ABSTRACT
This chapter traces the evolving nature of the relationship between commercial banks and individuals/households and highlight four of its characteristics in Turkey. First, in the 2000s there has been significant growth in the retail activities of commercial banks, together with substantial growth in household debt. In fact it has been noted that household borrowing has been central for sustaining consumption power and economic growth in Turkey throughout the 2000s. Second, rising household debt and a growing reliance on consumer credit have not been class-neutral processes. Third, rising household reliance on credit has been partly underpinned by the effects of the short-term capital-led growth model and the associated neoliberal policies on the Turkish labour market. Fourth, despite growth in retail banking activities of commercial banks, and rising household debt in Turkey during the 2000s, there are prominent social and spatial inequalities in access to and use of financial services across Turkey.
