National flag carrier Turkish Airlines (THY) has signed three major agreements to enhance its pilot training quality with new simulator procurement and support sustainable aviation fuel production, its chair said Wednesday.

The deals were signed on the sidelines of the ‌Farnborough Airshow, the premier gathering of the aerospace and defense industry.

Chair Murat Şeker said the airline had concluded agreements with defense technology company Havelsan, Canadian Aviation Electronics (CAE) and the Sustainable Aviation Fuel Financing Alliance (SAFFA) Fund.

The contract with Havelsan covers eight full-flight simulators and four flight training devices, while the agreement with CAE includes seven full-flight simulators, including two optional units, and two flight training devices.

The orders, covering both narrow-body and wide-body aircraft types, are intended to strengthen the airline’s training infrastructure as its fleet expansion drives demand for more pilots, Şeker said in a post on LinkedIn.

He added that THY also joined the SAFFA Fund, an initiative established to expand sustainable aviation fuel (SAF) production capacity and support the aviation industry’s carbon reduction goals.

“With our long-term growth strategy, our sustainability-focused goals and our vision for supply chain security, we will further expand our investments in the future and transformation of the global aviation industry,” Şeker said.

Turkish Airlines has orders in place for nearly 420 aircraft, including Airbus and Boeing jets, with negotiations continuing for an additional 100 Boeing planes.

The company plans to expand its nonstop long-haul network by deploying ultra-long-range aircraft from late 2027, enabling direct flights to destinations in Australia and South America.

On Tuesday, Şeker said the carrier was also evaluating acquisition opportunities involving airlines, cargo operators and maintenance facilities, with Asia and South America emerging as likely regions for future investments.

Under its 2033 strategy, Turkish Airlines, which already serves more countries than almost any other carrier in the world, plans a major fleet replacement and expansion to around 800 aircraft. Its fleet included over 540 planes as of the end of May.

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German prosecutors searched offices at Deutsche Bank’s headquarters in Frankfurt on Wednesday as part of an investigation into alleged fraudulent tax transactions linked to the lender’s Postbank unit years earlier.

The bank confirmed that Duesseldorf prosecutors were at its office in the city, and that the probe related to transactions at its Postbank division between 2008 and 2010.

“Deutsche Bank is being searched as a third party in this matter and we are cooperating fully,” Deutsche Bank said, declining to comment further.

Duesseldorf ⁠prosecutors ⁠did not immediately respond to a request for comment.

Probe relates to ‘cum-cum’ trades

A person familiar with the matter told Reuters the search involved so-called cum-cum trades, confirming German media reports.

Such schemes involved trading in stocks of German companies around dividend payout days, which authorities say amounted to tax fraud.

The transactions ⁠flourished during the financial crisis, and authorities estimated they stripped state coffers of billions. A years-long crackdown has since sought to claw ​back the money.

The alleged roles of German financial ​firms in cum-cum trades, as well as in related cum-ex deals, are likely to cost the ⁠industry ‌around 7 billion euros ($8 ‌billion), German financial watchdog BaFin said last ⁠week, citing a survey.

It ‌marks the third time that prosecutors are known to have searched ​Deutsche Bank this year. ⁠A case earlier this year related ⁠to money laundering, and a second last week ⁠was related to its ​retail bank.

Deutsche Bank bought up Postbank, with its millions of clients and roots in the country’s postal system, in ⁠phases, starting ‌in 2008.

In ‌2023, Deutsche Bank’s years-long technology integration process with Postbank ⁠caused glitches and service lapses, resulting in ‌scrutiny by its regulator. A year later, legal issues over Deutsche’s takeover of Postbank ​pushed the bank to post a loss, ⁠breaking a long profit streak.

Ten former managers at Postbank have been named as suspects, with damages of 350 million euros to ⁠the German state coffers, Sueddeutsche Zeitung ​reported.

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Türkiye’s Mediterranean tourism hub Antalya has welcomed more than 6.5 million foreign visitors since the start of the year, as hotels approach full occupancy during the peak summer season.

