Coalition talks between Turkey’s ruling Justice and Development Party (AKP) and the main opposition Republican People’s Party (CHP) yielded no results today, a senior CHP official told Reuters, potentially setting the stage for a snap election later this year.
“The outcome is negative,” the official said by phone, after a 1.5-hour meeting in Ankara between Prime Minister Ahmet Davutoğlu (l) and CHP leader Kemal Kılıçdaroğlu (r), which followed weeks of talks between their two parties.
The official gave no further details. Davutoğlu and the CHP were expected to make separate press statements later.
The lira weakened to a record low of 2.81 to the dollar on the news. Many investors had hoped for a grand coalition between the AKP and the pro-business, centre-left CHP, and fear another election will prolong uncertainty.
The AKP failed to win a parliamentary majority in an election on 7th June, leaving it unable to govern alone for the first time since it came to power in 2002.
Davutoğlu has until 23rd August to find a junior coalition partner or President Tayyip Erdoğan could call a snap election.
The AKP is now expected to hold talks with the nationalist opposition MHP, which has hinted it could support a minority AKP government in the short term if it leads to a new election.