Economy administration not changed in new Cabinet

ANKARA

Prime Minister Davutoğlu (L) keeps Babacan in the new Cabinet. Babacan is a figure known for spreading confidence to the markets and businesses.

Prime Minister Ahmet Davutoğlu, who announced his new Cabinet on Aug. 29, did not make changes in the economy administration headed by Deputy Prime Minister Ali Babacan, a figure known for spreading confidence to the markets and businesses.

Economic sustainability has been a focal point of the ruling Justice and Development Party (AKP) since day one, and Babacan, who has been a Cabinet member during the 12-year-long AKP government, has received much credit for heading the economy, particularly during the eurozone crisis.

However, many speculations hovered over the economy administration before the Cabinet announcement, with many focusing on Mehmet Şimşek, the finance minister who technically works under Babacan.

President Recep Tayyip Erdoğan and many prominent party figures have been harshly criticizing Central Bank Gov. Erdem Başçı, accusing him of not pushing interest rates down radically enough, with Şimşek also receiving his share of the criticism. However, Şimşek also remained at his seat.

The AKP has a self-implemented rule of not running for Parliament membership four terms in a row, which will most probably put Babacan off of the list at the general elections in June next year. However, Şimşek has been a deputy for only two terms so far. Economy Minister Nihat Zeybekci, who mainly focuses on foreign trade, Fikri Işık, who became the industry minister late last year, Development Minister Cevdet Yılmaz and Labor Minister Faruk Çelik also kept their ministry posts, as the sole change in economy-related seats took place at the Customs and Trade Ministry. Nurettin Canikli, a senior AKP figure and former bureaucrat at the Finance Ministry has replaced Hayati Yazıcı, who is also filling his three term limit.