Fuat Oktay announced his 2020 growth target!

Oktay made the introduction speech of the 2020 Central Government Budget Law Proposal and the 2018 Central Government Final Account Law Proposal, the discussions of which started in the General Assembly of the Turkish Grand National Assembly.

Oktay said that they believe that the budget discussions in the Turkish Grand National Assembly, which is the manifestation of the national will, are a great opportunity to reveal the vision of President Recep Tayyip Erdoğan and his cabinet and to be accountable before the nation. He wished that the central government budget would be beneficial to the state and the nation.

Oktay emphasized that fluctuations in the economy, threats of sanctions and regional uncertainties do not move Turkey away from its goals, on the contrary, they lead it to hold on to its goals more tightly. “We see the 2020 budget as an opportunity for sustainable economic development and increase in social welfare, covering all segments of our society.” said.

Oktay stated that the 2020 budget centers on the targets of the 11th Development Plan and the New Economy Program and has a budget of 82 million.

Addressing the global economic outlook, Oktay pointed out that a moderate recovery is expected in terms of global growth in 2020.

Oktay pointed out that the increase in the global economy, commercial and geopolitical tensions, as well as the increase in uncertainties regarding the future of international economic and commercial cooperation, negatively affects investor confidence and global commercial developments, and in this context, global growth in 2018 increased from 3.8 percent to 3.6 percent. He stated that it was losing momentum by regressing.


Oktay pointed out that the increase in protectionist tendencies in developing economies, including Turkey, due to global trade wars, the weakening of the confidence and investment environment, and the significant economic slowdown seen in China continued in 2019, as in 2018.

Underlining that the growth rate in developed economies is expected to be 1.7 percent in 2019 and 2020, Oktay said that the low growth expectation compared to the averages of the past period stands out due to the weakening of foreign demand, especially due to trade tensions.

Oktay stated that despite the strong employment developments, US trade disputes put pressure on growth, and the effects of the trade war spread to many sectors.

Stating that economic growth in the euro area has slowed down since mid-2018 and showed a weak performance in the first half of 2019, Oktay stated that the slowdown in the export channel was reflected in industrial production, especially in the automotive sector.

Fuat Oktay stated that, as a result, global economic growth is expected to be slightly higher in 2020 compared to 2019 and rise to 3.4 percent, with supportive policies and the expected revival in economic activity.


Pointing out that the most important factor affecting global growth is the developments in trade volume, Oktay explained that the negative effects of the increasing trade tension between the USA and China limit the increase in global trade volume, and accordingly, the increase in protectionist policies in the world suppresses global growth rates.

Reminding that the US Federal Reserve (Fed) reduced interest rates for the first time after 2008 in July 2019 and continued its expansionary monetary policy by continuing to reduce interest rates in September and October, Oktay said that the Fed may also reduce interest rates in 2020 and that the policy rates of the European Central Bank will change. He emphasized that it is evaluated that it will continue to remain close to zero levels.

Reminding that the unemployment rate was 5 percent globally in 2018, Oktay stated that the lack of sufficient workforce suitable for the skills required by the labor market, due to inequalities in education and income levels as well as youth unemployment, stands out among the chronic problems of the global labor market.


Stating that the oil markets were under supply-side pressure at the beginning of the year and the prices moved upwards, Oktay said that as a result of the sanctions on Iran and Venezuela, as well as the increasing conflicts in Libya, and the production cut decisions of some non-OPEC countries, especially OPEC and Russia, the barrel price of Brent oil decreased. He stated that it exceeded the $70 level.

Explaining that the re-escalation of trade war tensions in May triggered demand-side concerns and put downward pressure on oil prices, Oktay stated that average oil prices are expected to be 61.8 dollars in 2019 and below 60 dollars in 2020.

Stating that the Turkish economy is expected to be positively affected by expansionary monetary policies with the expectation of recovery in foreign demand due to global growth and trade, Oktay said, “Fluctuations that may occur in global financial markets and upward movements in oil prices may pose a risk on the current account balance and inflation in the Turkish economy.” he said.

Referring to the basic actions and services carried out in the last 17 years, Oktay said, “Behind our successes in the economy is our stable stance in budget discipline.” said.

