The Economy

Economics is critical in shaping the course and content of EU—Turkey relations. In the past, Turkey’s large but volatile economy plagued by deep structural problems was cause of considerable European concern. It was also among the principal factors that both highlighted the importance of the EU anchor for Turkey’s economic development and militated against the country’s deeper integration with the EU. It is against this backdrop that the first decades of Turkey’s economic ties with the EU can be understood, from the 1963 Association Agreement to the customs union agreement in 1996.