,Courtney Love,Christina Aguilera,Cher,Bruce Willis,Britney Spears,Bjork,Ayrton Senna,Avril Lavigne,Anna Kournikova,Angelina Jolie, childish photos, children pictures, baby pictures,baby photos...

Apple and Cisco share iPhone name

2007-02-22T05:27:00.000-08:00

Apple and Cisco Systems have resolved their dispute over the iPhone brand, with both companies agreeing that each can use the name for their products.

Last month Apple announced its forthcoming iPod-based mobile phone would be called iPhone, but Cisco had registered it in 2000.

Under the deal, they will also work together in the areas of security, consumer and business communications.

The financial terms of the agreement have not been released.

In a joint statement, Cisco and Apple said both companies could use the word iPhone on their products worldwide. All lawsuits connected with dispute have been dismissed.

Cisco had argued that Apple's use of the iPhone name was a "wilful and malicious" violation of a trademark it had held since 2000, when it acquired another company, Infogear.

Infogear's original filing for the trademark dated back to 20 March, 1996. Cisco's Linksys division has been producing a range of wireless VoiP phones under the name since 2006.

Apple unveiled its iPhone at the Macworld Expo in San Francisco in January.

news.bbc.co.uk

Mortgage system will not benefit lower class

2007-02-21T00:46:00.001-08:00

Mortgage system will not benefit lower class

The mortgage system, which has been debated for years, is finally on the Turkish Parliament's agenda. The biggest question is whether or not the system will provide housing to middle and lower-income groups.

Specialists said the variable interest rate would be advantageous if the annual interest rates falls to 6-8 percent. Therefore purchase of a house in 30-40 years by paying installments equal to rent would become possible. Specialists also advised those who earned less than YTL 1,000 to follow the Housing Development Administration of Turkey's (TOKİ) campaigns. They said that if the house supply did not meet the demand, then the system would not benefit the high-income groups either.

Specialists said that if the house supply did not meet the demand, then the system would not benefit the high-income groups either.
Vakıfbank Vice General Manager Önder Halisdemir said that the monthly installments of a YTL 100,000 house was YTL 3,300 when housing loan interest was 2.5 percent. When loan interests fell to 1 percent the price of the same house went up to YTL 200,000 due to demand, making installments rise to YTL 3,900.
“It is impossible to buy a house by paying installments equal to rent, even if interest rates went down to 0 and maturity dates went to 50 years, unless housing production increases,” Halisdemir said. The prime minister’s speech about the issue to be discussed in parliament ignited the debates on Turkey’s mortgage system. The Finance Ministry is against the deduction from the tax base equal to the loan interest payments. If the tax incentive is added to the draft then there will be a YTL 5,000 decline on the payments of a YTL 100,000-house which has 10 year maturity time.
Mortgage Flex Business Development Specialist Salih Abamor said that a 30-year loan was possible in countries that have a 6-8 percent annual interest rates and Turkey would not reach that level until 2010 if the economy stayed on its current path. “We can only see 1 percent monthly interest rates if political and economic stability remains,” he said. Halisdemir said that the implementation of legal grounds for a mortgage system was important and emphasized the laying the infrastructure and the implementing of concerned decrees would take five to six months. He also pointed out that necessary regulations must be implemented to provide suitable building-plots for private companies to take a lead role in mass housing construction besides Housing Development Administration of Turkey’s (TOKİ) and the İstanbul Public Housing Corporation (KİPTAŞ) -- an İstanbul public-owned firm. Halisdemir said that interest rates had fallen since 2003 but the house prices had increased rapidly. “The decline in interest rates did not benefit consumers because the supply did not meet the demand,” he said, adding that house production must be promoted in order to prevent these kinds of problems.
Halisdemir also underlined that everyone was waiting for monthly interest rates to fall down to 1.07 percent, the rate in 2005 before stagnation occurred. He is now expecting banks will not reduce interest rates slowly and carefully, not drastically in fierce competition.
Urban Land Institute (ULI) Turkey executive board member Haluk Sur emphasized that foreign funds would rush into the Turkey with the launching of the system and freshen markets. He also pointed out that the construction sector, which provides business to 200 other branches, would grow and the economy would be positively affected. But he warned these developments should not be expected to come true overnight. He also said that foreign funds may finance TOKİ’s housing projects, causing an increasing in production of houses for the lower and middle class.

