Turkey's Outlook on Its Economy for 2019

Published December 27th, 2018 - 09:49 GMT
Turkish business body head foresees country's economy to grow 1 percent next year, inflation rate to hover around 17 percent. (Shutterstock)
Turkish business body head foresees country's economy to grow 1 percent next year, inflation rate to hover around 17 percent. (Shutterstock)

Measures taken by the Turkish government up to now have been "exceptionally positive," head of the Turkish Industry and Business Association (TUSIAD) said on Wednesday.

Speaking at Anadolu Agency's Finance Desk, Erol Bilecik said difficulties due to the speculative attacks on the government in August were overcome by incentives.

"The business circle is satisfied with the incentives provided by the government," Bilecik said. 

Also addressing the recently announced minimum wage in Turkey, Bilecik said: "Some 26 percent rise in minimum wage to reach 2,020 Turkish liras a month ($382) is a positive development for business world."

Read More

Turkey's Unemployment Swells to 11.4 Percent
Turkey Aims to Increase Exports to $200 Billion

Bilecik also underlined the importance of incentives in encouraging employers to set up business and to make investment with value added production.

He said global developments in 2019 will be "time saver" for developing countries to solve their problems.

"We should make good use of this time. Sustainable higher growth will be very important in 2019," Bilecik said. 

TUSIAD foresees Turkish economy to grow 1 percent next year and the inflation rate to hover around 17 percent, he added. 

Turkey's annual inflation was 21.62 percent in November, according to the latest data by TurkStat, Turkey’s statistics authority.

As noted in Turkey's new economic program announced in September, the country's inflation rate target is 20.8 percent this year, 15.9 percent next year, 9.8 percent in 2020, and 6.0 percent in 2021.

The Turkish economy expanded by 1.6 percent year-on-year in the third quarter, TurkStat revealed on Dec. 10. The government aims to reach economic growth rate of 2.3 percent next year, 3.5 percent in 2020 and 5 percent by 2021 under the new economic program.

“We will experience a period which will require some patience in 2019. But in the long term, Turkey has the capacity to get back to those grand days. We have no doubt of it.”

By Tuba Sahin


© Copyright Andolu Ajansi

You may also like