The city, one of the world’s most visited holiday destinations, has attracted tourists from across the globe, with Russia, Germany and the United Kingdom remaining its largest source markets. The Ukrainian market has also shown growth compared with last year.

Hakan Saatçioğlu, head of the Professional Hotel Managers Association (POYD), said the sector had a slower-than-expected early booking period due to geopolitical tensions, including U.S. and Israeli strikes against Iran, but activity increased significantly from July.

Saatçioğlu said Antalya hosted 6.27 million foreign tourists in the first six months of last year, compared with 5.7 million in the same period this year.

However, arrivals exceeded 6.5 million by July 20, he said, adding that the figure could approach 8 million by the end of the month.

“We are slightly below last year’s level. Russia remains our largest market, as always. Germany is our second-largest market and the U.K. is third, followed by Poland, the Netherlands and Ukraine,” Saatçioğlu said.

Hotels near full capacity

Saatçioğlu said hotel occupancy rates have reached high levels, ranging between 90% and close to 100%.

“Occupancy rates have reached around 90% to 100%. Things are going well at the moment,” he said.

He added that domestic tourism has also gained momentum with the start of school holidays.

Future reservations from both foreign and domestic visitors remain strong, Saatçioğlu said, noting that July and August bookings are at similar levels to last year.

“Reservations are progressing very well. When we compare July and August bookings this year with last year, they are at the same levels,” he said.

Tourism season expected to extend

Saatçioğlu said reservations continue through the end of November and that many hotels could delay their seasonal closures again this year.

He noted that hotels extended operations into the winter period last year due to strong demand and said a similar trend is expected this year.

“The season is likely to extend. (U.N.-backed climate conference) COP31, which will be held in Antalya until Nov. 20, will bring strong reservations, especially for areas such as Kaleiçi, the city center, Lara and Belek,” he said.

Saatçioğlu added that leisure tourism bookings from abroad would likely shift toward areas such as Manavgat and Kemer, further supporting an extended tourism season.

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An autonomous agent powered by OpenAI’s advanced AI models went rogue during a security test last week and launched a hack that breached the infrastructure of a popular platform for programmers, the ChatGPT maker said on Tuesday.

In a blog post, OpenAI said it was testing the capabilities of ​some ⁠of its most advanced models in a controlled environment but that the agent managed to escape containment, reach the internet and break into AI startup Hugging Face to try to satisfy its testing goal.

The San Francisco firm said the breakout was “an unprecedented cyber incident, involving state-of-the-art cyber capabilities” and that the company was reinforcing its safeguards.

AI models that underpin tools like chatbots and image generators are known as agents when they act autonomously to carry out tasks in the real world.

As the technology quickly becomes more sophisticated, cybersecurity is in the spotlight given the risk of advanced AI finding weak points in existing software before humans do.

OpenAI said the incident involved a combination of models, including its recently launched GPT-5.6 Sol “and an even more capable pre-release model.”

Hugging Face, a platform used to host open-source large language models and datasets, caused a stir in the cybersecurity community when it said in a blog post last week that it had been the target of a hack that “was different from anything we had handled before” in that “it was driven, end to end, by an autonomous AI agent system.”

‘Mind-blowing’

In a post to the social media platform X, Hugging Face co-founder Clement Delangue said the ⁠company ⁠suspected the hack “might have come from a frontier lab, given the sophistication of the agent. Turns out it did!” He added: “It’s quite mind-blowing that all of this happened autonomously!”

OpenAI’s disclosure that its advanced models were responsible for the breach, despite having placed them in what it described as “a highly isolated environment,” will likely intensify disquiet over the power and risk of frontier models.

Representative Greg Casar, a Texas Democrat, said the incident was alarming.

“AI is developing extremely fast with no real regulations to keep us safe,” he said in a statement, calling for mandatory independent safety testing, mandatory disclosure of security incidents, ⁠and international cooperation “to keep people safe from absolute disaster.”