[HOW TO]

Customers may apply to banks as well as to brokers for loans

The mortgage system has different application procedures than existing home loans. In this system, customers can request loans not only from banks but also from mortgage brokers, consumer finance companies and leasing firms after they have found the suitable house.
The customers will present the features of the house to the financial institution and will be briefed on the terms of the mortgage. The loan company will list alternative payment schedules according to the house’s features and the customer’s financial position regarding their credit history, outstanding debt and deposit information. The customers will have two to three days to decide after they take the mortgage loan application form. Then the experts evaluate the value of the house after the customer’s decision. After these procedures the loan will be released and the house encumbered.
The main difference between the mortgage system and other housing loans is that the mortgage system requests more detailed information about the customer and the house. The loan providers take the risks associated with the customers into consideration while preparing loan alternatives.
The customer will be classified in the low-risk group if he or she will reside in that house and will be classified in the high-risk group if he or she purchases it as an additional house. Risks will play significant roles on determining interest rates and the repayment schedule. The customer’s age, marital status and pension time will also be analyzed.
The risks of the house also will affect the system. For instance, if the house is in an earthquake-prone area then insurance obligations will be instated.

Today's Zaman

Rental income tax

2007-02-21T00:30:00.000-08:00

Following some news that tax inspectors are after real estate investors, I have received a number of questions regarding income tax related to rental income.

One of the questions I have received is as follows: “We have an apartment in Didim that we rent out to a Turkish family for very low rent. Do you know what we need to do to act within the law on this matter?”

What is rental income?

All kinds of income gained by renting out goods and rights (such as land, buildings, rights, motor vehicles, etc) cited in the Income Tax Law, Article 70, is defined as “rental income,” and such income shall be subject to income tax.

How do I declare my income?

Foreigners residing in Turkey are also obliged to pay taxes on the income gained by renting out property.
If the foreigner only gains income through renting out his property and has no other cash-generating business activities, the foreigner should declare the rental income to a tax office.

Is there any exemption?

Yes, there is an exemption based on the amount of the rent income. Please check this income limit, which is updated occasionally, with a tax office. To give you an idea, the income limit for 2006 was 2,000 YTL. There is income tax applied for rental income lower than this amount.

When and where I should pay the income tax?

The income tax shall be paid two times; 50 percent percent of the tax shall be paid in March and the remaining amount shall be paid in July.
The payment can be made to the tax offices and to account numbers of the tax offices.

What would happen if I do not declare the income?

In case you fail to declare the rental income, it will not be possible to benefit from the exemption limit of 2,000 YTL.
You will be subject to a fine to be issued by tax authorities and the income tax shall be collected with interest applied for each day passed during the pending period.
In case of non declaration, the above-mentioned fine and interest-added tax should be duly paid in one month. Otherwise, the sum will be collected by official collection offices.
I should note that public collection procedure is harsh and all assets of the debtor are open for collection without exemption.

I have renovated my property -- will this cost be deducted?

Yes, the expenses made for the property’s maintenance shall be deducted from the income gained. The declaration should be made after considering these deductions.
Finally, I would like to point out that the amount of the tax will never be as much as the fine. It is never worth ignoring tax issues.

