1 day Ago By [email protected] (MENAFN)
( MENAFN - AzerNews) By News Centre Turkiye's Minister of Treasury and Finance, Mehmet Şimşek,stated that as of December, Turkiye has met international standardsfor reserve adequacy. "Last year, reserves were a major concern, but they are nolonger an issue," he said. Speaking at the IICEC conference organized by SabancıUniversity's Istanbul International Center for energy and Climate(IICEC), Minister Şimşek discussed Turkiye's current accountdeficit and reserve balances.
He noted, "Last year, reserves were amajor concern, but they are no longer an issue. Turkiye's netreserves have reached approximately $50 billion. This is asignificant figure, with the peak being $70 billion in 2011.
At thebeginning of 2018, it was around $38 billion. We will continue onour path with healthy, rational, and correct policies. As ofDecember, we have achieved reserve adequacy according tointernational standards.
" Şimşek emphasized the continuation of rational policies in theeconomy, stating, "Under the program, we have reduced the CurrencyProtected Deposit (KKM) accounts by $110 billion, and this exitwill continue." He further mentioned that there are no issues in accessingexternal financing: "Turkiye has a serious inflation problem and acost of living issue, but the main goal of this program is toensure price stability. For this, monetary policy, fiscal policy,structural policies, income policies, and policies on managed anddirected prices will all support disinflation in 2025.
You may sayinflation is high in 2024, which is true, but at the beginning ofthe year, inflation was at 65%. If we close the year at 44-45%, itwill be a nearly 20-point decrease, and this is not a bad decline."Şimşek also noted that the rigidity in service inflation isbeginning to resolve and the process of reducing inflation isongoing.
He added, "We value the expectations of the market,households, and the real sector. Household expectations are clearlyhigh, but there is a decline. We ask the real sector what inflationwill be in 12 months.
They say '48%,' and the year-end is already44%. It is significant that the real sector thinks this way." MENAFN26122024000195011045ID1109033242 Legal Disclaimer: MENAFN provides the information “as is” without warranty of any kind.
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