Babacan: Interests Continue To Decrease And 20 Percent Inflation Target Seems Possible

ANKARA - State Minister Ali Babacan said on Wednesday, ''interests are continuing to decrease, and 20 percent inflation target seems possible''.
Babacan released a speech in the opening of August meeting of the Coordination Council on Improving Environment (YOIKK) which was held in Treasury Undersecretariat. ''It can already be seen that five percent of growth target can be exceeded,'' he said.
He said that the cost of investment incentive certificates, which were held by Treasury Undersecretariat in the first seven months, increased 160 percent when compared with the same period of last year.
Babacan said that the cost of investment incentive certificates, which were held in the first seven months of last year and worth of 7.4 quadrillion Turkish Liras (TL), increased to 19.5 quadrillion TL this year.
Noting that mainly representatives of 16 firms, which had foreign capital and were functioning in Turkey, attended the meeting, Babacan said that those people would explain their problems directly and these problems would be evaluated.
Babacan said that they were trying to take measures which would remove the obstacles before investors and added that the positive atmosphere in economy would continue.

STATE MINISTER BABACAN SAYS THERE HAS BEEN OBSERVABLE IMPROVEMENT PROCESS IN ECONOMY (2)
State Minister Ali Babacan said on Wednesday, ''there has been an observable improvement process in our economy.''
Babacan said, ''the macroeconomic figures and other similar developments have paved the way for Turkey to become a center of investment once again. The recent positive atmosphere is permanent. All sections have begun feeling this atmosphere. In order to settle a healthy and lasting economic structure in Turkey, investments, production and employment should increase rapidly.''
Noting that YOIKK had made important contributions to efforts to remove administrative obstacles in front of Turkish and foreign investors, Babacan said, ''YOIKK has made a valuable contribution with its efforts to change of political and bureaucrat understanding. Some technical committees have completed their works. Foundation stages of companies were decreased from 19 to 3. Now, it is possible to found a company in a day.''
''The draft envisaging foundation of Turkey Investment and Promotion Agency was submitted to the Prime Ministry Office. Also, works have been continuing on some draft law. We expect them to be enacted in the new legislative year,'' he said.
Noting that completing the activities on sectoral license issue was important in the aspect of Turkey's becoming a country which was preferred in investment, Babacan said that the government attributed great importance to dialogue in its all decisions. He added that they also considered important the views and suggestions of concerned sectors.
Babacan said that dialogue milieu had an important role in the government's success especially in economic field.
The laws which are directly adopted according to the activities made until today within the scope of YOIKK are as follows:
''Direct Foreign Investments Law, Labor Law, Law on Work Permit for Foreigners, Company Establishment Law, Employment Agency Law, Law on Fight Against Smuggling, Self Employed (Bag-Kur) Law and Social Security Agency (SSK) Law.''
Laws, which are on the agenda of Parliament, are; Law on Establishment and Duties of Turkish Patent Institute and Amendment of this Law, Mine Law and Environment Law.
National Profession Standards Institute Draft Law, Investment Promotion Agency Draft Law, Draft Law on Protection of Integrated Circuit Topography and State Assistance on Investments Draft Law were sent to Prime Ministry.
The laws which are about to be presented to Prime Ministry and on which studies are continuing are as follows:
''Patent and Trademark Agencies Union Law, Law on Trademark Law Agreement, The Hague Agreement on International Registration of Industrial Conception, Draft Law on Establishment of Turkish Medicine Institute and Sectoral Licenses.''
Treasury Undersecretary Ibrahim Canakci, State Planning Organization Undersecretary Ahmet Tiktik, Union of Chambers and Commodity Exchanges in Turkey (TOBB) Chairman Rifat Hisarciklioglu, representatives of the Foreign Capital Association (YASED), Turkish Industrialists' and Businessmen's Association (TUSIAD), Turkey Exporters' Assembly (TIM) and some sectors and other bureaucrats attended the meeting.

(UK-GC-AÖ) 27.08.2003