BERK CEKTIR

The mortgage revolution

2007-02-20T01:06:00.000-08:00

I have come to the conclusion that there is indeed a serious difference between Turks and people who live inside the European Union. It has nothing to do with religion or some intangible identification with Western civilization. It has everything to do with being able to go to a bank and take out a loan to buy a house.
In Russia when they speak of revolution, the image is of the mobs in the streets showing their contempt for tyrannical government. In Turkey there have been “hat revolutions” and “alphabet revolutions” and the revolutionary introduction of the Western weekend. The assumption is that changing the details of people’s lives has an equally profound affect as the more theatrical gesture of changing the regime. Turkey is now on the verge of a mortgage revolution which will have major consequences for citizens’ relationship to their government.
Mortgage credits account for a substantial part of the EU economy. Even after the last round of enlargement, the share of the economy of the EU represented by residential loans was 48 percent (according to 2005 numbers). In Holland, residential loans represented nearly 100 percent of their GDP last year. In Turkey, home loans in 2006 were only 4 percent of the GDP -- and even this represents a growth from only 2.5 percent the previous year. Although the home loan business clearly has potential in Turkey, strictly speaking these are long term (five to 10 year) consumer loans and not the sort of 25-year structured finance one thinks of with a mortgage.
Most people (over 60 percent) in Turkey still inherit or finance their own home. Over 20 percent of homeowners borrow from friends and relatives, just under 10 percent are funded by cooperatives. Why there was no universal system of home loans and mortgages is easy to understand in a country that lived through three decades where inflation zigzagged between 40 and 120 percent. No individual or institution could begin to calculate the risk.
A bird’s-eye view of most Turkish cities reveals the consequences. Most have expanded since the war not under the guidance of local government regulation but in defiance. People built neighborhoods and politicians came under political pressure to legitimate this “civil rebellion.” If authorities couldn’t control random developments, they certainly couldn’t ensure that neighborhoods were built to a standard to withstand earthquakes. In the mid-1970s there were proposals for city planners to be more pro-active and to design public housing themselves. There were some successful cooperatives, like Batikent in Ankara, but the impact on the overall housing stock was limited.
Both unplanned development and municipal housing schemes represented two extreme versions of the citizen’s relationship to government. In the first, the state did nothing, or more accurately was required to turn a blind eye to illegal development then to respond to the political pressures to reward house owners with title deeds and basic services. The other example meant that the state did everything. The municipality organized the credit and designed the kitchens. In both instances, the politicians hoped for their reward at the next election. Except that there wasn’t another election, but a military coup instead. The coup on Sept. 12, 1980, was in part legitimated by street violence, which was itself a by-product of unplanned urbanization. And one of the consequences of that coup was to alienate Turkey from Western Europe.
This week, Parliament is expected to pass a law allowing for mortgages. What this will do (as with existing home loans) is to transfer much of the responsibility for ensuring the quality of the housing stock to the lending organization. If there is no clear title deed, if the house is going to fall over in the first tremor and cannot be insured, then the bank won’t issue the credit. The government will still have responsibility for regulating the primary and secondary mortgage markets. More particularly, they will have to provide voters what they crave the most -- the sort of macroeconomic stability that will allow them to meet their repayments over the 25 years of their mortgage. In short, what will allow them to behave like house owners in London, Hamburg or Prague.

ANDREW FINKEL

Istanbul Turkiye

2007-02-19T01:23:00.000-08:00

İstanbul

Area: 5.712 km²

Population: 10.018.735 (2000)

Traffic Code: 34

The god and human, nature and art are together in there, they have created such a perfect place that it is valuable to see." Lamartine’s famous poetic line reveals his love for Istanbul, describing the embracing of two continents, with one arm reaching out to Asia and the other to Europe.

Istanbul, once known as the capital of capital cities, has many unique features. It is the only city in the world to straddle two continents, and the only one to have been a capital during two consecutive empires - Christian and Islamic. Once was capital of the Ottoman Empire, Istanbul still remains the commercial, historical and cultural pulse of Turkey, and its beauty lies in its ability to embrace its contradictions. Ancient and modern, religious and secular, Asia and Europe, mystical and earthly all co-exist here.

Its variety is one of Istanbul’s greatest attractions: The ancient mosques, palaces, museums and bazaars reflect its diverse history. The thriving shopping area of Taksim buzzes with life and entertainment. And the serene beauty of the Bosphorus, Princes Islands and parks bring a touch of peace to the otherwise chaotic metropolis.

Districts

Adalar, Avcılar, Bağcılar, Bahçelievler, Bakırköy, Beşiktaş, Bayrampaşa, Beykoz, Beyoğlu, Eminönü, Eyüb, Fatih, Gaziosmanpaşa, Kadıköy, Kâğıthane, Kartal, Küçükçekmece, Pendik, Sarıyer, Şişli, Ümraniye, Üsküdar, Zeytinburnu, Büyükçekmece, Çatalca, Silivri, Şile, Esenler, Güngören, Maltepe, Sultanbeyli, and Tuzla.

