Nabati Inflation Statement

Treasury and Finance Minister Nureddin Nebati speaking on the show titled “Turkey’s Summit of the Century and Currency Negotiations” 100 years ago, just as an all-out struggle for independence was being waged with every member of the nation , the Century vision of Turkey announced by President Recep Tayyip Erdoğan is essentially the future of the country. He said that he has struggled.

“We grew by 6.2 PERCENT”

Emphasizing that the economy continues to strengthen by positively distinguishing itself from other countries in almost all macro indicators, even in an era of epidemics, war, food and energy crises, recession expectations, climate crisis and geopolitical tensions, Nebati said that Turkey will be in the first 3 months of 2022. It stated that it managed to grow 6.2 percent in the quarter, leaving many developed countries behind.

“WHO IS THE MINISTER? EXPERTS”

Stating that they succeeded in increasing the continuous growth of investments in machinery and equipment over 3 years, Nebati said that the investment-to-GDP ratio increased from 17.1 percent in 2002 to 25.2 percent in 2021. Nebati said : “Given these developments, we say that our national income goes to investment, not interest. Some people are comparing the investment and interest expenses of the budget. He goes and miscalculates it too. Not even knowing or ignorant that investment spending in the budget consists of capital expenditures and capital transfers, it only considers capital expenditures. Who is the minister? Experts.” he said.

“SUCCESS IS COVERED”

He highlighted the main achievements by pointing out that they allocate much more resources to education, health and transport thanks to the reduction in the share of interest expenses in the budget from 43 percent in 2002 to 10 percent today, and that only a part of The investment spending in the budget is lower than the interest spending. Stating that they are trying to cover it up, Nebati said:

*These are, when we put into practice the Participation Accounts and Protected Deposit in Currency to strengthen financial stability, ‘You blew up the Treasury, you destroyed financial discipline.’ they had told

* Now that we look back on 1 year accounting, alhamdulillah, our budget has achieved one of the best results in recent years. The year 2022, let’s talk. We will further reduce the interest rate, the share of national income in the budget, with the policies we implement.

*Again, we say that the savings of our citizens must be invested in an environment of low interest rates and the welfare of our country must increase even more, while the opposition continues to act as a spokesperson for interest lobbies. This is the real difference between us and the opposition.

*With the effect of these policies that we have implemented, the participation of industry’s value added in GDP has increased significantly in the last period. Thanks to increased growth, investment and exports, we also achieved great success in employment.

*The year is 2022. We are talking about 2022. The number of employed people in our country has reached its historical maximum with 31.6 million people. We are talking about 2022, one of the most difficult years of the last 100 years, a year in which the war affected the entire world, while the signs of the epidemic and subsequent recovery began to appear.

* It is not possible to sit and talk like this, ranting like that. Our records in exports do not stop either. Today, our January exports increased by 10.4 percent compared to the same period of the previous year and reached the highest figure for January with 19.4 billion dollars. Thus, our annualized exports have increased to 256 billion dollars.

“WE WILL CONTINUE”

Explaining that they managed to surpass historical peaks in tourism despite the Russia-Ukraine War, Nebati said that with tourism revenue of $46.3 billion in 2022, they performed above the golden year of tourism in 2019. He said they will continue to conduct the potential of the country.

EXPLANATION OF INFLATION

Minister Nebati continued as follows:

*Each stage of these achievements of our country has been built and built by the strong and visionary leadership of our President Recep Tayyip Erdoğan. No one can claim otherwise.

*Essentially, the Turkish economic model is also the guarantee of our strong future, namely the Turkish century, which we continue to build with inclusive and production-oriented growth. As we continue to advance investment, employment, production and export together, we will take our country further on each of these paths together.

*On the other hand, although we spent 2022 with high inflation in the shadow of the global tremors, it began to drop in November with the measures we took and the improvement in expectations. This trend also continued in December.

*We broke his neck in November and his back in December. This is in order. By fighting together with our nation and all of our players in the economy, we managed to reverse the upward trend in inflation.

I expect inflation to drop further. We continue to implement effective support and incentive programs within the scope of the Turkish economic model.

*We continue to support all those who produce, create employment and add value to our country, from our youth, women, merchants, farmers, industrialists to tourism professionals.

“OUR CREDIT IS AVAILABLE”

Stating that they are very careful to direct all resources to productive areas with their selective credit policies, Nebati said that 33 percent of the increase in trade credits in 2022 came from credits going to the manufacturing industry and 20 percent of credits for the manufacturing industry. business sector He pointed out that they have steadily increased their collateral opportunities, which greatly facilitates their access, and that they have recently offered a loan amount of TL 250 billion with 14 KGF packages, which give priority to companies that have difficulties in accessing to loans. due to collateral problems, and that they have never left anyone behind.

FINANCIAL GUARANTEE FUND

Minister Nebati, for his part, pointed out that the decree of the Participatory Financing Guarantee Fund, which has just been announced, was published, and affirmed that they are ready to meet all kinds of demands from farmers, industrialists and merchants.

Nebati indicated that they also sent to Parliament the Bill, which provides ease of payment to public obligations, taking into account the needs of citizens and the economy, and that said Bill, which was accepted by the Plan Committee and Budget, will be discussed in the General Assembly.

“WE EXPECT 90 PERCENT”

Noting that citizens can pay their debts structured in 48 installments in 4 years and monthly installments, Nebati stated that they maintain the long payment term, but also bring advantages to those who want to pay in a shorter time.

*If structured debts are prepaid, we waive 90 percent of the Home PPI amount we’ve already calculated using small rates. If the restructured debt is an administrative penalty, we also discount 25 percent of the original account receivable.

* In the offer we also include the rules that allow the increase of the base and the correction of the registers of shares, cash and accounts receivable of the partners. With this study, one of the most important regulations is that we erase the debts of our citizens, which do not exceed 2 thousand lira, regardless of the type of debt they have with our tax offices, such as taxes, fines, interest.

*No need for any app. Although the world economy is undergoing great changes and transformations, we continue to prepare our country for the Turkish century in all aspects.

ISTANBUL FINANCIAL CENTER

Stating that they have made legal arrangements regarding the Istanbul Financial Center, Nebati conveyed the importance of the center and continued his words as follows;

*A financial center worthy of the Turkish century and Istanbul. We are also turning IFC into a Fintech hub by establishing Istanbul Finans Teknoloji AŞ. In the near future, we will witness together that it will become a regional base of finance, trade and technology with the interest of domestic and foreign investors.

*Whoever is today will see that they have made a good investment because it is located in a magnificent center in the next period. We continue our efforts to make Istanbul a hub in the field of crowdfunding and to ensure that the crowdfunding sector continues its development without interruption.

* As the Ministry of Treasury and Finance, we will participate in the Participation Financial Bond Company, which will be established within this scope, with a 4 percent stake. On the other hand, we continue to produce digital solutions for traditional investment instruments. In particular, our individual investors received the issuance of the Gold Certificate by our Mint with great interest. (AA)