Hafize Gaye Erkan, the governor of the Turkish Central Bank (TCMB), is involved in a scandal involving her family’s alleged undue influence over the bank’s operations.
The matter came to light following several Turkish media reports and a complaint from a dismissed bank employee to the Presidential Communications Center (CİMER), Ms Büşra Bozkurt.
A story in the Sözcü daily on Thursday alleged that Erol Erkan was frequently present at TCMB headquarters, seemingly exerting influence on various administrative decisions. Allegations include his involvement in personnel matters at the bank and his access to resources such as an office, security and an official vehicle.
Ankara insider: Erdogan to sack Gaye Erkan
“It seems that it has become very difficult for Central Bank Governor Hafize Gaye Erkan to remain in office. Meanwhile, it is also rumored that the president did not appear after the investor meeting in New York last week and may not have returned from the USA, commented reliable veteran Ankara correspondent for 10Haber.net, Erdal Saglam.
His news story runs as follows
The topic of recent days in the Central Bank corridors is the rumors and expectations that Governor Gaye Erkan will leave soon. “It has begun to be widely discussed among the staff that President Erdoğan also has concerns about Erkan and that Erkan will have to leave in the near future.”
‘ERKAN MAY NOT BE AROUND IN THE SECOND HALF OF THE YEAR’
Referring to the news about Büşra Bozkurt’s statements, Sağlam said, “After this news, the market was literally in chaos and I saw that the rumors were increasing. During my investigations, I witnessed that the discomfort caused by President Gaye Erkan, and especially her father’s involvement in corporate affairs, had reached its peak. It appears that the issue has created discomfort at the “highest level” in Ankara. It is clear that these news dealt a blow not only to the president himself, but also to the Central Bank and the economic stabilization program”.
“My personal guess is that, although these issues are tried to be kept under wraps until the elections, the probability of President Gaye Erkan remaining in her post in the second half of the year is very low. “While I say this as a prediction, I should also say that there is a possibility that the Presidency will make a decision such as ‘she should leave earlier’ despite the elections.”
Gaye Erkan: Baseless rumors
Erkan said on social media platform X that the news story was detrimental to confidence in the bank, ill-intentioned and inconsistent with the truth.
“Unfounded news accusing me and our bank is completely unacceptable. I will use my necessary legal rights against those responsible,” she said.
Is Simsek involved in lobbying against her?
Another story concocted by Rasim Ozan Kutahyali, a long-time maverick journalist who is believed to have connections to Erdogan administration claims Mehmet Simsek is also involved in the affair, allegedly lobbying for her removal, to be replaced by his deputy and well-known investment banking economist Mr Cevdet Akcay…
PA Turkey is following the news closely, because Erkan’s firing regardless of the reasons could undermine investor sentiment, rekindling fears of Erdogan returning to un-orthodox polices. At this point, our editors have no comment and veracity of rumors.
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