Advertisement
News

Global economy enters recession

Noting that the energy issue has become an important issue, the Minister of Trade Muş said, “As a result, inflation is increasing and the tight monetary policies implemented by the central banks to control inflation deepen the loss of momentum in economic growth. We see that we have entered a recession period in the global economy where growth and trade slow down.” .

Minister of Commerce Mehmet Muş attended the 6th Aegean Economic Forum, which was held this year in a hotel in the city in cooperation with the Aegean Economic Development Foundation (EGEV) and Özgencil Group, as the guest of honor via video message.

Advertisement

Stating that the global economy was going through a difficult period, Minister Muş said that inflation was quite high compared to the pre-pandemic period, tightening financial policies, the war with Russia and Ukraine, and the reflections of the epidemic on supply chains negatively affected the global economic outlook.

“We have entered a period of recession”

Noting that problems related to energy supply and high energy prices have become more and more important issues, Muş said, “As a result, inflation is increasing and the tight monetary policies implemented by central banks to control inflation deepen the loss of momentum in economic growth in the global context. “We see that we are entering a recession period in which economic growth and trade slows down. How the monetary tightening policies will be implemented in the coming period, the war in Ukraine and the ongoing supply-side restrictions related to the pandemic, especially in China, will be the determinants of the global economy,” he said.

Stating that the conjuncture that has developed due to the pandemic and geopolitical developments in the global economy in recent years, and the structural transformation brought about by climate change and digitalization, have also changed the paradigms of globalization, Muş said that in addition to diversification of supply chains and regionalization, strategic autonomy in critical sectors such as health, defense industry, communication technologies and food is aimed. He told me that he came to the fore.

 

Advertisement

Emphasizing that the transition to a circular economy, centralization of the role of renewable resources in energy production, minimizing carbon emissions in production and consumption processes are among the main objectives of economic policies, Minister Muş said:

“At the point we have reached in the shadow of all these developments, we see that the globalization process has not ended, but has changed shape and dimension. As in every transformation, this is of course a difficult and painful process. However, I would like to clearly emphasize that despite all the difficulties it carries, this radical transformation in the global economy has made Turkey’s economic leap forward. Our country also has very critical opportunities in terms of its goals. Our country has all the necessary infrastructure and equipment to make the most of these opportunities. In this process, we take our measures to reach our goal in the fastest and safest way. We minimize the negative effects on the global economy thanks to the support we provide to our business people and the multi-faceted works we carry out,We are working to strengthen our country’s role in the global economy.”

“We launched the Far Countries Strategy”

Stating that the sharp increase in energy, gold and commodity prices had a negative impact on the foreign trade balance, Muş underlined that as a ministry, they diversified their policies and tools, including support mechanisms, as much as possible for the sustainable increase in exports.

Noting that they aim to place Turkey in a central position in the restructuring of the world’s supply chains in this context, Muş said, “In this context, we launched the Far Countries Strategy to increase the range of our exports and increase our share in the world’s largest markets. We aim to increase our country’s exports by four times and to contribute at least 60 billion dollars annually.” said.

“Work on combating climate change has moved into focus”

Minister Muş stated that in the new era, when the realization of sustainable development goals has turned into a global mobilization, efforts to combat climate change have also moved to the focus of Turkey’s trade policy. Drawing attention to the green and digital transformation process, Minister Muş said:

“In order to maintain competitiveness in our exports, strengthen our position in global value chains and increase our share of direct investments, it is of great importance that all our sectors comply with the green and digital transformation process in the world. With this awareness, we have prepared the Green Reconciliation Action Plan in consultation with the private sector. We carry out our works for comprehensive actions with wide stakeholders in cooperation with the public, private sector, non-governmental organizations and academia under 20 specialized working groups that we have established in the fields of energy, finance, technology and sectors such as textile, construction, cement and steel.

Minister Muş stated that they see the Green Deal adaptation process as a set of opportunities that will enable new economic models and employment centers with the evolution of the production infrastructure in Turkey to innovation and digitalization, and in this framework, while combating climate change, it is compatible with nature, resources are used effectively and efficiently, technology is intensively used. and added that they are making efforts to transition to an economic model with high added value.

Advertisement

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button