ULUSKON PRESIDENT ATASOY: I EXPECT AN IMPROVEMENT IN THE ECONOMY FROM THE SECOND HALF OF 2023

Nezaket Emine Atasoy, Chairman of the INTERNATIONAL Investment and Business Confederation (ULUSKON) and Goodwill Ambassador of the International Human Rights Defense Committee (IHRDC), said, “I expect a general improvement in our economy starting from the second half of 2023. I believe that Turkish companies should focus on making efforts to be a part of the recovery trend in the economy by taking advantage of the global opportunities provided by our country's geopolitical position. I consider that with the right investment and the right strategies to be followed, health tourism can lead to an increase that will eliminate Turkey's current account balance problem in the coming years.

ULUSKON President Nezaket Emine Atasoy made a written statement on the economy. Atasoy said that the tight monetary policy practices of the central banks bring the risk of recession on a global scale. President Atasoy stated that the Russia-Ukraine war and the US-China tension, which has recently increased over the Taiwan issue, pose significant risks to the global economy and trade, and said, “Turkey, on the other hand, is trying to establish a predictable monetary and exchange rate policy in addition to global risks. Turkey, which does not experience energy security problems but continues to have current account balance problems and hot money needs, continues its quest to control high inflation in parallel with Europe. On the other hand, rising costs with inflation and rising foreign exchange prices draw my attention as they have the potential to cause significant damage to our economy. Despite all the negativities, I find the increasing export data pleasing. However, as we are a commodity importing country, I see it as a necessity to continue our search for balancing our foreign trade deficit, which has become chronic, with tourism revenues and competitive exchange rates this year as well.”

‘INCENTIVES TO REDUCE CAPITAL COSTS ARE NEEDED’

Atasoy stated that as a result of the diplomatic efforts carried out last year, relations with the Gulf countries again achieved a positive course, and said:

“This situation served to activate the gulf capital in strengthening the gross foreign exchange reserve position of our country. I think that the wealth funds of the Gulf countries will continue their search for investment opportunities in Turkey. In addition, I believe that the postponement of some of the natural gas payments from Russia will play a role in alleviating the external financing pressures. I believe that Turkey, which reads the changing global balances and dynamics well, should benefit from its competitive position in the global value chain with its relatively low cost and qualified workforce, as well as its geographical location that provides logistical advantages. Undoubtedly, Turkish companies are looking for ways to increase their resilience in the shadow of uncertainties in economic activities. Unfortunately, it seems that the cost of using capital for our companies will remain high throughout this year. In order to overcome this, I consider that our government needs to offer incentives to reduce capital costs, especially for our export-oriented companies.”

‘I THINK OUR EXPORT POTENTIAL WILL CONTINUE TO INCREASING’

Noting that investors have taken a careful stance as in all countries that have passed the election period, President Atasoy said, “After this temporary period, I expect a general improvement in our economy starting from the second half of 2023. Again, I think that our export potential will continue to increase with the diversification of export markets. I believe that Turkish companies should focus on making efforts to be a part of the recovery trend in the economy by taking advantage of the global opportunities provided by our country's geopolitical position. In parallel with these efforts, I think we should focus on health tourism, which I see as a rising sector. Because healthcare expenditures stand out as an area resistant to macro recession. The introduction of technology in the health sector, reducing costs and workforce, and improving efficiency and results offer important opportunities for our country. I consider that with the right investment and the right strategies to be followed, health tourism can lead to a large increase that will eliminate Turkey's current account balance problem in the coming years.