Oktay underlined that they reduced the budget deficit, which was 11.2 percent in 2002, to 2 percent at the end of 2018, thus creating a financial structure where tax revenues can be spent more effectively.

Explaining that in addition to supporting growth and employment with the financial field, they have made significant developments by making major infrastructure investments in economic and social fields such as transportation, R&D, education and health, Oktay said, “In the 2003-2018 period, they achieved an average annual growth of 5.6 percent throughout the economy.” We created 9.8 million new jobs in total and approximately 610 thousand new jobs on an annual average. We increased the share of R&D expenditures in national income from 0.51 percent in 2002 to 1.03 percent in 2018. The amount of expenditure in question is 2002. While it was 1.8 billion lira in total in 2018, it increased to 38.5 billion lira in 2018.” he said.


Pointing out that they have made significant infrastructure investments in many areas, especially transportation, Vice President Oktay said, “In this context, we increased the number of airports to 56, our divided road length to 27 thousand 123 kilometers as of November 2019, and 1,213 kilometers for the use of high-speed trains that were not in use before.” “We created a line. By increasing the total number of classrooms from 343 thousand to 721 thousand, we reduced the number of students per classroom in primary education from 36 to 24.” he said.

Oktay explained that while they increased the number of hospital beds per 10 thousand people from 24.8 to 27.9, and the number of qualified beds from 19 thousand to 145 thousand, he said, “As a result of our health investments, the infant mortality rate per thousand live births has increased from 31.5 to 6.8.” e, we have reduced the maternal mortality rate per 100 thousand live births from 64 to 13.6. We demonstrate our stable attitude towards the budget discipline that enables these gains in a way that will further support growth and prosperity.” said.

Oktay, who conveyed the developments regarding the Turkish economy, stated that in the last 17 years, Turkey began to make its weight felt in the world not only economically but also politically and became one of the regional power centers of the world.

Stating that this situation did not go unnoticed by Turkey’s political and economic rivals and that Turkey faced many internal and external political and economic shocks with conscious moves, Oktay reminded that the latest example of these was the speculative exchange rate attacks that started in August 2018.


Stating that the government, under the leadership of President Erdoğan, did not succumb to the attacks with its determined attitude despite all kinds of open threats and pressures, and that these shocks were neutralized with the measures taken, Oktay said, “A very determined fight against the rising inflation as a result of the shocks was put forward, with the support of our people, expectations were managed well and there was a significant increase in inflation.” “The decrease was achieved and the price increase was prevented from solidifying.” said.

Emphasizing that economic growth is supported by tax reductions, employment incentives and credit programs without compromising fiscal discipline, Oktay said that with the foreign trade policies implemented and the measures taken, the composition of imports began to change to support exports, and important steps were taken towards an economy with a current account surplus with the support of tourism revenues.

Stating that the monetary and fiscal policies envisaged in the New Economic Program will continue to be implemented in a coordinated manner, Oktay said, “The structural transformation in the economy, with steps that will strengthen predictability in basic areas such as the judicial reform strategy and tax reform, will further reduce inflation and help the economy sit on a sustainable growth path.” “In this context, our growth target for 2020 has been determined as 5 percent.” he said.

Vice President Fuat Oktay stated that structural steps will be taken for the labor market, and in this context, it is envisaged that the labor market trial and equalization period and part-time working issues will be made flexible by agreement between the parties.

Oktay, in his presentation speech of the 2020 Central Budget Law Proposal and the 2018 Central Government Final Account Law Proposal, the discussions of which started in the General Assembly of the Turkish Grand National Assembly, said that the 12-month consumer inflation rate was 25.2 percent in October as a result of the cost pressure resulting from the increase in exchange rates and the deterioration in pricing behavior. He said he had reached his level.

Oktay stated that inflation has entered a downward trend as a result of the strong coordination between monetary and fiscal policies, the downward movement in oil and other commodity prices, the softening of the impact of exchange rate-related price fluctuations on consumer inflation through public pricing mechanisms, and the social support shown within the framework of the fight against inflation. He stated that it eventually decreased to 20.3 percent, in line with the New Economic Program predictions, and to 10.56 percent as of November 2019.

Oktay reminded that at the end of 2019, CPI is expected to be below the 12 percent level, which is the New Economic Program (NEP) target.

