Vice President Cevdet Yılmaz said inflation has gradually decreased and said: “It dropped to 44% in 2024, we expected about 30% this year. The data will be clearly announced tomorrow.” he said.
Vice President Cevdet Yılmaz spoke on CNN Turk.
Stating that the inflation figures will be clarified tomorrow, Yılmaz said, “Inflation is the main problem of the people, for this reason we have made inflation a top priority. We are gradually reducing inflation. It decreased to 44% in 2024, we predict it will be around 30% this year.” he said.
Stating that the target for 2026 is below 20%, Cevdet Yılmaz stated that the goal is to reach single digits again in 2027. Yılmaz said, “We have achieved this figure for basic goods. But services are a bit behind. We are a bit behind on education and rental of items, especially house rent. We have an overall policy with 3 pillars. First is monetary policy. On the other hand, we have fiscal policy, even though we spent $90 billion on it.” Due to the earthquake, we maintained financial discipline.” he said.
“WE CANNOT SEE EFFECTS ON FOOD DUE TO DROUGHT AND FROST”
Stating that these numbers are numbers that will shake even the strongest economies, Yılmaz said that the financial impact of the earthquake will appear in the following years.
Stating that the third leg of the program is structural transformation, Yılmaz said, “It was a little higher than expected in September. But this is a month-long situation. We need to see the big picture. Inflation is falling. Our people notice this decline in certain groups. We cannot see the impact on food due to drought and frost. There is also opportunism here. Inflation will continue to fall. People of We will see this in every sector, including the services sector.” he said.
“THE LABOR TO NATIONAL INCOME RATIO IS VERY IMPORTANT”
Cevdet Yılmaz said that when talking about the economy, we should also look at the world a little and added:
“The world is going through a very difficult situation. There are serious discussions about tariffs. There are also conflicts in many regions. While the world economy has grown by 15% since the pandemic, the Turkish economy has grown by 30%. The share of labor in national income is very important. It was 39% last year. In the first half of 2025, it will be 35.9%. This figure, calculated by the share of labor movement in national income, which is at the highest level in our history.”
WILL INTEREST RATES CONTINUE TO DECREASE? Stating that the cycle of interest rate reduction has entered and will continue, Vice President Yılmaz said, “Both inflation and interest rates are on a downward trend. After the middle of next year, these issues will dominate our agenda less.” he said.
Highlights of Cevdet Yılmaz's statement are as follows:
BUDGET OF 888 BILLION FOR AGRICULTURE
“Agriculture is a strategic sector. We have allocated VND888 billion from the budget next year. There will also be additional resources. There will be losses and violations of law, especially in the process from field to market. Work is being done to prevent this.”
“Water is an important thing. It becomes more important due to climate change. Meanwhile, 80% of water consumption is in the agricultural sector. DSI builds dams. DSI brings water to cities. But losses and leaks are huge in cities. Maintenance and repair of urban networks is very important in this sense. We experienced this in Ankara. The mayor said 'pipes are cracked because of lack of maintenance'. Local authorities need to allocate resources to invest.”
“Measuring purchasing power in gold is a waste of time. Minimum wages in gold are down 87% in the US, 83% in France, 80% in Spain, 61% in Türkiye. There is no economic rationality in measuring purchasing power in gold. Measuring it in gold is pure populism.”
Türkiye PROCESS WITHOUT CRISIS
“You cannot realize your economic potential where there is terrorism. In the coming period, Eastern and Southeast Türkiye will grow above average. A process has begun and you see that steps are being taken towards progress. Terrorism-free Turkey has now become a state policy. Our Committee is working in the National Assembly. The Committee will provide the general framework and our National Assembly will provide the necessary regulations.”
Ceasefire in Gaza
“We all see that there is a fragile ceasefire. Even if it is fragile, the ceasefire has been achieved. The reconstruction of Gaza is very, very important. There is a Türkiye that wants peace wherever it is. There is an Israel that is trying to create instability in every surrounding area. We hope that this ceasefire will be permanent. A political solution that we call the 'two-state solution' will be formed.”
“If corruption and lack of services in local government are being discussed so much, it means there needs to be regulation here. Strict regulations must be put in place, including for companies. The city government should first allocate resources to its main tasks, such as clean water, garbage collection, etc. Then, whether it is a concert or whatever they are doing, they should do it.”
