This fire cannot be put out with that bucket

Dünya Executive - - COMMENTARY - Ismet OZKUL Columnist

Last week, Treasury and Finance Minister Berat Albayrak announced the updated program of the Erdogan administra­tion titled “Structural transforma­tion steps” against the crisis in which the economy has been dragged under. Albayrak announced his new plan against the structural problems of the economy with a press conference in which press members could not ask any questions.

Then he went to Washington for the annual meeting of the IMFWorld Bank and made his presentati­on to internatio­nal funds. Albay

rak’s presentati­on could not create an optimistic atmosphere both inside and outside. After less than a week after the presentati­on, the economic data is as follows: The dollar exchange rate touched the 5.80s while the CDS, which is the risk quantifica­tion of Turkey in internatio­nal markets climbed to 459 basis points. The March budget deficit increased by 21 percent to TRY 24.5 billion while a massive increase in unemployme­nt was announced.

Let’s take a closer look at the developmen­ts in unemployme­nt, the most biting problem both economical­ly and socially:

According to January data, total employment decreased by 872,000 people compared to a year ago. While the number of unemployed people increased by 1.26 million, the unemployme­nt rate increased by 3.83 points to 14.7 percent. All these figures are only figures that we can see in times of economic crisis. Moreover, since TurkStat’s current population and labor force growth calculatio­n is less than the previous years, it avoids a higher unemployme­nt rate and the number of unemployed. According to TurkStat, the non-institutio­nal population increase over the last 15 years, which was around 1.1-1.2 million last year, was only 657,000 this year. Therefore, labor force growth, which was around one million last year, was calculated as only 387,000.

The economic program announced by the Erdogan administra­tion last week does not reflect a unity, and even contradict­s itself in places. Unfortunat­ely, it does not have the qualificat­ions to put out the fire in its present form, which does not address many problems or postpones the solution plan. More difficult times are head for the economy and the society.

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