Pointing out that the main goal is to permanently reduce inflation to low, single-digit levels by implementing the policies envisaged in the YEP, Oktay also emphasized that in this context, inflation is expected to drop to 8.5 percent in 2020 and 4.9 percent in 2022.

Pointing out that exports, although negatively affected by the slowdown in the EU economy, increased to 176.9 billion dollars in 2018 according to the general trade system, Oktay stated that annual exports will exceed 180 billion dollars by the end of this year and that the export target for 2020 is 190 billion dollars.

Oktay pointed out that they estimate that travel revenues will reach 29 billion dollars by the end of this year, and said, “In this context, we foresee our travel revenue target as 34.3 billion dollars in 2020, when we expect the revival in tourism to continue.” he said.


Oktay stated that the current account balance is expected to have a deficit at reasonable levels in 2020, as envisaged in the NEP.

Pointing out that the decline in risk premiums along with the decline in inflation and the favorable environment for quality capital inflows will be the main determinants of external financing, Oktay explained that in this context, the ratio of the current account deficit to GDP is expected to be -1.2 percent in 2020.

Oktay emphasized that they expect the export of high value-added products to increase due to the transformation in production, and that this will also be supported by reducing dependence on imports through localization.

Pointing out that a permanent improvement in the current account balance will be achieved with the significant increase in travel revenues, Oktay stated that in this way, the need for external financing will decrease and the balanced and sustainable growth trend will be maintained.

Fuat Oktay underlined that Turkey will continue to be the address of fast and easy trade and a safe port in its region with new generation applications in the coming period.

Explaining that the unemployment rate was at 11 percent last year with the additional employment of approximately 550 thousand people, Oktay said that the developments in growth were also reflected in employment, the labor market was affected by the growth in the economy, and as a result of the economic slowdown that started in the second half of 2018, the unemployment rate was expected to be 12.9 percent at the end of this year. He said it was foreseen.


Vice President Oktay stated that a recovery in economic activity is envisaged with a targeted 5 percent growth in 2020, and as a result, an improvement in labor force participation and employment rates.

Oktay said, “As a result of the strengthening of the economic confidence environment for employment, employment incentives will continue to be implemented effectively, along with the implementation of deferred investments and the increase in production. In addition, structural steps will be taken for the labor market. In this context, labor market trial and equalization period and part-time working issues will continue to be implemented.” “It is envisaged that it will be made flexible by agreement between the parties.” he said.

Explaining that a strong support package will be implemented for women’s employment in 2020, Oktay said that incentive practices will be increasingly continued to increase flexible working opportunities, strengthen women’s cooperatives, child care services and disseminate vocational training programs determined according to needs, which will facilitate women’s entry into working life and increase women’s employment. he pointed out.

Oktay stated that they will reduce youth unemployment by redesigning and implementing employment incentives according to needs and including young people in vocational training programs suitable for the needs of the business world, and in this context, employment will increase by 1 million 52 thousand people in 2020 compared to this year, and the unemployment rate will decrease to 11.8 percent. He noted that it is expected to decline, and that according to the YEP, employment is aimed to be increased by 3.2 million people in the next three years and unemployment is aimed to be reduced to 9.8 percent in 2022.


Vice President Oktay emphasized that one of the most important gains in public finance is the reduction of the share of interest payments in the budget.

Oktay stated that while the share of interest expenditures in budget expenses was 43.2 percent in 2002, this rate is expected to remain at 12.7 percent in the 2020 budget, and pointed out that the amount of resources allocated as services to citizens has been significantly increased with the fiscal space they created within this framework.

Oktay pointed out that a similar view emerges when tax revenues and interest expenses are compared and said:

“While 85.7 lira of every 100 lira of taxes collected in 2002 went to interest expenditures, it is estimated that only 17.7 lira will be allocated to interest expenditures in the 2020 budget. Another important achievement of public finance is a significant decrease in the debt stock. In the early 2000s The EU-defined debt stock level, whose share in the Gross Domestic Product is 76.1 percent, is at the level of 32.2 percent as of the second quarter of 2019. According to the data of the European Statistical Office, in the same period, the ratio of the debt stock of the 28 EU member countries to the Gross Domestic Product is 80 percent, It is at level 5.