The Bosphorus

Golden Horn: This horn-shaped estuary divides European Istanbul. One of the best natural harbours in the world, it was once the centre for the Byzantine and Ottoman navies and commercial shipping interests. Today, attractive parks and promenades line the shores, a picturesque scene especially as the sun goes down over the water. At Fener and Balat, neighbourhoods midway up the Golden Horn, there are entire streets filled with old wooden houses, churches, and synagogues dating from Byzantine and Ottoman times. The Orthodox Patriarchy resides at Fener and a little further up the Golden Horn at Eyup, are some wonderful examples of Ottoman architecture. Muslim pilgrims from all over the world visit Eyup Camii and Tomb of Eyup, the Prophet Mohammed’s standard bearer, and it is one of the holiest places in Islam. The area is a still a popular burial place, and the hills above the mosque are dotted with modern gravestones interspersed with ornate Ottoman stones. The Pierre Loti Cafe, at the top of hill overlooking the shrine and the Golden Horn, is a wonderful place to enjoy the tranquility of the view.

Beyoğlu and Taksim: Beyoglu is an interesting example of a district with European-influenced architecture, from a century before. Europe’s second oldest subway, Tunel was built by the French in 1875, must be also one of the shortest – offering a one-stop ride to start of Taksim. Near to Tunel is the Galata district, whose Galata Tower became a famous symbols of Istanbul, and the top of which offers a tremendous 180 degree view of the city.

From the Tunel area to Taksim square, is one of the city’s focal points for shopping, entertainment and urban promenading: Istiklal Cadesi is a fine example of the contrasts and compositions of Istanbul; fashion shops, bookshops, cinemas, markets, restaurants and even hand-carts selling trinkets and simit (sesame bread snack) ensure that the street is packed throughout the day until late into the night. The old tramcars re-entered into service, which shuttle up and down this fascinating street, and otherwise the street is entirely pedestrianised. There are old embassy buildings, Galatasaray High School, the colourful ambience of Balik Pazari (Fish Bazaar) and restaurants in Cicek Pasaji (Flower Passage). Also on this street is the oldest church in the area, St Mary’s Draperis dating back to 1789, and the Franciscan Church of St Antoine, demolished and then rebuilt in 1913.

The street ends at Taksim Square, a big open plaza, the hub of modern Istanbul and always crowded, crowned with an imposing monument celebrating Attaturk and the War of Independence. The main terminal of the new subway is under the square, adjacent is a noisy bus terminal, and at the north end is the Ataturk Cultural Centre, one of the venues of the Istanbul Theatre Festival. Several five-star hotels are dotted around this area, like the Hyatt, Intercontinental and Hilton (the oldest of its kind in the city). North of the square is the Istanbul Military Museum.

Taksim and Beyoglu have for centuries been the centre of nightlife, and now there are many lovely bars and clubs off Istiklal Cadesi, including some of the only gay venues in the city. Beyoglu is also at the centre of the more bohemian arts scene.

Sultanahmet: Many places of tourist interest are concentrated in Sultanahmet, in heart of the Imperial Centre of the Ottoman Empire. The most important places in this area, all of which are described in detail in the “Places of Interest” section, are Topkapi Palace, Aya Sofia, Sultan Ahmet Camii (the Blue Mosque), the Hippodrome, Kapali Carsi (Covered Market), Yerebatan Sarnici and the Museum of Islamic Art.

In addition to this wonderful selection of historical and architectural sites, Sultanahmet also has a large concentration of carpet and souvenir shops, hotels and guesthouses, cafes, bars and restaurants, and travel agents.

