Skip to main content

Russia offers Erdogan economic lifeline

Gas payments in rubles will help Turkey reduce its foreign-currency demand.
Russian President Vladimir Putin meets with Turkey's President Recep Tayyip Erdogan in Tehran on July 19, 2022.
Read in 

The economic outcomes of the recent Turkish-Russian summit and a string of financial moves by the Russian builder of a nuclear power plant in Turkey have come as fresh signs that Turkey is becoming a safe harbor for sanctions-hit Russian capital. For some observers, the moves amount also to a financial lifeline for Turkish President Recep Tayyip Erdogan as he grapples with economic turmoil ahead of crucial elections next year.

Money transfers by Rosatom, the state-owned Russian company building Turkey’s first nuclear power plant in Akkuyu; a deal allowing Turkey to pay in rubles for some of its Russian gas imports; and moves to expand the use of the Russian Mir payment system in Turkey are all seen as the pieces of an integrated effort between Ankara and Moscow.

Access the Middle East news and analysis you can trust

Join our community of Middle East readers to experience all of Al-Monitor, including 24/7 news, analyses, memos, reports and newsletters.


Only $100 per year.