Can the Turkish economy resist a mass boycott of the Arab world?

After the Riyadh Chamber of Commerce and Industry called to boycott Turkish products, Turkey risks losing millions of dollars in business opportunities, whether in imports, investments or tourism. This boycott call came after Turkish President Recep Tayyip Erdogan made rejected statements to some Gulf states.

Brightly, Erdogan said in a speech to Turkey’s General Assembly, saying: “We must not forget that the countries concerned did not exist yesterday and they may not be present tomorrow, but we will continue to keep our flag hoisted in this region forever, God willing. His remarks sparked backlash, as Saudi Chamber of Commerce chief Ajlan Al-Ajlan called for a boycott of Turkish products.

Ajlan Al-Ajlan announced in a Twitter post: “Anything Turkish must be boycotted, be it import, investment or tourism, and it is the responsibility of every Saudi, whether trader or consumer, in response to the continuing hostility of the Turkish government against our leaders, our country and our citizens. “. If applied, this approach would affect thousands of Turkish exporters when the Turkish economy is in shambles.

The Turkish lira has already weakened, falling to an all time high. The Turkish lira is one of the worst performing currencies in the world this year, falling 22%, according to Reuters. The impact of the coronavirus combined with the currency crisis that began in 2018 has led to a severe recession, with the central bank’s total foreign exchange reserves having fallen by about half this year.

In such a precarious situation, the Turkish economy cannot resist a mass boycott of the Arab world. The unofficial boycott of Saudi Arabia has started to hurt Turkey’s fragile economy, with Turkish exports reaching around $ 90 billion in the first seven months of the year, down 13.7% from the same period last year.

One of the biggest points of contention between the Arab world and Turkey is the fact that Erdogan’s attempt, even if it failed, to form a different group with Pakistan and Malaysia that would undermine the authority of the Organization of Islamic Countries and Arab Gulf States. The fact that Erdogan’s foreign policy is completely opposed to that of the Arab world hasn’t helped him either.

Turkey’s stance on major geopolitical issues is seen as a threat to peace in the region, and for this reason there are calls for an effective boycott of anything Turkish. Turkey’s bias towards Pakistan has also put a big question mark on Pakistan’s foreign policy. Islamabad is undermining its relations with its all-time friends in the Gulf region. Pakistani Foreign Minister Shah Mahmood Qureshi recently issued a statement on the role of Gulf states in the Organization of the Islamic Conference in a resolute manner.

Pakistan’s growing engagement with Turkey, Malaysia and Iran is not in the interest of Arab countries, as Arab countries are making all efforts for the sake of regional and global peace and security. Political analysts believe that a developing Turkey, ruled by Erdogan and Pakistan ruled by Imran Khan, wants to regain its false glorified stature. Turkey and Pakistan are becoming the new leaders of the anti-Arab bloc.

Imran is a big fan of Turkish President Recep Tayyip Erdogan. No wonder he talks repeatedly about Pakistan’s upcoming role in the alliance of China, Turkey, Iran and Pakistan. The cricketer-turned-politician encouraged Pakistanis to watch his favorite Turkish soap operas, which are said to be based on the life of the father of the founder of the Ottoman dynasty, Osman.

People familiar with these developments said Pakistan was looking to strengthen its relations with China, Malaysia and Turkey again to help it prosper easily after failing to fully implement an action plan to combat terrorist financing when the Financial Action Task Force assesses its situation in October. Ahead of the Financial Action Task Force (FATF) meeting and public meetings October 18-23, the Asia-Pacific Group (APG), a regional arm of the Multilateral Authority, reviewed Pakistan’s measures to address against terrorist financing and money laundering at a hypothetical meeting on September 15-16.