Şimşek rules out rerun elections in a bid to assure foreign investors

Turkish Deputy Prime Minister Mehmet Şimşek assured investors in London during a meeting in late May that there would not be another election if the ruling Justice and Development Party (AKP) failed to win a majority in the parliament in June 24 elections, columnist Mehmet Acet said in pro-government Yeni Şafak on Thursday.

According to Acet, there are speculations both in Turkey and in London that Turkey will go to the polls once again, if AKP and it Nationalist Movement Party (MHP) ally fail to win enough seats to form majority in the parliament.

Acet said this would be the worst-case scenario, as economic problems coupled with political instability might force the country to make a deal with the IMF. 

Anonymous government sources told Acet that credit rating agencies, not investors, were behind politically motivated financial attacks against Turkey. 

Such politically motivated actors are the ones who have raised the possibility of fresh elections and would like to see a new agreement between Turkey and the IMF, such as in other emerging markets, Acet said.

Acet added that investors in London had asked Şimşek in late May about the possibility of new elections, during a visit to reassure markets after the lira fell to record lows.

“Parliament will not get any results, even if it vetoes the budget to be prepared by the president. The president will be able to use the previous budget adjusted according to inflation,” Acet quoted Şimşek as saying in London to investors.

According to Acet, this answer was satisfactory for the investors and they were convinced that no new elections would be held in Turkey following June 24.