Abstract:

Although the diplomatic relations between Turkey and Egypt, which have a common historical and cultural memory, began in 1925, it is clear that considering the economic relations between the two countries established in the second half of the 1950s, the economic relations were not seen as a long-term determining element for both sides. In the 1970s, even if the Cold War had to enter the mild phase of Enver Sedat's leadership in Egypt, the liberal policies began to be followed and the political relations were also closer in economic relations, but especially in bilateral trade relations, the drive was only captured in the 1980s with the process of opening out in Turkey. While the end of the Cold War has found that the cohesion in foreign policy statements has been reflected in economic relations, the actual jump has been possible with the Free Trade Agreement signed in 2005, and especially with the investments that Turkey has made in Egypt. Although the economic relations between the two countries were affected by the outcome of political downturn caused by the revolution in Egypt and the subsequent military coup, it is not seen to fall below the level captured after 2005.  In this context, the study is seeking a response to how and in what direction the relations between Turkey and Egypt are affected by the mutual interactions of economic and political spheres. In this framework, the study on mutual trade data and direct investment relations emphasizes the determining effect of economic rationality in Ankara-Kahira relations.