​Albayrak talks the talk, but….

TURKEY - In Brief 23 Jul 2018 by Atilla Yesilada

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Our rookie economy impresario Mr. Berat Albayrak can really talk the talk, but can he walk the walk?On his way back from Argentina where he attended the G-20 summit Albayrak had a long chat with journalists, a brief summary of which can be found in the link. He is quoted as: “Albayrak, who is in Argentina for a G20 meeting, was quoted by state-run news agency Anadolu as saying the government’s recent policies were aimed at maintaining prudent fiscal policies, seeing healthy credit growth, carrying out structural reforms and strengthening Turkey’s monetary policy framework”. He promised a re-named Medium Term Economic Program (MTEP) to be unveiled “before September” with participation of all stakeholders, e.g. banks, real sector and citizens. The largely dormant Financial Stability Committee will convene weekly, acting as a bank’s liability management committee to monitor risks to the economy and provide timely solutions. He additionally promised a transparent, credible and calendar-boundMTEP with a five year horizon. My approach to Albayrak and the new Cabinet isto given them plenty of credit and all the benefit of doubt for the next three months. While acknowledging all the downside risks Dr. Ucer cited in his recent brief titled “Fiscal Excesses and Monetary Uncertainties”, I’ve always considered President Erdogan leader who embraces pragmatism under immense pressure.I do see a small upside in the persona of Albayrak who is “family” and thus trusted by Erdogan, whose advice could help the mighty leader see the light. Albayrak’s statements hints to me that economy czar is gradually seeing a light. All this being said, the two documents linked here, one by pro-governme...