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Published On: Wed, Sep 23rd, 2020

Babacan makes statement about Turkey’s economy: These are still good days

Ali BABACAN, leader of DEVA Party (and former Deputy PM in AK Party governments) has criticized the government’s economic policies; “Monetary policy is wrong because the Central Bank is not independent. These are good days.”

Turkey cannot be governed by decisions of a single person

This is not a small island country, if it were the president could control it. However, this is a very large country and it cannot be governed by one man, a single decision-maker. Turkey is too big a country to be governed by the decisions of one person. Since the transition to the “presidential system of government”, the country has been impoverished. Last year, Turkey’s growth rate was 0.9 percent, and Turkey cannot be (is not being) – at the moment. Your assembly (parliament) should be strong, your judiciary should be independent. You should give authority to honest, knowledgeable people and expect good results.

The government should withdraw its hand from the Central Bank

Monetary policy is wrong because the Central Bank is not independent. They have destroyed (wasted/spent) $ 120 billion to keep the dollar exchange rate below 7. These are better days. This is the case, because the Central Bank acted on the government’s word. The government needs to get its hands off the central bank.

Ali BABACAN, leader of the DEVA party, went live for the first time after defeating the corona virus. Babacan, who resigned from the AKP and founded the DEVA party, where he was Deputy Prime Minister (and minister of foreign affairs and economy for four terms), evaluated the change made by the Turkish Statistical Institute in the calculation of the “Consumer Confidence Index”. He criticized the government’s economic policies. Answering questions from Ismail Küçükkaya on FOX TV, Babacan’s statements were as follows:

“They start attacking those who tell the truth

Both parties in power do not want to hear the facts. An attack begins against those who tell the truth. There is a lot of work to do in fighting the epidemic, but trust is gone. There is no trust in the data shared by authorities. There are more patients in Ankara than the number of patients announced by the minister of health throughout Turkey. It’s wrong for the government to show results better. The administrators have a wrong tendency such as “let’s not demoralize”. This is unacceptable. You’re going to reveal the real picture so that people are more careful, more cautious.”

Inflation for small-business people is around 30-50 percent

BABACAN shared following about inflation: “Morale is important in the economy, but we need a solid reality. TurkStat explains inflation as 12 percent. Inflation is far higher than the figures announced by TurkStat. The inflation for shopkeepers (small businesses) is around 30-50 per cent. Why should an investor invest when there is a feeling that “the state is not telling the truth” or “it does not reveal the actual inflation figures”? Turkey’s biggest problem is unemployment. How are you going to solve the problem of unemployment if there is no investment in a country with so much unemployment? Solving unemployment will take time, even if the government takes the right steps.”

(source: sozcu.com.tr/2020/gundem/babacandan-korkutan-ekonomik-degerlendirme-bunlar-daha-iyi-gunler-6050501)

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