Türkiye prioritizes reducing inflation to single digits, the country’s treasury and finance minister said.
Touching on the recently unveiled medium-term program, Mehmet Şimşek emphasized their commitment to significantly reducing inflation.
“After this transition, the impact of the disinflation program will become more pronounced. We have outlined a program framework aimed at reducing inflation to reasonable levels, specifically into single digits,” Şimşek stated.
He also highlighted the year 2026 as a crucial target for this endeavor. “This is a challenging process but it is attainable,” he said. “We have achieved it in the past, and we will succeed again.”
The treasury minister underlined that they do not have a target for exchange rates, saying, “We have never had such a goal.”
In late 2021, the Turkish government introduced a scheme of FX-protected deposits, known as KKM, aimed at stabilizing the currency’s decline.
“I don’t think it is appropriate to discuss KKM,” Şimşek mentioned.
“Its role in ensuring financial stability is significant. We have a strategy. KKM is a reality, we have a framework for the exit. However, we are not inclined to provide details at this point,” he said.
By Breaking News Turkey