Economic policies help boost reserves, says Şimşek

ANKARA

With the economic policies the government is implementing, while investor confidence has increased, the Central Bank’s reserves have risen and Türkiye’s risk premium has declined, Treasury and Finance Minister Mehmet Şimşek said.

He noted that the latest data from the bank showed that its gross reserves climbed to $134.5 billion as of Nov. 17, the highest level since September 2014.

The gold reserves increased from $43.7 billion on Nov. 10 to $45.2 billion.

Foreign exchange reserves rose from $84.6 billion to $89.2 billion, according to the numbers the Central Bank released on Nov. 23.

"Türkiye’s risk premium also declined from more than 700 in May to around 330 today," Şimşek wrote on the social media platform X on Nov. 23.

“We are determined to reduce inflation because price stability is a prerequisite for sustainable high growth,” he said.

“We are also determined to support investment, production and exports during the disinflation process.”

As part of those efforts, while Eximbank's capital was strengthened, the daily rediscount credit limit was increased by 10 times to 3 billion Turkish Liras in order to support exporters’ access to financing, the minister noted.

Earlier this week Şimşek announced that the government was planning to offer tax incentives to boost foreign currency inflows into Türkiye.

“We will increase the tax deduction and exemption rates to be applied to some activities of income and corporate taxpayers abroad, provided that the earnings are brought to the country,” he said, reiterating that they will also implement structural reforms, which will increase production, competition and productivity.