Türkiye's Treasury and Finance Minister Mehmet Şimşek announced ambitious plans to combat inflation during a recent television appearance.

Şimşek outlined that the government's economic policies are on track to lower inflation from a current rate of 42 percent to 24 percent by the end of the year. He noted that January's inflation data did not derail the government's plans, maintaining confidence in the strategy.

The Minister highlighted the adverse effects of inflation, stating, "Inflation especially burdens fixed and low-income earners, disrupting income distribution. Therefore, we are fighting inflation with determination."

To reach these targets, Şimşek detailed that the strategy would involve a mix of monetary, fiscal, and incomes policies, alongside managing prices and implementing supply-side measures.

On the topic of currency-protected deposits, Şimşek mentioned an ongoing process to phase out the Currency Protected Deposit (FXPD) system, with accounts for individuals set to be gradually terminated throughout the year.

In terms of tax policy, Şimşek discussed steps towards tax justice, including an increase in corporate tax for large companies, the introduction of at least a 15% corporate tax for multinational corporations, and the abolition of tax exemptions previously offered for FXPD.

With these comprehensive economic policies, Türkiye is striving to stabilize its economy, curb inflation, and enhance financial discipline in the coming years. (ILKHA)