NEW YORK - State Minister Ali Babacan has said that six zeros would be erased from Turkish lira (TL) on January 1, 2005.
Babacan who is currently in New York to attend the United Nations General Assembly meeting on ''High-Level Dialogue on Financing for Development'' attended on Wednesday a reception hosted by Turkey's Consul General in New York Omer Onhon on the occasion of 80th anniversary of Turkish Republic.
Following the reception, Babacan told reporters that draft law on erasing six zeros from TL was ready and stated that the draft would be first submitted to the Council of Ministers and then to the parliament.
Babacan said that the draft on erasing zeros from TL on January 1, 2005 was prepared and stated that logistic preparations were also carried out according to it.
''New monetary unit should not suffer from inflation. 2003 target in inflation rate is 20 percent. We will decrease inflation to one-digit figure as of 2005 when six zeros will be erased from TL. We are solving the inflation problem,'' he stated.
Upon a question on situation in Iraq, he said that it seemed that the situation in Iraq could get out of control and stated that's why the United States would need international support.
Stressing that the Foreign Ministry was dealing with the issue, Babacan said that the issue of dispatch of soldiers to Iraq could be solved by a compromise between Turkey and the United States.
Babacan said that he met with U.S. Federal Reserve Bank Chairman Alan Greenspan and U.S. Treasury Secretary John Snow in meetings in Mexico and stated that he informed Greenspan and Snow about Turkish economy, EU process and Turkey's financial support to Afghanistan and Iraq.
Babacan is expected to leave the United States for Turkey in the afternoon after he attends the morning session of the United Nations General Assembly meeting on ''High-Level Dialogue on Financing for Development''.
(EÖ-AÖ) 30.10.2003