The Office of the National Cyber Director, the U.S. cyber defense agency CISA, and the U.S. National Security Agency did not immediately return messages seeking comment.

Katie Moussouris, chief executive of Luta Security, ​said that the incident was a harbinger of breaches to come, saying that today’s models were “like the world’s ​cleverest octopus escape artists, with unlimited prehensile arms and the ability to squeeze through anywhere.”

She said that “labs and government evaluators need to work on the ability to contain, monitor, and disclose ⁠to affected parties ‌when an AI ‌pulls another Houdini, ideally before it harms a third party. None exist ⁠today.”

GPT-5.6 and other cutting-edge models, including the Mythos series from OpenAI’s archrival Anthropic, have drawn concern over their potential to breach cybersecurity defenses.

Both U.S. firms had to temporarily withhold the general release of these latest technologies because of fears in Washington that they could help break into crucial infrastructure.

Matt Suiche, an engineer at agentic AI cybersecurity company Tolmo, ‌said the latest incident showed that the frontier models were “closing the gap with state-of-the-art attackers.”

But he said that the sorts ​of breaches outlined in OpenAI’s blog ⁠post were possible to carry out with technology that was available well beyond the ⁠walls of frontier research labs.

“This is what we’ve already seen internally, with our agents we already ⁠have results like this,” ​Suiche said. “We don’t even have to use the latest models.”

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Türkiye is establishing itself as a premier haven for Russian real estate investors, boasting robust infrastructure, advanced transport networks and a high quality of life, according to officials and executives.

Tanju Bilgiç, the Turkish ambassador to Moscow, said recent developments in the Gulf have made Türkiye an even stronger alternative investment hub thanks to its stability during turbulent times worldwide.

“Türkiye maintains its appeal for Russian nationals due to its climate, strong transportation network, reliable and transparent land registry system, advanced infrastructure, modern cities, high rental yield potential and cultural affinity,” he said.

Bilgiç was speaking during a recent webinar held by the Türkiye-Russia Business Council of the Foreign Economic Relations Board (DEIK).

He noted that Russians are the top foreign buyers of residential properties in Türkiye, adding that Turkish TV series have played a role in boosting this interest.

The ambassador said Russian investors’ interest could be further increased if Türkiye’s investment opportunities were promoted more strongly in the Russian market.

Izzet Ekmekçibaşı, chair of the Türkiye-Russia Business Council of DEIK, said geopolitical tensions around the Strait of Hormuz have intensified the need for stable investment environments, prompting investors to turn their attention to Türkiye’s real estate market.

Neşecan Çekici, chair of the Real Estate Investors’ Association (GYODER), said investors are more focused on trust and legal certainty than on investment returns, noting that bilateral cooperation between Türkiye and Russia should expand to include sectors such as logistics, health care, data centers and urban renewal.

Zafer Baysal, a board member of both the Housing Developers’ and Investors’ Association (KONUTDER) and GYODER, said foreign investors are no longer making investment decisions primarily to obtain citizenship. Instead, they are seeking refuge from global uncertainty and prioritizing prime locations, liquidity, and long-term security.

Baysal said Türkiye serves as a critical gateway to the Mediterranean while bridging Asia and Europe, offering unique investment opportunities and a high standard of living.

Ekaterina Avdeeva, chair of the Real Estate Investments Commission at the Russian Chamber of Commerce, said Russian investor interest in Türkiye has surged 20% since the beginning of the year.

Avdeeva said Russian investors continue to favor destinations such as Istanbul, Antalya, Mersin, and Bodrum, reflecting sustained demand for both major cities and tourist destinations.

She noted that modern investors prioritize long-term capital security and transparency over price advantages.

She added that Türkiye meets foreign investors’ expectations through its legal framework, investment environment and transportation infrastructure, making it an attractive destination amid global market volatility.

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Fitch Ratings said on Tuesday Türkiye’s economy has remained resilient despite heightened geopolitical uncertainty, with sustained improvements in international reserves remaining a key factor for any future sovereign credit rating upgrade.