Ortaköy: Ortakoy was a resort for the Ottoman rulers because of its attractive location on the Bosphorus, and is still a popular spot for residents and visitors. The village is within a triangle of a mosque, church and synagogue, and is near Ciragan Palace, Kabatas High School, Feriye, Princess Hotel.
The name Ortakoy reflects the university students and teachers who would gather to drink tea and discuss life, when it was just a small fishing village. These days, however, that scene has developed into a suburb with an increasing amount of expensive restaurants, bars, shops and a huge market. The fishing, however, lives on and the area is popular with local anglers, and there is now a huge waterfront tea-house which is crammed at weekends and holidays.

Sarıyer: The first sight of Sarıyer is where the Bosphorus connects with the Black Sea, after the bend in the river after Tarabya. Around this area, old summer houses, embassies and fish restaurants line the river, and a narrow road which separates it from Buyukdere, continues along to the beaches of Kilyos.

Sarıyer and Rumeli Kavağı are the final wharfs along the European side visited by the Bosphorus boat trips. Both these districts, famous for their fish restaurants along with Anadolu Kavagi, get very crowded at weekends and holidays with Istanbul residents escaping the city.

After these points, the Bosphorus is lined with tree-covered cliffs and little habitation. The Sadberk Hanim Museum, just before Sariyer, is an interesting place to visit; a collection of archaeological and ethnographic items, housed in two wooden houses. A few kilometres away is the huge Belgrade Forest, once a haunting ground of the Ottomans, and now a popular weekend retreat into the largest forest area in the city.

Üsküdar: Relatively unknown to tourists, the suburb of Üsküdar, on the Asian side of the Bosphorus, is one of the most attractive suburbs. Religiously conservative in its background, it has a tranquil atmosphere and some fine examples of imperial and domestic architecture.

The Iskele, or Mihrimah Camii is opposite the main ferry pier, on a high platform with a big covered porch in front, often occupied by older local men watching life around them. Opposite this is Yeni Valide Camii, built in 1710, and the Valide Sultan’s green tomb rather like a giant birdcage. The Cinili Mosque takes its name from the beautiful tiles which decorate the interior, and was built in 1640.

Apart from places of religious interest, Uskudar is also well known as a shopping area, with old market streets selling traditional local products, and a good fleamarket with second hand furniture. There are plenty of good restaurants and cafes with a great views of the Bosphorus and the rest of the city, along the quayside. In the direction of Haydarpasa is the Karaca Ahmet Cemetery, which is the largest Muslim graveyard in Istanbul. The front of the Camlica hills lie at the ridge of area and also offer great panoramic views of the islands and river.

Kadıköy: Further down to the south along, the Bosphorus towards the Marmara sea, Kadıköy has developed into a lively area with up-market shopping, eating and entertainment making it popular especially with wealthy locals. Once prominent in the history of Christianity, the 5th century hosted important consul meetings here, but there are few reminders of that age. It is one of the improved districts of Istanbul over the last century, and fashionable area to promenade along the waterfront in the evenings, especially around the marinas and yacht clubs.

Bagdat Caddesi is one of the most trendy – and label-conscious – fashion shopping streets, and for more down-to-earth goods, the Gen Azim Gunduz Caddesi is the best place for clothes, and the bit pazari on Ozelellik Sokak is good for browsing through junk. The Benadam art gallery remains in Moda district with many other foreing cusines, restaurants and cafes.

Haydarpaşa: To the north of Kadikoy is Haydarpasa, and the train station built in 1908 with Prussain-style architecture which was the first stop along the Baghdad railway. Now it is the main station going to eastbound destinations both within Turkey, and international. There are tombs and monuments dedicated to the English and French soldiers who lost their lives during the Crimean War (1854-56), near the military hospital. The north-west wing of the 19th Century Selimiye Barracks once housed the hospital, used by Florence Nightingale to care for soldiers, and remains to honour her memory.

Polonezköy: Polonezköy, although still within the city, is 25 km. away from the centre and not easy to reach by public transport. Translated as “village of the Poles”, the village has a fascinating history: It was established in 1848 by Prince Czartorisky, leader of the Polish nationals who was granted exile in the Ottoman Empire to escape oppression in the Balkans. During his exile, he succeeded in establishing a community of Balkans, which still survives, on the plot of land sold to him by a local monastery.

