11.09.2019 Ankara
The Union of Chambers and Commodity Exchanges of Turkey (TOBB) President M. Rifat Hisarcıklıoğlu, noting that high interest rates are the greatest obstacle to production and investment, said, “We are pleased to see that interest rates have been falling for a while now, however it is still not conducive to engaging in global competition at their present state.”
Hisarcıklıoğlu,
in a statement to Anadolu Agency reporters, stated that the Central Bank of
Turkey (CBT), under new administration, has adopted the proactive approach
which they’ve need and has made reductions in policy interest rate.
M.
Rifat Hisarcıklıoğlu said that as the business world, they expect the Bank to
continue to lower the policy rate and that the conditions for a new interest
rate cut have been formed with the decline in inflation and interest rate
decreases in global markets.
Stating
that high interest rates are the greatest obstacle to production and
investment, Hisarcıklıoğlu said, “We are pleased to see that interest rates
have been falling for a while now, however it is still not conducive to
engaging in global competition at their present state. The financial burden on
the real sector needs to be further reduced.”
Hisarcıklıoğlu
stated that they regretted that the policy rate cut was not adequately
reflected in the loan interest rates of the banks and said:
“Public
banks have taken rapid steps in this direction. Unfortunately, we do not see
the same approach enough in private banks. Both interest rate cuts and credit
structures are causing difficulties for our companies. Banks should stop
thinking short-term and do their part.”
- "Credit restructuring should
be implemented quickly"
TOBB
President Hisarcıklıoğlu stated that the restructuring of credit debts is
another important issue for the real sector and that there are many businesses
operating efficiently and properly despite the short-term shortage of cash
flows throughout Anatolia.
Emphasizing
that these companies contribute to production, export and employment,
Hisarcıklıoğlu stated that these enterprises are the national wealth of the
country and they should be protected; that private banks do not act fast enough
in structuring their loan debts and they make the companies wait.
Hisarcıklıoğlu said the following:
“That
is why our real sector is losing blood. Our Minister of Treasury and Finance Berat
Albayrak has followed this issue closely and has opened the way for the banks,
but the banks are still dragging their feet. Framework contract negotiations
have been going on for months. We are awaiting the restructuring of credit
loans as quickly as possible. I will urge our banks once again: We're all in
the same boat; let’s work together, let's quickly complete restructuring. Let’s
open the way for production, employment and investments; let’s open the way for
Turkey.”