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Highlights from the economic reform package

The economic reform package announced by President Mr. Recep Tayyip Erdogan includes many items from public finances to combating inflation …

Highlights from the economic reform package
20.03.2021 23:24
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The economic reform package announced by President Mr. Recep Tayyip Erdogan includes many items from public finances to combating inflation, employment, investments, reduction of the current account deficit and energy policies. If we list a few highlights from the 98-page Economic Reform Package booklet;

 

·        Turkey will base its inflation target rather than the data held by public sector prices and tax increases. In other words, the “revaluation rate”, which is the basis for determining the administered prices and tax increases, will be based on the expected inflation. Inflation is expected to fall for the next term in Turkey, this means fewer price increases. (Combat inflation).

·        Income tax exemption was announced for 850 thousand small business owners.

·        The Turkish treasury will borrow heavily in TRY, increase the average debt maturity and encourage green bond issuance. (Financial discipline)

·        An economy coordination board and a price stability committee will be established to “assess structural shocks that pose inflation risk”. (Fight against inflation)

·        The scope of the private pension system will be expanded to include those under the age of 18.

·        Turkey Statistical Institute, will be at the status of associated institutions.

·        Financial support will be provided for additional employment.

·        Structural current account deficit will be reduced.

·        Tightening meaures will be taken for public finances.

Kaynak Tera Yatırım
Hibya Haber Ajansı

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