What does the business environment think about the package?

Business representatives have expressed their appreciation for Turkey’s new economic reform package, which was announced by President Recep Tayyip Erdogan on Friday. However, they also state that the reforms should be implemented as soon as possible and be sustainable. Here are the comments of the representatives of the main business organizations…

Implementation of the reforms is urgent: Kaslowski

Simone Kaslowski, the chairman of the Turkish Industry and Business Association (TUSIAD), called the package’s steps toward providing price stability, recovering investment environment, supporting employment, ensuring budget discipline, and bringing expenses under control positive. “Digital transformation and steps to support green transformation in industry are very valuable in terms of increasing our global competitiveness,” he said. “Among the objectives of the economic reforms are strengthening the institutional structure, incentives for carrying external balance and growth to a sustainable ground, and steps that strengthen the competitive environment. In this difficult period our economy is going through the negative effects of the pandemic, the implementation process for these reforms is urgent for the business world.”

Will contribute to the V shape recovery: Kaan 

Abdurrahman Kaan, the chairman of the Independent Industrialists and Businessmen’s Association (MUSIAD), said the reform package will contribute to the V shape recovery of markets during the normalization process from the COVID-19 pandemic. With the package, the resilience of the economy will improve in terms of inflation and current account deficit, he asserted. Ensuring spending discipline, reducing waste in public, reconstruction of the budget, and increasing efficiency in cash management will increase the contribution of public expenditures and investments to economic growth, Kaan stated.

The package is concrete and solution oriented: Ozdebir

Nurettin Ozdebir, Ankara Chamber of Industry (ASO) Chairman said that he is very pleased that the issues they have brought to the agenda are included in this package. “Especially, it is important to reduce the use of imported inputs in production and to set the goal of high value-added domestic and national economy,” he said. Public savings and statements regarding the use of domestic products by the public are pleasing, he added. “The package is concrete and solution oriented. It is coherent, consistent, prepared in the light of economic facts and satisfactory. I find it very valuable to also emphasize vocational training in the package. We find the tax exemption for small tradesmen appropriate for this mass that is experiencing great difficulties.”

Vaccine to new normal: Avdagic

Sekib Avdagic, Istanbul Chamber of Commerce (ITO) Chairman, defined the reform package as “vaccine to new normal.” These will point Turkey in supply for domestic and foreign investors, he said. “Comprehensive reforms focusing on the promotion of investment, production, exports and employment will yield results far beyond steps such as an interest rate increase that cannot go beyond short-term solutions. It is extremely important to take steps that increase the predictability of investment incentive and tax policies by simplifying them,” he said.

Reforms support exports: Gulle

Ismail Gulle, the head of Turkish Exporters’ Assembly (TIM), said the reform package will provide a significant support to achieve the $200 billion target in exports. Turkey closed 2020 with a $169.5 billion export figure above the target despite the pandemic, he said, adding that this success will continue in 2021 and the country can surpass $184 billion this year. “We now see that $200 billion is not a dream for Turkish exports,” he stressed.

Will empower business world: Olpak

Nail Olpak, the president of the Foreign Economic Relations Board of Turkey (DEIK), said economic reforms based on stability, predictability, transparency, and accountability will empower the country’s business world. The package was a sufficient road map, which was prepared in consultation with all stakeholders of the business world and the economy, he said. Economic reforms included critical steps for developing Turkey’s economy and trade.

We wish it to be sustainable: Cevikel

Nilufer Cevikel, Young Businessmen Association of Turkey (TUGIAD) President said the package gives hope to the business world and will reinforce growth if applied effectively. “We wish the announced package to be stable and sustainable with effective practices,” she said. “It is very important for sustainable development that the package envisages important steps to ensure price stability, increase investments and reduce the current deficit. Facilitating industrialists with economic reform steps means that we, businesspeople, work harder to develop the country’s economy. Reforms will take us further.”

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