It has launched ambitious efforts to attain gains in diverse areas. In addition, the Turkish government is encouraging the expansion of private telecommunications companies with a view to providing new mobile phone services. However, pressures will come from the government's excessive deficit, high prices of commodities and the high ratio of domestic loans.
Observers credit the government for improving the climate for foreign investors.
One positive change is to allow foreign companies to seek international arbitration in the event of a dispute with a state-owned company. Previously, Turkish courts had the final word. In the financial sector, the government plans to restructure four or five private banks and encourage mergers among medium-sized banks. An independent watchdog has been set up to regulate the banking sector. Other cheerful tidings were Turkey's recent signing of a series of co-operation agreements with Greece and Turkey's admission as a candidate for membership in the European Union.