Jun 07 2018

Turkey ‘global economic legend’ despite sabotage efforts – Erdoğan

Turkey has become a global economic legend and a model for the world despite sabotage efforts, President Recep Tayyip Erdoğan said.

“In recent days sabotage has once again been attempted with a game on interest rates and exchange rates,” Erdoğan told businessmen in Ankara late on Wednesday, according to news portal Sputnik. But when you look at Turkey’s macro-economic numbers, you see that it is ahead of most developed countries, let alone developing nations, he said.

Credit ratings agencies and other actors are criticizing Turkey’s economic performance thinking they can bring down the government and the president in elections on June 24, but they won’t be successful and Turkey’s economy will rise even faster after the vote, Erdoğan said.

The Turkish president repeated a call for Turkish citizens to take any money that they are stashing at home and invest it in banks and other vehicles to help economic growth.

Economists and investors are calling on the central bank to do more to tackle inflation, which accelerated to 12.2 percent in May, and Turkey’s widening current account deficit with more rate increases after a hike of 300 basis points to 16.5 percent last month. Erdoğan opposes higher interest rates saying they are inflationary and part of a plot to curb Turkey’s growth efforts.

Turkey’s central bank is due to decide on the level of interest rates at a meeting on Thursday.