Minister of Treasury and Finance Mehmet Şimşek stated that Turkey is not experiencing a growth issue while fighting inflation. Minister Şimşek mentioned, “The worst is behind us, inflation is decreasing, and it will continue to decrease thanks to tight fiscal and monetary policies.”

During his visit to Saudi Arabia, Minister of Treasury and Finance Mehmet Şimşek made evaluations regarding the economy. Şimşek spoke at a panel titled “Policy Makers Board: Can Leaders Offer Optimism Rather Than Caution?” within the scope of the “Future Investment Initiative Conference,” the most important global event in Saudi Arabia organized for the 8th time in Riyadh this year. Pointing out that the Turkish economy is resilient against fragmentation in global trade, Şimşek said, “We have free trade agreements with approximately 54 countries worldwide, and we export approximately 60% of our goods to these countries. Fragmentation in trade is a real risk, but we tend to benefit from supply trends in close and friendly geographies. Therefore, although fragmentation is a risk, we are more resilient against this risk.”

“THE WORST IS BEHIND US”
Şimşek drew attention to the developments in the Turkish economy, stating, “The worst is behind us, inflation is decreasing, and it will continue to decrease thanks to tight fiscal and monetary policies.” He emphasized that Turkey has overcome many macroeconomic challenges, mentioning, “Central Bank reserves increased by 100 billion dollars within 1.5 years.”

Şimşek stated that Turkey has a broad reform agenda, including green and digital transformation, which they have put into practice. Pointing out that Turkey has a large economy with production diversity, Şimşek indicated that their program is on track.

Stressing that Turkey’s public debt to gross domestic product (GDP) ratio is quite low at 26% compared to other countries, Şimşek highlighted that this presents an advantage for Turkey’s growth. Şimşek informed that Turkey is not experiencing a growth issue while combating inflation, noting that the country has maintained an average growth rate of over 5% in the last 20 years.