Erdoğan says high interest rates are ‘tool of exploitation’

ANKARA

High interest rates are a tool of exploitation, President Recep Tayyip Erdoğan said on May 24, adding that he would ensure the issue is kept on the agenda. 

“People have been voicing complaints about high interest rates. This is on my agenda and I will keep it. I see high interest rates as a tool of exploitation,” he said at a general assembly of the Union of Chambers and Commodity Exchanges (TOBB) in Ankara. 

Erdoğan often rails against the high cost of credit in Turkey, and has equated high interest rates with treason.

“This issue needs to be solved and we’ll do it,” he added. 

He also praised businesses’ moves to raise employment, noting that some 1.17 million new jobs were created since last February, when he started a campaign to boost employment. 

“Regarding our campaign, which we launched in February, our business world has acted quite positively. Since then, some 1.17 million new jobs were created. I believe this will increase much further,” he said. 

The government’s employment encouragement campaign aims to create 2 million new jobs. The package is expected to cost over 12.3 billion Turkish Liras ($3.37 billion), most of which will be met from the Employment Fund. 

Social security premiums and other premiums are slated to be paid for each new employee for a one-year period by the state authorities. 

With the support and incentives provided, the cost for an employer who employs an individual on minimum wage will decrease by 773 liras to 1,404 liras. 

[HH] Erdoğan calls for ‘indigenous car brand’

Erdoğan also called on TOBB members to produce a local car brand. 

“I have an offer and I voice it everywhere. I am now calling on you to create an indigenous car,” he said.
 
Erdoğan previously voiced his demand last week at a high advisory board meeting of the Turkish Industry and Business Association (TÜSİAD). 

Separately, he said he believes that by 2035, Turkey’s population will exceed 90 million, making it one of the countries with the highest population and that it will maintain its power.       
 
“The most important thing is we will utilize this population in the most effective way by joining the world’s top 10 economies,” he said, adding that they were determined that Turkey’s young, educated and dynamic population will be the engine of the country’s economic growth.