Thursday, 8 October 2026 ··

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Geopolitics · Europe · Sweden · Türkiye · the economy

Türkiye

Izmir's mayor switches to Erdoğan's AK Party

Izmir's mayor switches to Erdoğan's AK Party

Cemil Tugay, mayor of Türkiye's third-largest city since 2024, left the opposition CHP in June and formally joined the ruling AK Party this week, on 7 October. President Erdoğan handed him his party badge in person, calling the AK Party a safe address for those tired of pressure from party bosses. The switch gives the ruling party a foothold in a city the CHP had governed for two decades, and deepens the opposition's split after its leadership crisis earlier this year.

Türkiye starts repaying investors caught in fund scandal

Türkiye starts repaying investors caught in fund scandal

About 456,000 investors are to be repaid after 131 investment funds were ordered liquidated over suspected price manipulation in thinly traded stocks. Interim payments of up to 1 million lira, roughly $20,300, per investor per fund start Thursday for the smallest savers, funded from the funds' own assets with no state guarantee. President Erdoğan said capital markets would be "cleansed of greedy parasites," as the repayment process got under way.

Inflation falls below 30 percent for first time in almost five years, but central bank stays cautious

Inflation falls below 30 percent for first time in almost five years, but central bank stays cautious

Türkiye's annual inflation fell to 29.73 percent in September, below 30 percent for the first time in almost five years, down from 31.51 percent in August. Central bank governor Fatih Karahan said weaker domestic demand is driving the decline, but that inflation expectations have not improved as much as the bank forecast, which is why it is staying cautious. The benchmark rate remains at 37 percent, and analysts expect a possible cut at the October 22 meeting.

Erdoğan and Putin discuss Black Sea security by phone

Erdoğan and Putin discuss Black Sea security by phone

President Erdoğan told Putin in a phone call that Türkiye remains ready to support efforts to set up direct contacts between Moscow and Kyiv, and stressed the importance of keeping Black Sea shipping safe. The call came the same week drone attacks hit shipping off Romania and Bulgaria, killing sailors and leaving others missing, attacks Ukraine blames on Russia.

Europe

France's PM offers diesel relief and a reform plan as school-protest arrests pass 6,500

France's PM offers diesel relief and a reform plan as school-protest arrests pass 6,500

Prime Minister Sébastien Lecornu told the nation in a televised address that the state is listening to secondary school students angry over teacher shortages, crumbling buildings and the Parcoursup university admissions system. More than 6,500 people, mostly minors, have been arrested since the protests began, and allegations of police violence have grown after a 15-year-old was badly hurt by a stun grenade in Lens, prompting the interior minister to halt their use against the students. Lecornu promised a government response plan by the end of October and said diesel stocks would be released to bring fuel prices back down from above 2.36 euros a litre.

Black Sea drone attacks expose gaps in Europe's defences

Black Sea drone attacks expose gaps in Europe's defences

After a Turkish-owned cargo ship was sunk off Romania on October 5, killing two, and a ship was sunk and another damaged off Bulgaria the next day, leaving ten sailors missing there, a leaked EU defence readiness report points to serious gaps in naval munitions, air defence and protection of seabed infrastructure. The Commission has condemned both attacks and cites 65 projects worth 200 million euros under the EU's Black Sea Security Strategy, while Romania and Bulgaria are building a joint maritime security hub in the ports of Constanța and Varna. An expert at the European Policy Centre says the region lacks sensors and radar above all, not just strategy papers.

EU and China open trade talks in Beijing amid rising tensions

EU and China open trade talks in Beijing amid rising tensions

EU trade commissioner Maroš Šefčovič began two days of talks in Beijing on Thursday with China's commerce minister Wang Wentao, seeking "tangible results" EU leaders can weigh at their Brussels summit later this month. The EU's trade deficit with China is above one billion euros a day, Beijing has recently tightened export curbs on rare earths, and China has rejected an EU request for voluntary limits on hybrid car exports. Macron and Merz have pushed for a new trade tool that could be activated quickly against countries like China; Beijing says it will meet any such move with a "resolute response".

The World

WHO presses Russia for more information after Siberian lab worker's death

WHO presses Russia for more information after Siberian lab worker's death

A 28-year-old laboratory worker at an anti-plague research institute in Irkutsk, Siberia, died last week of pneumonia Russian authorities call undetermined in cause, and about 200 of her contacts were quarantined, most since released. WHO director-general Tedros Adhanom Ghebreyesus has asked Moscow to share information faster, including about unverified media reports of a second worker with similar symptoms. The Kremlin says it followed proper reporting procedures and dismisses most coverage as false, while the United States has sent a formal request for more detail.

Thousands march in Rio against Flávio Bolsonaro ahead of runoff

Thousands march in Rio against Flávio Bolsonaro ahead of runoff

Student-led crowds marched through central Rio de Janeiro against presidential candidate Flávio Bolsonaro, who topped the first round with 47 percent against President Lula's 45. Protesters carried signs reading "Dictatorship never again" and "No to the father, no to the son," a reference to Flávio's father Jair Bolsonaro, who is serving a 27-year sentence for trying to overturn his 2022 election defeat. The two face each other in an October 25 runoff that protesters and analysts say will test whether Brazil follows other Latin American states to the right.

Sweden

Centre Party under pressure ahead of Friday's red-green summit

Centre Party under pressure ahead of Friday's red-green summit

Centre Party leader Elisabeth Thand Ringqvist faces internal pressure not to be blamed for stalling government talks, even as some in her party admit the Left Party will likely be needed in any cooperation. The party's sharpest red line remains the Sweden Democrats, which it says stays completely closed off, while the dispute over Left Party ministers is unresolved ahead of Friday's summit in Lidingö. Social Democrat leader Magdalena Andersson, who holds the mandate to explore forming a government, has not said how she will bridge the gap.

Swedish inflation doubles, pointing to a November rate hike

Swedish inflation doubles, pointing to a November rate hike

Sweden's CPIF inflation rate more than doubled in September, from 0.7 to 1.5 percent, driven by spring supply disruptions linked to the Middle East and Ukraine conflicts. Economists now expect the Riksbank to raise its key rate from 1.75 percent in November, with markets pricing in as many as five hikes to 3 percent by 2028. For a 2 million kronor mortgage, a 0.75 percentage point rise would add about 15,000 kronor a year in interest.

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