IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Privatization in Turkey

Listed author(s):
  • Kjellstrom, Sven B.
Registered author(s):

    State capitalism has been a basic tenet of the developing strategy for Turkey for half a century, with import-substituting industrialization through state economic enterprises (SEEs) as a guiding principle. By 1980 a serious economic and political crisis called for a reassessment of economic policies. Policy reorientation was radical : from import substitution to export promotion, from interventionism to market forces, and from promotion of SEEs to promotion of the private sector. The state's role in the economy was reduced and emphasis has instead been put on broadly defined privatization, with the additional objectives of developing the domestic capital markets and generating revenue for the treasury. Initial operations were in the form of sales of revenue-sharing bonds and minority share sales. The first attempt at stock sales flopped. The approach was then quietly switched to block sales without thorough preparation of the legal ground.d. Since the government had not prepared the legal and political base for privatization, it had no clear strategy or concrete program. The assumption that privatization could be treated as an administrative matter was proven wrong. The cancelation of block sales coincided with a boom on the stock market with the strategy switched back to stock market sales of minority shares. For the moment, privatization has thus shrunk to a budget-deficit financing technique, with the targets of enhanced efficiency pushed into the background.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: no

    Paper provided by The World Bank in its series Policy Research Working Paper Series with number 532.

    in new window

    Date of creation: 30 Nov 1990
    Handle: RePEc:wbk:wbrwps:532
    Contact details of provider: Postal:
    1818 H Street, N.W., Washington, DC 20433

    Phone: (202) 477-1234
    Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:532. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roula I. Yazigi)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.