ISTANBUL - Turkish Treasury Undersecretary Ibrahim Canakci said Thursday that he forecasts a slowdown in this year`s growth rate because of recent global economic crisis, predicting that it might go down to 4.5 percent.
Government`s expectation was 5.5 percent.
Canakci told a conference organized by Forum Istanbul that forecasts regarding inflation rate climbed to 8 percent, adding that current account deficit would be around 6 or 6.5 percent. This rate was 5.7 percent in 2007.
"Soaring oil and food prices have negative impact on Turkish economy. This is more important when we consider Turkey`s dependence on foreign energy and predominant place of food prices in consumer price index," he said. "However, I would like to underline that overall picture for Turkey is quite positive."
Canakci also said Turkey`s top priority for the mid-term was still macro- economy and financial stability.
"Macro-economy and financial stability are the core element of our success over the past six years and will continue to be so," Canakci said.
He said short-term concerns should not overshadow this goal, adding that another priority for Turkey was to control current account deficit and maintain financial continuity.
(TÇ-ULG)