Jun 06 2018

Erdoğan win needed to avert crisis in Europe – adviser

Turkish President Recep Tayyip Erdoğan should be re-elected on June 24 to avert a financial crisis and refugee problem that could have serious ramifications for Europe and the global economy, said Cemil Ertem, senior economic adviser to Erdoğan.

“Their (Western economies’) primary goal in Turkey is to prevent Erdoğan from winning the elections and even if he wins, make him less powerful,” Ertem said in his regular column for Daily Sabah newspaper.

“Clearly, they are conducting all kinds of operations to this end. However, a government not ruled by Erdoğan will lead to a crisis that would spread well beyond Turkey's borders. This would mean the deepening of the crises in the EU and the U.K., while the EU and Western world, especially Germany, would face a bitter refugee problem.”

An Erdoğan win would guarantee economic stability in Turkey, not cause further uncertainty, as Western observers maintain, because there is no ambiguity in Turkey's monetary or fiscal policies, Ertem said.

Meanwhile operations against Turkey continue, including statements by ratings agencies Fitch and Moody’s on Friday, which warned about the nation’s banks and economic policy, he said.

But it is the monetary policy and banking systems of the West that are weak – including those in Europe, whose banks need profits in Turkey to stay out of the red, Ertem said.

While Turkey’s debt levels are low by global standards, the Erdoğan “naysayers” are talking up an external debt crisis in Turkey, which will harm them the most, he said.

“The West is on the brink of a new crisis,” Ertem said. “Global capital only has a few safe havens, one being Turkey, for investments and hot money. Therefore, the best option is a strong Erdoğan-run government for the stability of not only Turkey, but also the global economy.”