According to the October 2019 IMF Global Economic Outlook Report, the rate in question is 103.1 percent for developed countries; For developing countries, it is at 53.3 percent. The fact that our debt stock is at low levels of 32.2 percent has significantly increased the functionality of our fiscal policy. “We aim for the ratio of the EU-defined general government debt stock to the Gross Domestic Product, which is expected to be 32.8 percent in 2019, to reach 33.2 percent by 2020 and to 32.3 percent at the end of the New Economy Program period.”


Vice President Oktay also touched upon the 11th Development Plan and explained that the targets were determined within the framework of a stable growth model based on exports, in which the industrial sector played the driving force role with a focus on efficiency.

Oktay stated that in the determined growth model, it is aimed to direct investments to productive areas on the one hand, and to increase domestic savings on the other hand, and in this context, they aim to increase the ratio of domestic savings to national income to over 30 percent at the end of the plan period. He said that in addition to encouraging companies to save, it is envisaged to increase public savings and direct these savings to investments in productive areas of the economy.

Fuat Oktay explained that in addition to the transition to the program budget system in order to implement the fiscal policies that support the growth envisaged in the plan, the expenditures were reviewed to increase the effectiveness of the fiscal policy and said:

“In addition, it is envisaged to increase the own revenues of local governments, as well as revisions that will strengthen tax justice and expand the tax base. In addition, in order to strengthen the social security system, increasing registered employment, expanding the population covered by the system and increasing premium collections will relieve the pressure of retirement and health expenditures on public finances.” “It is aimed to keep it under control.”


Vice President Oktay pointed out that the fiscal policies implemented after the exchange rate shock in August 2018 supported economic activity as well as the fight against the current account deficit and inflation.

Reminding that thanks to the effective budget policies implemented, the ratio of the central government budget deficit to the Gross Domestic Product was at a reasonable level of 2 percent in 2018, Oktay said:

“We will continue to maintain fiscal discipline with determination in the 2020-2022 period. In this context, we aim to increase the revenue performance of the budget, increase the efficiency of tax collection with permanent income sources and reduce informality in the economy. We will implement structural changes that will ensure the efficient use of resources and increase savings in determined areas. Thus “Public debt will be kept at low levels. We aim to keep the ratio of budget deficit to Gross Domestic Product below 3 percent in the next three-year period covered by the New Economic Program.”

Stating that last year’s budget expenditures were 830.8 billion and budget revenues were 758 billion liras, Oktay explained that the budget deficit was 72.8 billion and the primary surplus was 1.1 billion liras.

Stating that 2018 budget expenditures increased by 10.8 percent compared to the initial budget estimate and 1 percent according to the year-end realization estimate, Oktay stated that, on the other hand, budget revenues increased by 8.1 percent compared to the initial budget estimate and 1.1 percent according to the year-end realization estimate. gave. Oktay said, “The budget deficit of 72.8 billion liras in 2018 was 6.9 billion liras above the initially predicted deficit, and the year-end realization estimate was 0.7 billion liras above.” said.


Vice President Oktay also touched upon year-end expectations regarding the 2019 central government budget realizations.

Emphasizing that central government budget expenses are expected to be 992.4 billion and central government budget revenues to be 867.4 billion lira this year, Oktay stated that they expect the budget deficit to be 125 billion lira and the non-interest deficit to be 21.9 billion lira at the end of this year.

Fuat Oktay stated that they expect the 2019 year-end budget deficit to be 125 billion lira, 44.4 billion lira above the initial budget target, and continued as follows:

“We predict that the ratio of this deficit to national income will be 2.9 percent. If we look at the details of the budget expenses, in 2019, personnel expenses will be 250.7 billion liras, state premium expenses for social security institutions will be 43.7 billion liras, and goods and services procurement expenses will be 78.4 billion liras. “We expect current transfers to be 397.1 billion liras, capital expenditures to be 75.3 billion liras, capital transfers to be 15.3 billion liras, lending expenses to be 28.8 billion liras, and interest expenses to be 103.1 billion liras.”

Vice President Oktay said that they predict that tax revenues will be approximately 668 billion liras and non-tax revenues will be approximately 200 billion liras in 2019.

Oktay stated that in the 2020 Central Government Budget Law Proposal, budget expenditures are 1 trillion 95.5 billion, non-interest expenses are 956.5 billion, budget revenues are 956.6 billion lira, and in next year’s budget, tax revenues will be 784.6 billion lira and the budget deficit will be 956.5 billion lira. He reported that it was estimated as 138.9 billion lira.

