World Bulletin/News Desk
The Organization for Economic Cooperation and Development has upgraded Turkey’s consumer price inflation forecast for this year and next year, a new report released Tuesday said.
The report also predicted a gradual increase in unemployment during the next two years.
In the economic outlook report, the organization said the growth performance of Turkey recently lost momentum because of measures aimed at suppressing domestic demand and an increased volatility in capital inflows.
The pickup in exports that are expected to offset weakness in domestic demand is not that strong, the report noted.
"In the context of serious regional geopolitical tensions and the sluggish recovery in Europe, exports are projected to be subdued and the Gross Domestic Product growth will be relatively weak by Turkish standards, at 3.2 percent in 2015 and four percent in 2016,” the report said.
Despite upgrading Turkey’s growth forecast for 2014 to three percent from previous 2.8 percent, the organization warned that current account deficit would continue to pose a risk.
"The current account deficit is set to stay above five percent of Gross Domestic Product, and large short-term foreign debt refinancing needs make Turkey vulnerable to shifts in international investor sentiments.”
Moreover, Turkey’s consumer price inflation forecast, which was expected to reach eight percent in 2014, was upgraded to nine percent.
Also, 6.5 percent inflation forecast for next year was increased to 7.4 percent.
The report also forecast a gradual increase in Turkey’s unemployment rate, about 9.9 percent in 2014, 10.1 percent in 2015 and 10.2 percent in 2016.
On eve of Election Day, Devlet Bahceli also warns of economic attacks and international conspiracies against Turkey
Operations were carried out in Turkish provinces of Gaziantep, Mugla, Osmaniye, Tekirdag, Nevsehir, and Istanbul
Binali Yildirim slams opposition for raising questions over security arrangements
Turkish president slams opposition presidential candidate for saying he will sleep outside top electoral body
Nearly $60M invested to organize anti-narcotic operations in 5 years, says minister
Turkish premier stresses stability, confidence in country for continued investments
Chairman of main opposition party says Turkey has to produce added-value goods
Muharrem Ince says he will establish ministry of industry, entrepreneurship
Observers from Organization for Security and Cooperation in Europe plan to create chaos in Turkey, say security sources
Okkes Tetik was arrested in western Sakarya province
Turkish president speaks two days ahead of elections in joint broadcast of TRT channels
Raids take place in Turkey's provinces of Van, Hatay, Adana, Diyarbakir and Istanbul
Journalists from 34 countries receive accreditation from Directorate General of Press and Information for June 24 elections
No causalities reported so far from quake in Van province
Turkish justice minister also says reduction in number of ministries will enable faster services to citizens
First patrols by both Turkish and US troops in region began on June 18 and the second patrols on June 20