Erdogan makes move on fund

– Turkish President Tayyip Erdogan has appointed himself chairperson of the country’s sovereign wealth fund and completely changed its board, naming Finance Minister Berat Albayrak as his deputy, the country’s Official Gazette said yesterday.

The revamp was the latest in a series of steps Erdogan has taken to assume new powers since he won a presidential election in June, heralding the move to an executive presidency which grants sweeping authority.

The wealth fund (TVF), worth $50 billion (about R750 billion), was set up in 2016 by the government to develop and increase the value of Turkey’s strategic assets and provide resources for investment.

Erdogan appointed as the fund’s general manager Zafer Sonmez, head of the Turkey regional office of the Malaysian sovereign wealth fund Khazanah Nasional. Albayrak and Sonmez were among the seven members in the Turkish fund’s new board.

The government has transferred to the TVF stakes worth billions of dollars of state assets, including stakes in flag carrier Turkish Airlines, major banks and fixed-line operator Turk Telekom.

Erdogan said last September the fund was to be reorganised after dismissing its chair over its failure to meet targets.