Turkey's leading business group welcomes new economic measures

ISTANBUL - Anadolu Agency

Measures taken by the Turkish government up to now have been “exceptionally positive,” head of the Turkish Industry and Business Association (TÜSİAD) said on Dec. 26.

Erol Bilecik said difficulties due to the speculative attacks on the government in August were overcome thanks to incentives.

“The business circle is satisfied with the incentives provided by the government,” Bilecik said.

TÜSİAD foresees the Turkish economy to grow 1 percent next year and the inflation rate to hover around 17 percent, he added.

Turkey’s annual inflation was 21.62 percent in November, according to the latest data from the country’s statistical office.

As noted in Turkey’s new economic program announced in September, the country’s inflation rate target is 20.8 percent this year, 15.9 percent next year, 9.8 percent in 2020, and 6.0 percent in 2021.

The Turkish economy expanded by 1.6 percent year-on-year in the third quarter, TÜİK revealed on Dec. 10.

The government aims to reach economic growth rate of 2.3 percent next year, 3.5 percent in 2020 and 5 percent by 2021 under the new economic program.

The country is in a rapid recovery process in its economy, President Recep Tayyip Erdoğan said on Dec. 25, pledging to alleviate Turkey to 12th largest economy in the world in terms of purchasing power parity (PPP) in 2019, noting that it is currently the world’s 13th largest economy.

As of the new year, the government will make a 10 percent discount on household electricity, and the same rate will apply for natural gas for both households and small to mid-sized enterprises, Erdoğan also announced.

Turkey will continue to support the business world in terms of employment and extend regional employment incentives, he added.