Turkey Election: Assessing the Economic Impact

In a surprise election result over the weekend, Turkey's ruling AK Party lost its majority for the first time in 13 years.

It's a result that has upset President Recep Tayyip Erdogan's plans to increase his own presidential powers.

There will now be weeks of uncertainty over what new government will be formed.

It's potentially a new political era in Turkey, but the inconclusive result has set off some noticeable economic aftershocks.

Turkey's stock market plunged 8% at its open. It's currency, the Lira, plunged to an all time low against the dollar, prompting Turkey's central bank to cut foreign exchange deposit rates.

Uncertainty in the economy is not new for Turkey. Five years ago the country was tipped as a top emerging economy enjoying healthy growth rates of over 10%. That has since dropped to just 3%.

So what impact will these results have on the economy? Sarah Stolarz asked Dr Elizabeth Stephens, an independent Risk consultant.

And to get a sense of how the result is being felt on the ground, she turned to Gareth Jenkins, a writer who has been living in Istanbul for 26 years.