The deepening of the economic crisis following the regime change in Turkey into a one-man rule had triggered the downfall of the Lira against the USD and Euro. European financial institutions that kept the oppressive Erdoğan regime standing with their loans now don’t know how the Euro-based loans will be repaid.

After the downfall of the Lira, details of European countries propping up the Erdoğan regime with their money start to come out. For the first time, Germany’s Federal Bank announced that German finance institutions have a total of 21 billion Euros to collect from Turkey.

The financial support provided to Turkey is more than the 19.17 billion Euros given to Greece, a Euro country and a member of the European Union. The total amount of money transferred abroad by German banks was announced at 1.85 trillion Euros.

On Friday many European banks which transferred money into Turkey had left the question posed by international news agency Reuters, “Are your investments at risk in Turkey?” unanswered. Some institutions ad claimed there would be a low risk that Turkey would be in jeopardy for the payments.

LOANS GIVEN SO ERDOĞAN CAN MANUFACTURE WEAPONS

The reason foreign investors are not panicking to see the Lira’s freefall is without a doubt that the loans issued before were insured and payable in Euros and USD. But even with this, prominent German banks Deutsche Bank and Commerz Bank saw significant losses in their stock value immediately after US President Trump announced new sanctions against the Erdoğan regime.

Deutsche Bank stock saw a decline of 3.3% and Commerzbank 2.1% in the German stock market DAX. The common thing between the two banks is that they both provide loan support for the German arms industry. The most important financing resource for Rheinmetall in particular, who were planning to collaborate with the Erdoğan regime to manufacture tanks for the Turkish army and had modernized the German tanks purchased before, was Commerzbank loans.

Commerzbank’s collaboration with the Erdoğan regime through their partnerships in the weapons industry had come to public attention during the Turkish army’s invasion of Afrin as well. Radical German left had targeted the bank’s offices throughout the country, breaking windows and causing material damages.

COMMERZBANK GAVE 2.5 BILLION MORE IN JUNE

But despite protests by the German public, Commerzbank’s collaboration with the weapons industry and the Erdoğan regime continued to grow. Most recently, Commerzbank transferred 2.5 billion Euros to Turkey by late June.

In July, the Federal German Government led by Merkel formed new warm relationships with the Erdoğan regime and softened the travel warning against Turkey, as well as softening the travel warning against Turkey and lifting the restrictions in loan and investment guarantees for German companies.

In 2017 as there were crises and high tensions with the Erdoğan regime, the loan and investment guarantees were limited to 1.5 billion Euros. But last year this limitation was not heeded and loans totaled at 1.57 billion Euros. With the Merkel government officially lifting the for-show sanctions, both German financial institutions and the weapons industry continued their strong collaboration with the Ankara regime where they left off.