Turkey’s diplomatic re-engagement with the Middle East during the past decade not only coincided with a period of strong economic growth at home, but was closely interconnected with it. Now, there are some indications that Turkey’s economy might be heading for difficult times in 2012, raising the question of how an economic downturn could affect Turkey’s active foreign policy in the region.

Economic Clouds Darken Turkey's Diplomatic Horizon in the Middle East

By , , Briefing

One of the most important developments in the Middle East during the past decade was the remarkable expansion of Turkey’s relations with its neighbors. After ignoring the region for decades while trying to integrate into the European Union, Turkey devoted the past 10 years to improving its ties with Iran and Arab countries, while taking the lead in the mediation of several regional conflicts. This was a visible break from the past, when Turkey played a more or less subordinate and supportive role to U.S. and European policies in the region. In recent years, Turkey has asserted its own independent Middle East policy, one that has been at odds with Europe, the United States and Israel on several issues.

Turkey’s diplomatic and economic re-engagement with the Middle East during the past decade coincided with a period of strong economic growth and stability at home, one unprecedented in the country’s modern history. Turkey owes both of these achievements to the policies of the Justice and Development Party (AKP), which has governed since 2002.  Much to the surprise of its critics, the AKP adopted conservative pro-business economic policies that promoted economic growth. At the same time, the party’s Islamic orientation provided a cultural incentive to pursue closer diplomatic and economic relations with Turkey’s Muslim neighbors. ...

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