Egypt-Turkey Trade Exchange Likely to Fall 10% by Year-end

Driven by deteriorating political relations, the Egyptian-Turkish Business Council expects that the volume of trade exchange between Cairo and Ankara is likely to fall by 10% to $4.5 billion by the end of 2013, compared to 2012 figures.

Dr. Adel Lamey, the Egyptian Chairperson of the Egyptian-Turkish Business Council, stated that total Turkish investments in Egypt are worth $ 1.63 billion including 300 Turkish firms and factories operating in Egypt, which recruit around 52.000 Egyptian workers.

The decision makers in both countries to separate bilateral economic ties from politics, Lamey told Amwal Al Ghad on Sunday.

He added that the Turkish investors are considering Egypt as one of the key markets.

Moreover, Lamey further ruled out the possibilities that Egypt would decide to expel Turkish investments or lower its commercial representation with Turkey, stating that Turkish investors are still determined to carry out their expansion plans in the Egyptian market.

Relations between Turkey and Egypt took a nose-dive on November 23th with the latter expelling the Turkish ambassador in Cairo, which Ankara considered as a sign of escalating diplomatic tension between the two powerhouses in the Middle East. Diplomatic relations between the two countries have been strained since then. Both countries recalled their ambassadors for consultations in a tit-for-tat policy.