Since the 1970s the village has become a popular place with local Istanbulites, who buy their pig meat there (pig being forbidden under Islamic law and therefore difficult to get elsewhere). All the Poles have since left the village, and the place is inhabited now by wealthy city people, living in the few remaining Central European style wooden houses with pretty balconies.

What attracts most visitors to Polonezkoy is its vast green expanse, which was designated Istanbul’s first national park, and the walks though forests with streams and wooden bridges. Because of its popularity, it gets crowded at weekends and the hotels are usually full.

Kilyos: Kilyos is the nearest beach resort to the city, on the Black Sea coast on the European side of the Bosphorus. Once a Greek fishing village, it has quickly been developed as a holiday-home development, and gets very crowded in summer. Because of its ease to get there, 25km and plenty of public transport, it is good for a day trip, and is a popular weekend getaway with plenty of hotels, and a couple of campsites.

Şile: A pleasant, small holiday town, Şile lies 50km from Üsküdar on the Black Sea coast and some people even live there and commute into Istanbul. The white sandy beaches are easily accessible from the main highway, lying on the west, as well as a series of small beaches at the east end. The town itself if perched on a clifftop over looking the bay tiny island. There is an interesting French-built black-and-white striped lighthouse, and 14th century Genoese castle on the nearby island. Apart from its popular beaches, the town is also famous for its craft; Sile bezi, a white muslin fabric a little like cheesecloth, which the local women embroider and sell their products on the street, as well as all over Turkey.

The town has plenty of accommodation available, hotels, guest houses and pansiyons, although can get very crowded at weekends and holidays as it is very popular with people from Istanbul for a getaway, especially in the summer. There are small restaurants and bars in the town.

Prince’s Islands: Also known as Istanbul Islands, there are eight within one hour from the city, in the Marmara Sea. Boats ply the islands from Sirkeci, Kabatas and Bostanci, with more services during the summer. These islands, on which monasteries were established during the Byzantine period, was a popular summer retreat for palace officials. It is still a popular escape from the city, with wealthier owning summer houses.

Buyukada The largest and most popular one in Istanbul is Buyukada (the Great Island). Large wooden mansions still remain from the 19th century when wealthy Greek and Armernian bankers built them as a holiday villas. The island has always been a place predominantly inhabited by minorities, hence Islam has never had a strong presence here.

Buyukada has long had a history of people coming here in exile or retreat; its most famous guest being Leon Trotsky, who stayed for four years writing ‘The History of the Russian Revolution’. The monastery of St George also played host to the granddaughter of Empress Irene, and the royal princess Zoe, in 1012.

The island consists of two hills, both surmounted by monasteries, with a valley between. Motor vehicles are banned, so getting around the island can be done by graceful horse and carriage, leaving from the main square off Isa Celebi Sokak. Bicycles can also be hired.

The southern hill, Yule Tepe, is the quieter of the two and also home of St George’s Monastery. It consists of a series of chapels on three levels, the site of which is a building dating back to the 12th century. In Byzantine times it was used as an asylum, with iron rings on the church floors used to restrain patients. On the northern hill is the monastery Isa Tepe, a 19th century house.

The entire island is lively and colourful, with many restaurants, hotels, tea houses and shops. There are very big well-kept houses, trim gardens, and pine groves, as well as plenty of beach and picnic areas.

Burgazada It is a smaller and less infrastructured for tourists.The famous Turkish novelist, Sait Faik Abasıyanık lived there, and his house has been turned into a museum dedicated to his work, and retains a remarkable tranquil and hallowed atmosphere.

Heybeliada ‘Island of the Saddlebag’, because of its shape, is loved for its natural beauty and beaches. It also has a highly prestigious and fashionable watersports club in the northwest of the island. One of its best-known landmarks is the Greek Orthodox School of Theology, with an important collection of Byzantine manuscripts. The school sits loftily on the northern hill, but permission is needed to enter, from the Greek Orthodox Patriarchate in Fener. The Deniz Harp Okulu, the Naval High School, is on the east side of the waterfront near the jetty, which was originally the Naval War Academy set up in 1852, then a high school since 1985. Walking and cycling are popular here, plus isolated beaches as well as the public Yoruk Beach, set in a magnificent bay.

