the beginnings of ottoman-german partnership - Bilkent University

Germany realized that development of the Anatolian railroad without the
support of its European neighbors would not only force it to invest an inordinate
amount of money, but also would lead to constant European opposition to all
German economic and political plans elsewhere in the world. The Deutsche Bank,
therefore, tried to interest British, French, and Russian investors to join the project,
but only with minority status. Instead, in 1900, Russia forced Turkey to accept the
Black Sea Agreement, which dictated that only Russian citizens should be granted
railway concessions in Northern Anatolia and Eastern Anatolia. The British and
French governments also refused to join in the project so long as it was dominated by
Germany. As a result, the Germans began the construction of the first section of the
railway in 1904 without the financial aid or political support of any other foreign
government, imposing new strains on Germany and the Ottoman Empire’s relations
with all the major European powers. 43 This situation accelerated the rivalry of
Germany and Great Britain on the international level, and was a major reason that
Britain concluded an alliance with France in 1904, and Russia in 1907, thus forming
the Triple Entente, starting the series of events that culminated in the outbreak of the
First World War.
The Baghdad Railroad Project was one of the most important elements of
the German economic influence in the Ottoman Empire. Throughout Abdulhamid’s
reign, German economic influence in the Ottoman Empire increased substantially.
Between 1890 and 1910, Germany’s share in Turkey’s trade volume increased from
6 per cent to 21 percent. Ottoman exports to Germany rose from a value of 766,000
to 3,203,000 pounds sterling during the same years. German exports to the Ottoman
Empire rose from 1,970,000 in 1890 to 5,778,000 pounds in 1910. The holdings of
43 Bury, p.116
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