Oktay stated that in the 2020 budget, personnel expenses are 282.5 billion, state premium expenses to social security institutions are 48.1 billion, goods and services purchase expenses are 75.6 billion, current transfers are 451.1 billion, capital expenses are 56.6 billion, capital transfers are 6 billion, He informed that 8 billion liras, lending expenses were 27.1 billion liras, reserve appropriations were 8.8 billion liras, and interest expenses were 138.9 billion liras.

Fuat Oktay stated that in 2020, Central Government Budget revenues are expected to increase by 10.3 percent compared to the 2019 revenue target, reaching 956.6 billion liras, tax revenues are expected to increase by 17.5 percent, reaching 784.6 billion liras, and non-tax revenues are expected to reach 172 billion liras. He stated that it was done.

Underlining that budgets are a reflection of the fiscal policies shaped according to the developments in the economy, Oktay emphasized that in this context, the 2020 budget was prepared in accordance with the “balancing”, “discipline” and “change” approach envisaged in the economy.

Oktay emphasized that the main purpose of the 2020 budget is to develop the gains they have achieved within the framework of balancing the economy, sustainable growth focused on production and efficiency, and the establishment of fair sharing, and continued his words as follows:

“The 2020 budget will be a service budget, as in our previous 17 budgets. While the share of interest payments in the budget will decrease, the share of payments that will go to citizens as services will increase. Our resources in the budget will be used to meet the services needed by our citizens. As we foresee in the New Economic Program, the budget will have solid and sustainable incomes.” “Our main priority will be to ensure that the revenues collected are sustainable and that the revenues collected are used with an understanding based on service to our citizens.”


Oktay stated that raising qualified and happy individuals who transform knowledge into economic and social benefit, who are prone to use of technology and production, and who are prone to use technology and production, has always been their main priority, with an inclusive and quality education move at all levels aimed at strengthening Turkey’s human capacity.

Oktay pointed out that significant progress has been made in making education services, which were seen as basic public services during the AK Party governments, widespread and accessible, and within this framework, the number of teachers has been increased, schooling rates have increased at all levels of education, especially girls and disadvantaged students, and the number of students per classroom has increased. stated that it had been significantly reduced.

Stating that their starting point regarding education is “strong teacher, strong future”, Oktay said that education has always been a country and nation’s duty for them. Oktay said, “As always, we attach great importance to education in our 2020 budget. We are increasing the budget resources we allocate to education to 176.1 billion liras in 2020. Thus, we allocate approximately 16.1 percent of the budget expenses to education alone.” he said.

Vice President Oktay, in the budget, aims to increase the quality at all levels of education; He emphasized that the investments they will make towards the transition to single education, the expansion of pre-school education, the modernization of vocational and technical education workshops and laboratories, the establishment of design and skill workshops, and the support of teachers’ professional development will come to the fore in 2020.

In addition, Oktay explained that it continues to provide significant support to students directly in cash and in kind from the 2020 budget, and that the amount of funds allocated in this context is 26.4 billion lira, and said:

“12.5 billion liras for scholarships and education loans from which 2 million students benefit, 4.5 billion liras for the transported education and meal aid program from which 1 million 315 thousand students benefit, approximately 3.7 billion liras for educational programs from which 403 thousand disabled children will benefit, 1.8 billion lira within the scope of support and training courses for our students, 804 million lira within the scope of education support for approximately 160 thousand students attending private schools, 1.2 billion lira as accommodation support for 353 thousand students living in hostels, 2 million 186 thousand university students as a result of abolishing the tuition fees at universities. “602 million liras will be given to our universities for their students, and 1.3 billion liras will be provided within the scope of free book support.”


Stating that they have increased the expenditures in the field of health over the years in order to raise healthy generations, Oktay said, “We will allocate 188.6 billion liras to health in the 2020 budget. Thus, the share of health expenditures in the budget, which was 11.3 percent in 2002, will increase to 17.2 percent in 2020.” “We’re taking it out.” said.

Oktay stated that in 2020, 98.4 billion lira will be allocated for treatment expenses, 47.3 billion lira for pharmaceutical expenses, and 10.5 billion lira for family medicine.

