Türkiye’s low total debt level makes the economy more resilient to shocks, Finance and Treasury Minister Mehmet Şimşek said. He spoke at the opening of the 19th Verona Eurasia Economic Forum in Istanbul. Low debt, he said, gives the country more room to respond to economic shocks and to sustain reasonable growth.
Şimşek said the forum drew participants from more than 30 countries. It was organised with MÜSİAD and İbn Haldun University.
Fiscal indicators in focus
Şimşek said Türkiye’s budget deficit relative to GDP is about half the emerging market global average. Public debt relative to GDP is about one third of that average, he said.
He also pointed to manufacturing. Value added per capita in manufacturing, relative to GDP, is on a par with the Asian Tigers, he said. Türkiye also has an 18-20 year demographic window.
Trade policy and new agreements
Şimşek said protectionism has become the new normal in the world economy since the global financial crisis. Türkiye, he said, is negotiating free trade agreements with Japan, Indonesia, Gulf countries and Canada. The agreements are presented as a response to that shift.
