Important statements from the Minister of Treasury and Finance Elvan Speaking at the Parliament's Plan and Budget Commission, Treasury and Finance Minister Lütfü Elvan said that restrictive measures negatively affected economic activity due to the epidemic. Elvan stated that their growth expectations for 2020 were 0.3 percent, while former Treasury and Finance Minister Albayrak announced their 2020 growth expectation as 0.3 percent.
The negotiations on the 2021 budget of the Ministry of Treasury and Finance started at the TBMM Plan and Budget Committee. While the commission convened under the chairmanship of AK Party Bingöl Deputy Cevdet Yılmaz, Yılmaz reminded that Lütfi Elvan, Minister of Treasury and Finance, was the President of the Plan and Budget Commission for a long time and wished success in his new position.
Expressing that it would be correct to limit the number of speakers and their duration during the budget negotiations due to Kovid-19, Yılmaz stated that adding twice the number of speakers to each party group and limiting the speech time to 5 minutes, the proposal was accepted.
"WE EXPECT THE GROWTH OF 0.3 PERCENT IN 2020"
Treasury and Finance Minister Lütfi Elvan, who started his presentation, said, "We expect the growth to be 0.3 percent in 2020. We will enter a period of stable growth in 2022 and 2023. Unemployment will decrease to 10.9 percent at the end of the New Economy Program period. "We aim to reflect the growth to welfare, especially with the increase in employment. One of our main targets is to reduce the inflation to low single digits permanently.
"WE WILL BRING STRUCTURAL REFORMS TO LIFE"
Continuing his statements, Elvan said, "By the end of 2020, the budget deficit will increase temporarily. We estimate the year-end budget deficit / GDP ratio to be less than 4.9 percent. We will implement structural reforms to improve the investment environment for both domestic and international entrepreneurs. We aim to increase the share of foreigners in the bonds significantly. 2021 domestic debt rollover ratio is planned as 120 percent.
"RESTRICTING MEASURES INFLUENCED ECONOMIC ACTIVITY NEGATIVELY"
Emphasizing that the epidemic will decrease in the coming periods, Elvan said, "The restrictive measures taken against the epidemic negatively affected economic activity. As a result of measures such as the contraction in foreign demand caused by the epidemic, closing the doors, exports and tourism revenues were negatively affected. As a result of these developments, the economy was 9.9 percent in the second quarter of the year. In the coming period, we will enter a period of recovery where the effects of the global epidemic will decrease and new opportunities will emerge.