There are plenty of good local restaurants and tea houses, especially along Ayyıldız Caddesi, and the atmosphere is one of a close community.

Environment: Wide beaches of Kilyos at European side of Black Sea at 25th km. outside the Istanbul, is attracting Istanbul residents during summer months. Belgrade Forest, inside from Black Sea, at European Side is the widest forest around Istanbul. Istanbul residents, at week ends, come here for family picnic with brazier at its shadows. 7 old water tank and some natural resources in the region compose a different atmosphere. Moğlova Aqueduct, which is constructed by Mimar Sinan during 16th century among Ottoman aqueducts, is the greatest one. 800 m. long Sultan Suleyman Aqueduct, which is passing over Golf Club, and also a piece of art of Mimar Sinan is one of the longest aqueducts within Turkey.

Polonezköy, which is 25 km. away from Istanbul, is founded at Asia coast during 19th century by Polish immigrants. Polonezköy, for walking in village atmosphere, travels by horse, and tasting traditional Polish meals served by relatives of initial settlers, is the resort point of Istanbul residents. Beaches, restaurants and hotels of Şile at Black Sea coast and 70 km. away from Üsküdar, are turning this place into one of the most cute holiday places of Istanbul. Region which is popular in connection with tourism, is the place where famous Şile cloth is produced.

Bayramoğlu - Darıca Bird Paradise and Botanic Park is a unique resort place 38 km. away from Istanbul. This gargantuan park with its trekking roads, restaurants is full of bird species and plants, coming from various parts of the world.

Sweet Eskihisar fisherman borough, to whose marina can be anchored by yachtsmen after daily voyages in Marmara Sea is at south east of Istanbul. Turkey's 19th century famous painter, Osman Hamdi Bey's house in borough is turned into a museum. Hannibal's tomb between Eskihisar and Gebze is one of the sites around a Byzantium castle.

There are lots of Istanbul residents' summer houses in popular holiday place 65 km. away from Istanbul, Silivri. This is a huge holiday place with magnificent restaurants, sports and health centers. Conference center is also attracting businessmen, who are escaping rapid tempo of urban life for "cultural tourism" and business - holiday mixed activities. Scheduled sea bus service is connecting Istanbul to Silivri.

Islands within Marmara Sea, which is adorned with nine islands, was the banishing place of the Byzantium princes. Today they are now wealthy Istanbul residents' escaping places for cool winds during summer months and 19th century smart houses. Biggest one of the islands is Büyükada. You can have a marvelous phaeton travel between pine trees or have a swim within one of the numerous bays around islands!

Other popular islands are Kınalı, Sedef, Burgaz and Heybeliada. Regular ferry voyages are connecting islands to both Europe and Asia coasts. There is a rapid sea bus service from Kabataş during summers.

source : www.kultur.gov.tr

Marginal Trading

2007-02-17T00:34:00.003-08:00

Marginal trading is simply the term used for trading with borrowed capital. It is appealing because of the fact that in FOREX investments can be made without a real money supply. This allows investors to invest much more money with fewer money transfer costs, and open bigger positions with a much smaller amount of actual capital. Thus, one can conduct relatively large transactions, very quickly and cheaply, with a small amount of initial capital. Marginal trading in an exchange market is quantified in lots. The term "lot" refers to approximately $100,000, an amount which can be obtained by putting up as little as 0.5% or $500.

EXAMPLE: You believe that signals in the market are indicating that the British Pound will go up against the US Dollar. You open 1 lot for buying the Pound with a 1% margin at the price of 1.49889 and wait for the exchange rate to climb. At some point in the future, your predictions come true and you decide to sell. You close the position at 1.5050 and earn 61 pips or about $405. Thus, on an initial capital investment of $1,000, you have made over 40% in profits. (Just as an example of how exchange rates change in the course of a day, an average daily change of the Euro (in Dollars) is about 70 to 100 pips.)

When you decide to close a position, the deposit sum that you originally made is returned to you and a calculation of your profits or losses is done. This profit or loss is then credited to your account.