The comments from Erich Arispe Morales, senior director at Fitch Ratings, came after the agency last Friday affirmed Türkiye’s long-term foreign currency sovereign rating at “BB-” with a stable outlook.

Morales said Fitch’s latest assessment was consistent with an unscheduled review published in April amid the U.S.-Israeli war on Iran, which prompted the agency to reassess risks facing the Turkish economy.

Supply shocks mainly due to the fallout from the Iran war had pushed Türkiye’s headline inflation higher in April and May, but June signaled the return of a downward trend.

While Türkiye’s international reserves declined during the conflict, they have since partially recovered, though they remain below pre-war levels.

“International reserves have recovered, but they are still below their pre-war levels. We have also seen inflationary pressures ease somewhat,” Morales told Anadolu Agency (AA), according to the Turkish transcript of his remarks.

“However, geopolitical uncertainty remains elevated, and this could have implications not only for Türkiye but for other emerging markets through inflation and external balances,” he added.

Morales said the conflict continued to create significant political uncertainty across the region but noted that Türkiye’s policy framework had helped preserve gains in inflation expectations despite higher uncertainty and weaker reserves.

Morales also pointed to stable domestic confidence in the Turkish lira, saying positive dollarization remained broadly steady at around 38%.

“The message from the central bank and the economic authorities is that they remain committed to the program aimed at bringing inflation down sustainably. That is the important point,” he said.

“Despite ongoing global uncertainty, we think the Turkish economy is relatively resilient. Over the longer term, Türkiye has demonstrated resilience to macroeconomic imbalances compared with many other economies.”

Reserves remain key to rating outlook

Morales said inflation remained high but continued to show signs of easing, adding that bringing it down from above 30% would take time and require sustained policy credibility.

Annual inflation eased to 32.1% last month from 32.6% in May. The decline had stalled following a sharp rise in energy prices caused by the war launched by the U.S. and Israel against Iran on Feb. 28.

On a monthly basis, consumer prices rose 0.99% in June, slowing from 1.7% in May.

The Central Bank of the Republic of Türkiye (CBRT) raised its end-2026 inflation forecast to 24% from 16% in its quarterly inflation report published in mid-May, saying the short-term inflationary effects of the Iran war would remain “pronounced.”

The bank projects inflation falling to 15% at the end of 2027 and 9% at the end of 2028.

Morales said Türkiye’s healthy banking sector, continued access to external financing and sufficiently high real interest rates had supported demand for lira-denominated assets and helped limit dollarization.

“Access to financing resulting from policy adjustments and the strength of the banking sector are among the factors that provide Türkiye with resilience against external shocks,” he said.

Morales said Fitch would continue to closely monitor Türkiye’s international reserves, describing durable reserve accumulation as a critical condition for a potential sovereign rating upgrade.

“Given Türkiye’s relatively high external financing needs, it is very important that improvements in reserves prove to be lasting,” he said. “We expect Türkiye’s reserves to be somewhat higher by the end of the year than current levels, but the sustainability of this improvement will be the decisive factor.”

He added that maintaining tight macroeconomic policies capable of delivering a sustained decline in inflation and reducing balance-of-payments risks would also be necessary to support a future upgrade.

“I think this is essential for maintaining confidence in an environment where external shocks and political uncertainties may arise,” he noted.

Commenting on monetary policy, Morales said Türkiye’s central bank had sought to provide markets with a clear framework for assessing risks, which he described as important for policy predictability.

He said Fitch expects the central bank to begin easing monetary policy later this year, assuming geopolitical risks recede and energy prices moderate.

“Our forecast is that the central bank will cut its policy rate by a total of 200 basis points, bringing it to 35% by the end of 2026,” Morales said.

Last month, the CBRT held its one-week repo rate steady for a third consecutive meeting as it monitored ‌the impact of the Iran war.

Since the conflict started, the bank has halted an easing cycle that began in late 2024 and taken other liquidity steps that pushed the lira overnight rate up to the ⁠40% limit.

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