Measuring the Financial Anxiety Index

Yıl 2025, Cilt: 75 Sayı: 2, 288 - 309, 15.01.2026

Samet Gürsoy , Mert Baran Tunçel , Serdar Yaman , İbrahim Halil Ekşi

https://doi.org/10.26650/ISTJECON2025-1512864

https://izlik.org/JA62CX35HY

Öz

This paper presents a new indicator that assesses Turkiye’s financial stability/instability from 2008 to 2023 based on six key variables (Geopolitical Risk, Exchange Rate, Unemployment Rate, Inflation Rate, Credit Default Swap, and BIST 100 index). The indicator in question, which we call the Financial Anxiety Index (FAI), includes these six critical variables, which have not been analysed together before, and provides detailed information about the market stability in Turkiye. Each variable represents a different dimension affecting financial stability and is included in a seven-stage methodological process with different weights to calculate the FAI. The FAI describes periods of negative financial sensitivity, such as increasing unemployment, rising inflation, decline in stock market performance, depreciation of the national currency against the US dollar, and increase in geopolitical risks, while the stiuations of positive financial sensitivity are perceived as the opposite of these conditions.

Anahtar Kelimeler

Financial Anxiety Index , Financial Sensitivity , Risk Assessment

Kaynakça

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