Stating that they will continue to support infrastructure investments that will encourage the innovative and productive investments of the private sector, and within this framework, they allocated 64.1 billion liras for investments from the central government budget in 2020, Oktay said, “In line with the importance we attach to local governments, the amount of resources allocated from the budget to local governments has also been increased during our rule. In this context, we are increasing the resources we allocate to our metropolitan and other municipalities and special provincial administrations by 18.2 percent compared to the 2019 budget, reaching 97.3 billion liras.” he said.

Oktay stated that they allocated 1.5 billion lira for the KÖYDES project, which they created to strengthen the infrastructure of villages, 837 million lira for the SUKAP project, which they created to strengthen the water and sewage infrastructure of municipalities, and 2.4 billion lira for street lighting.

Stating that they increased the amount of resources allocated for social expenditures in the budget to 69.5 billion liras, Oktay said that this amount corresponds to 6.3 percent of the 2020 budget, while in 2002, this rate was 1.3 percent and the allocated resource was only 1.6 billion liras. .

Oktay stated that they allocated 13.4 billion lira to cover the health expenses of citizens who do not have the ability to pay, and 11.6 billion lira within the scope of pensions given to elderly people over 65 years of age, disabled citizens in need of care and relatives of disabled citizens, and 9.4 billion lira to support the home care of disabled citizens. billion lira, 1.8 billion lira within the scope of electricity consumption support for poor families, and 1.6 billion lira for social and economic support payments that enable children and young people in economic deprivation to grow up with their families.


“Strengthening the position of women is one of our basic policies.” Oktay emphasized that, in this context, they continue to implement the Women’s Empowerment Strategy Document and Action Plan, which is built on the basic axes of education, health, economy and participation in decision-making mechanisms.

Oktay continued as follows:

“We are taking new steps to support women’s cooperatives in order to develop women’s entrepreneurship. We have established women’s cooperatives working groups in 81 provinces. With the impact of our incentives and supports, we aim to increase the women’s employment rate to 34 percent and the women’s labor force participation rate to 38.5 percent in 2023.” We aim.

We continue our fight against violence against women with the understanding of ‘zero tolerance’. In this context, by launching the ‘Coral Mobilization’, our Ministries of Family, Labor and Social Services, Justice, Internal Affairs, National Education, Health and the Presidency of Religious Affairs came together and prepared our 2020-2021 Coordination Plan. “To date, a total of 514 thousand people have benefited from the Violence Prevention and Monitoring Centers that we opened in 81 provinces.”

Oktay underlined that the work continues uninterruptedly to enable young people to utilize their free time, support their personal and social development, protect them from harmful habits and enable their active participation in decision-making processes, and said, “Seminars and trainings are given to our young people on the fight against all types of addiction, and projects on the fight against addiction are supported. “We continue to work to support our university students economically, accommodate them in modern environments, and ensure that they have a healthy and balanced diet.” he said.

Reminding that in the field of sports, the construction of stadiums, swimming pools, youth centers, gyms, athletics tracks and similar youth and sports facilities and the modernization of existing facilities were carried out, Oktay said, “There are 37 stadiums, 294 sports halls and 79 swimming pools in the investment program.” “962 of 1220 youth and sports facility projects have been completed and put into service.” said.


Pointing out that agriculture and forestry are among the areas that are always given importance, Vice President Oktay said:

“We have developed a 100% domestic and environmentally friendly Electric Tractor prototype that saves up to 90% by reducing the use of diesel fuel, which is the most important problem of our manufacturer. We will increase our similar work. In 2020, we are increasing the resources we allocate to agriculture and forestry from our budget to 40.3 billion lira. In this context, We allocate 22 billion liras for agricultural support programs, 5.1 billion liras for agricultural sector investment allowances, 6.3 billion liras for agricultural credit subsidies, intervention purchases, financing of agricultural SOEs and export supports. The resources we allocate for agricultural support programs are 2019. “We are increasing it by 36.7 percent compared to the year’s appropriations, reaching 22 billion lira.”

Oktay stated that in order to meet the increasing energy demand in Turkey without any problems, by paying attention to the priority use of national resources, efforts continue uninterruptedly to offer all energy resources to the service of the nation, and in this context, in order to use energy with high efficiency, strengthen the security of supply and contribute to reducing the current account deficit, Oktay said: He said that they make maximum use of renewable resources.

