Treasury and Finance Minister Nureddin Nebati stated that with the tax reductions, incentives, subsidies and some other additional steps they have implemented so far, they both offer ‘attractive returns’, that is, high interest rates, to Turkish Liras (TL) savers, and prevent the excessive increase in consumer loans from being used in undesirable areas.
Contrary to the facts, the picture drawn is moonlight and roses
“We are growing, the wheels are turning. We continue to successfully implement the Turkish economy model,” said Nebati, claiming that “We ensured financial stability with instruments such as Currency Protected Deposit (KKM) Account and Yuvam Account.” Nebati added: “Contrary to some speculative discussions in the public, the cost to the budget has been limited. As a matter of fact, a total of 21 billion TL payments were made from the budget, 11,7 billion TL in March, 4,6 billion TL in April, and 4,8 billion TL in May.”
Treasury and Finance Minister Nureddin Nebati stated that the Turkish economy grew by 7,3 percent in real terms on an annual basis in the first quarter. He said it continued its strong performance. Pointing out that the contribution of domestic demand to growth was 3,9 points and that of net foreign demand was 3,5 points in this period, Nebati said, “We are in a perfect balance. Thus, we maintained the balanced growth composition we achieved in the first quarter of 2021 in the first quarter of 2022 as well. Our exports continued to break historical records, reaching $242,6 billion annually in May. Thankfully, we have already achieved the target set for 2023 in the Export Master Plan.”
“WE PROVIDED ATTRACTIVE INCOME TO TL SAVERS”
Nebati stated that they have implemented some additional steps in addition to the tax reductions, incentives, subsidies and other measures they have implemented so far. Stating that with these steps, they both offer attractive returns to TL savers and prevent the excessive increase in consumer loans from being used in undesirable areas, Nebati said about Income-Indexed Notes (GES). He noted: “Income-indexed securities will be for individual investors, and demand will begin to be collected through our banks as of June 15. The revenues of GES will be indexed to the revenue shares transferred to the budget from the State Airports Operators (DHMI) and the General Directorate of Coastal Safety (KEGM) within the State Economic Enterprises (SEE). In the issuance to be made in June, the annual compound return will be 23,04 percent. Thanks to the minimum return guarantee to be applied for the coupon returns to be paid quarterly, our citizens will be prevented from being adversely affected by the changes in their income shares.”
THE CLAIM THAT "KKM'S IMPACT ON THE BUDGET HAS LIMITED"
“We are growing, the wheels are turning. We continue to successfully implement the Turkish economy model,” said Nebati, claiming that “We ensured financial stability with instruments such as Currency Protected Deposit (KKM) Account and Yuvam Account.” Nebati said: “Contrary to some speculative discussions in the public, the cost to the budget remained limited. As a matter of fact, a total of 21 billion TL payments were made from the budget, 11,7 billion TL in March, 4,6 billion TL in April, and 4,8 billion TL in May. The possible cost of KKM to the budget is closely monitored by our ministry with different scenarios. Some inflated figures brought up in various media, as always, do not reflect the truth,” he said.