Türkiye's Finance Minister Mehmet Şimşek recently addressed the nation in a live television broadcast, highlighting significant improvements in the country's economic outlook.

One of the key points emphasized by Şimşek was the sharp reduction in Türkiye's risk premium (Credit Default Swap, CDS), which has dropped from over 700 basis points in May to below 270 basis points. This improvement, according to Şimşek, has strengthened Türkiye's position compared to other similar economies and substantially lowered foreign borrowing costs.

The minister also reported a remarkable increase in Türkiye’s net reserves, excluding swaps, which have risen by $78 billion over the past year. As of last Friday, net reserves have shown a total improvement of $90 billion, which Şimşek praised as a major achievement.

In addition, Şimşek expressed optimism about inflation, stating that it is now on a permanent downward trend. He projected that inflation would drop below 20% by the end of next year. Şimşek further assured the public that there are no plans to raise income, corporate, or VAT tax rates in the near future. (ILKHA)