THE POLITICAL AND ECONOMIC DIMENSIONS OF THE CANAL ISTANBUL PROJECT

Istanbul is an immemorial trade hub whose geographical location has earned great economic and political significance. To further strengthen this value, the Turkish government is nurturing an ambition for a megaproject, the Canal Istanbul Project, which will significantly change maritime activities in the region. Expectedly, this project has generated debates both locally and globally. One of these debates concerns the legal implications of the project in the context of the Montreux Convention on the Straits and the restrictions it imposes. The Canal Istanbul project is undoubtedly of great significance. It promises to overhaul infrastructure in the region and create thousands of jobs during its preparation and construction stages. It will also increase Istanbul’s significance as a trade hub. However, these benefits are paralleled by several potential repercussions. Moreover, the project raises questions, especially concerning its financing and overall costs. Thus, various opinions and concerns have been raised in different circles. Using a literature review method, this paper examines the political and economic aspects of the Canal Istanbul Project. It discusses in detail the potential effects of the project on Turkey’s geopolitical position, its place in international relations, and its economic structure. In addition, by shedding light on the current debates regarding the project, it aims to provide a comprehensive assessment of the opportunities and possible risks that Canal Istanbul will bring.