Zeki Ceyhan: "The new model didn't work"

Zeki Ceyhan: "The new model didnt work"
Date: 18.11.2022 16:00

Milli Gazete columnist Zeki Ceyhan writes on Turkey's economy. Here is the full article.

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One of the most distinctive features of AKP governments is that they often talk about “new economic models”!
 
It is known by everyone that AKP members promoted the "new economic model" after "every failure" in the field of economy.
 
There is another fact that everyone knows.
 
It is the fact that none of the targets put forward as the “new economic model” have been met!
 
For example, it is always claimed that “inflation will decrease” with the new economic model!
 
But inflation can never be lowered!
 
Just like the interest rate cannot be lowered!
 
The AKP's economic staff assume that by lowering the policy rate, the market rate will also be lowered, but the market rate never falls.
 
In fact, instead of falling, market interest rates rise.
 
Another claim of the new economic models is the promise of closing the foreign trade deficit.
 
According to the new economic models, exports will increase and imports will decrease!
 
Yes, there is an increase in exports, but the increase in imports is many times greater than the increase in exports.
 
In other words, the foreign trade deficit is widening rather than closing.
 
AKP's economic staff keep making wrong decisions about foreign exchange.
 
While they are burning with the dream of falling exchange rates, the Turkish Lira is melting away in the face of exchange rates.
 
How can the AKP's economic staff, who have not said anything about the new economic models and the issues they have promised so far, can be trusted with their promises for the future?
 
Who can claim that those who have not made the right decisions until now will make the right decisions in the future?
 
The emerging economic picture shows that the measures put into practice under the name of "new economic model" have not worked.
 
Many people in the country agree that the economy is not going well, only the economic staff of the AKP is not aware of the situation and they continue to say that "no one can say that you have crushed us with inflation".
 
In other words, inaccurate decisions are followed by inaccurate explanations.

YEREL HABERLER

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