How FOREX Works

2007-02-17T00:34:00.001-08:00

Transactions in foreign currencies are not centralized on an exchange, unlike say the NYSE, and thus take place all over the world via telecommunications. Trade is open 24 hours a day from Sunday afternoon until Friday afternoon (00:00 GMT on Monday to 10:00 pm GMT on Friday). In almost every time zone around the world, there are dealers who will quote all major currencies. After deciding what currency the investor would like to purchase, he or she does so via one of these dealers (some of which can be found online). It is quite common practice for investors to speculate on currency prices by getting a credit line (which are available to those with capital as small as $500), and vastly increase their potential gains and losses. This is called marginal trading.

About Forex

2007-02-17T00:33:00.001-08:00

For those unfamiliar with the term, FOREX (FOReign EXchange market), refers to an international exchange market where currencies are bought and sold. The Foreign Exchange Market that we see today began in the 1970's, when free exchange rates and floating currencies were introduced. In such an environment only participants in the market determine the price of one currency against another, based upon supply and demand for that currency.

FOREX is a somewhat unique market for a number of reasons. Firstly, it is one of the few markets in which it can be said with very few qualifications that it is free of external controls and that it cannot be manipulated. It is also the largest liquid financial market, with trade reaching between 1 and 1.5 trillion US dollars a day. With this much money moving this fast, it is clear why a single investor would find it near impossible to significantly affect the price of a major currency. Furthermore, the liquidity of the market means that unlike some rarely traded stock, traders are able to open and close positions within a few seconds as there are always willing buyers and sellers.

Another somewhat unique characteristic of the FOREX money market is the variance of its participants. Investors find a number of reasons for entering the market, some as longer term hedge investors, while others utilize massive credit lines to seek large short term gains. Interestingly, unlike blue-chip stocks, which are usually most attractive only to the long term investor, the combination of rather constant but small daily fluctuations in currency prices, create an environment which attracts investors with a broad range of strategies.

Muammer AKIN

2007-02-16T10:46:00.000-08:00

Link Exchange

2007-02-16T10:18:00.000-08:00

Would you like exchange links with us?

Send your comments to this page with your site’s / blog’s info (Title & URL)

Title : Articles

Url : http://articlesdb.blogspot.com

Articles [ code 1 ]

<a href=http://articlesdb.blogspot.com target=_blank>Articles</a>

[ code 2 ]

<a href=http://articlesdb.blogspot.com target=_blank>
<img src=http://articlesdb.googlepages.com/article.gif
border=0 alt="Articles" </a>

Link Exchange

Contact

2007-02-16T10:09:00.002-08:00

adress

e - mail

messenger

weblog

http://articlesdb.blogspot.com

About Us

2007-02-16T10:07:00.000-08:00

ABOUT US

About Forex

2007-02-15T12:49:00.000-08:00

The foreign exchange (currency or forex or FX) market exists wherever one currency is traded for another. It is by far the largest market in the world, in terms of cash value traded, and includes trading between large banks, central banks, currency speculators, multinational corporations, governments, and other financial markets and institutions. The trade happening in the forex markets across the globe currently exceeds $1.9 trillion/day (on average). Retail traders (individuals) are currently a very small part of this market and may only participate indirectly through brokers or banks and may be targets of forex scams.

According to David Krutz from the Financial Times website (Published: October 9 2006 20:48) " The foreign exchange market will have doubled in size in just three years next year, thanks to increased participation by fund managers and pension funds, says research out on Monday. TowerGroup, a financial services research consultancy, said it expected total global average daily volumes on the FX market to exceed $3,000bn in 2007. FX volumes, which rose from $1,770bn in 2004 to $2,000bn last year, were set to rise to $2,600bn this year and $3,600bn next year, as foreign exchange became accepted as an asset class in its own right according to TowerGroup.

Wikipedia.org

Link Degisimi

2007-02-10T01:08:00.001-08:00

Articles [ kod 1 ]

<a href=http://articlesdb.blogspot.com target=_blank>Articles</a>

[ kod 2 ]

<a href=http://articlesdb.blogspot.com target=_blank>
<img src=http://articlesdb.googlepages.com/article.gif
border=0 alt="Articles" </a>

Link Değişimi