300,000 lose jobs in a month as Turkey’s unemployment soars to record high

Turkey’s official unemployment statistics reached a historic high as the number of jobless people soared to 4,417 million in figures released by the Turkish Employment Agency (ISKUR).

The number of jobless people increased to 1,8 million in the last 12 months and 333,000 workers lost their jobs last month, the ISKUR reported.

The agency said a monthly increase in the number of registered unemployed was recorded at 8,1 percent. The registered unemployment number stood at  2,621,000 in June 2018 and the annual rate of increase in the number of unemployed rose to 69 percent.

Turkey entered into recession as the economy contracted at a sharper than expected 3 percent in the fourth quarter of 2018, and the Turkish lira lost its value almost 50 percent since last August.

London-based head of research at Ashmore, Jan Dehn told Bloomberg that President Recep Tayyip Erdogan risks pushing Turkey’s economy into a collapse similar to those seen in Latin America.

“Capital controls, nationalization and other policies designed to prevent the private sector from protecting its property as the macroeconomic environment deteriorates are the next ‘logical policy steps’ that will follow in Turkey,” Bloomberg quoted Dehn as saying.

Rating agency Moody’s last month downgraded Turkey’s long-term issuer ratings to B1 from Ba3 and has maintained the negative outlook.

Company bankruptcies in recession- hit Turkey up by 49 percent

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