Italy and Turkey as Mediterranean Powers: Seeking Joint Partnerships in the Neighbourhood

This paper first analyses the general economic and political complementarities between Italy and Turkey in the Mediterranean in the areas of trade, energy, and security, before turning to specific opportunities and challenges presented by the Arab awakening and the Eurozone crisis. It then examines the prospects for joint Turkish-Italian partnerships in the Mediterranean, considering the economic characteristics of both countries. It concludes by arguing that the interests of both are best be served through re-energized cooperation, particularly in areas such as value chain enhancement efforts in selected industries and countries, bilateral design and a R&D foundation, joint funds for venture capital and private equity, and joint initiatives in selected policy areas.

Paper prepared within the framework of the IX Ita-Turk Forum, Rome, 12-13 November 2012.