Treasury and Finance Minister Noureddine Al-Nabati said on Wednesday that Turkey will stick to lower interest rates policyNucleus of The government’s economic policies says will be followed in issue of a win in the critical elections this week.
the government Preferred lower borrowing costs as part of Economical program a statement in 2021 to boost exports, production, investment and creativity new Careers. President Recep Tayyip Erdogan insisted on high borrowing costs cause High inflation, and the rejection of economic thinking that suggests raising interest rates helps rein in that price He increases.
Al-Nabati’s remarks came against Analysts expect that Türkiye will reverse its economic policies after the scheduled presidential and parliamentary elections for May 14 – considered the most important vote in a century ago history of Republic.
“Mr president, who appearance set of policies made A promise to the voters. and that is in the framework that interest rates should Al-Nabati said in an interview: with private The announcer is Haberturk.
“we will move forward with structure in According with these policies minister He said he was from the southern province of Mersin, where he was nominated by the ruling Justice and Development Party for Parliament.
the government says that it program Ultimately, it aims to reduce inflation by reversing the country’s chronic condition current account deficit into surplus.
mitigating direction last year saw the central bank of Republic of Türkiye Cut (CBRT) key oneRepo week rate by 500 basis points To counter the economic slowdown, before stabilizing it at 9%. in December and January. The cuts were justified by saying financial Terms must remain supportive to maintain growth in Industrial production.
the bank More standard cut policy rate by 50 basis points to 8.5% after the catastrophic earthquakes of 6 February support the recovery of the real section. He Said last which month recovery in devastated southeast region It was stronger than expected. He. She left the key policy without change in March and April.
in the pattern with Turkish economy model, forecast of an interest rate “The increase has almost decreased,” Nabati said. moving in Line with financial policies and for usan interest rate Height out of question, that too clear. “
Erdogan has repeatedly said that interest rates will continue to fall as long as he does in power she said goodbye for Lower borrowing costs. He said the government’s new economic model will produce results in 2023.
a coalition of six Turkish opposition parties vowed to roll back current Economic policies should they win Next vote.
Nabati last Week said no one should expect a postCentral election scenario bank That would increase rates to above or near current The main inflation, which he described as the largest in Türkiye problem.
Stubborn annual inflation hit 24-year summit last October but toned like price moderate increases over the last six Months.
“everyone problem Al-Nabati said: Here is inflation decline in Inflation will continue in Next period “.
according to official consumer data price The CPI fell to 43.68% annually in April, a significant decline of 85.51% in October. He fell in December and touched 50.51% by March, with favorable base effect The Turkish lira is relatively stable.
Curb price Increases were the top priority for the government Before of Next vote.
Erdoğan emphasized that inflation was high, but highlighted that it was significantly low in recent months and will continue to do so.
confirmed on Tuesday that he would not allow citizens to be “crushed” under the weight of inflation, he said announced 45% increase in wages of state workers. he also He indicated that the minimum salary would also be raised of July. will be a sign second increase this yearafter an increase of 55% in January to 8,500 TL ($434.7 USD)
In addition to higher wages, the government It sought to protect families through various Other measures, show debt Exemption and enhancement of pensions for millions. He. She also Put forward energy price cutbacks for families and industries, in Plus an arrangement allowing for early retirement for over 2 million workers.