Oktay said, “We continue to realize our claim to become an energy base in the region by connecting Asia to Europe with TANAP, which extends from the Caspian to Italy. The construction and manufacturing of the TurkStream project, which will supply natural gas to our country and Europe, has also been completed.” he said.

Vice President Oktay noted that the Fatih and Yavuz ships continue their drilling activities in the Eastern Mediterranean and said, “We will continue to follow an active strategy in oil and natural gas exploration activities by opening 5 more wells in 2020 with our national ships.” he said.

Oktay, in his presentation speech of the 2020 Central Budget Bill and the 2018 Central Government Final Account Law, the discussions of which started in the General Assembly of the Turkish Grand National Assembly, said, “We allocate 44.5 billion lira from our budget for real sector supports. Thus, we have increased the real sector support in the real sector, which we have significantly increased in the last two years. “We continue our growth strategy through the private sector by continuing our support in 2020.” said.

Stating that the employer premium of 25.3 billion lira, which must be paid by businesses to the social security institution in 2020, will be covered from the budget, Oktay said that 5 billion lira has been allocated in the 2020 budget within the framework of loans provided with Treasury-backed guarantee.

“In order to increase the competitive power of our exporters, we aim to spend 3.8 billion lira from the budget within the scope of export supports.” Oktay stated that they will increase the interest support amount given to agricultural loans through Ziraat Bank by approximately 23 percent to 4.2 billion lira.


Oktay stated that they will allocate 2.2 billion lira as interest support for tradesman loans to be provided through Halk Bank in 2020, and 1.4 billion lira to the KOSGEB budget.

Oktay stated that they allocated 1 billion lira within the scope of incentive payments from the 2020 budget to be made available through the Ministry of Industry and Technology, and said, “While we provide support for R&D expenditures of the public and private sector, especially TÜBİTAK, from our budget, on the other hand, we provide support for R&D expenditures of the private sector through tax and other legislative regulations.” “We make a significant contribution to GE investments. For these purposes, we allocate approximately 5.5 billion lira in our 2020 budget.” he said.

Oktay noted that more than 44 million users were reached on the Digital Turkey Platform as of December 9, 2019, and a total of 5 thousand 115 services were provided by 638 institutions and organizations, and that a total of 111 processes were simplified within the scope of the zero document policy studies, while the average number of documents per service was 3.8. He said that as a result of the work carried out, the average number of documents requested has been reduced to 0.34 and their goal is to reduce this to zero.


Oktay noted that they expect the amount of state contribution to be transferred from the budget within the scope of the Private Pension System in 2020 to reach 5.1 billion lira, so that the total amount of state contribution covered by the budget at the end of 2020 will be 25.6 billion lira.

Oktay stated that public servants’ salaries and salaries increased well above inflation in the 2002-2019 October period, and continued his speech as follows:

“The lowest civil servant salary, including family support allowance, was 392 lira in December 2002, and it was increased to 3 thousand 707 lira in October 2019, the increase rate reached 846 percent. The average civil servant salary, including family allowance allowance, was 578 lira in December 2002, and 4 thousand lira in October 2019.” It was increased to 483 lira, the increase rate reached 676 percent. While the headman’s salary was 97 lira in December 2002, it was increased to 2 thousand 027 lira in October 2019, the increase reached 1,982 percent. While the wages of security guards were 236 lira in December 2002, it was 2 lira in October 2019. “It was increased to 1,162 liras, the increase reached 815 percent.”


Reminding that the Judicial Reform Strategy Document was announced by President Recep Tayyip Erdoğan on May 30, Oktay said that the document was prepared with a participatory approach in order to meet social demands and ensure that citizens can receive effective and higher quality justice services in a reasonable time.

Pointing out that the intense social interest in the Strategy Document is an indication that they are in the right direction, Oktay emphasized that many innovations have been introduced within the scope of the first judicial package enacted into law.

Explaining that increasing the guarantee of freedom of expression, imposing a maximum limit on detention periods during the investigation phase, introducing an entrance exam for legal professions, introducing new trial and trial procedures, and issuing specially stamped passports to lawyers are some of these innovations, Oktay said, “We hope to make our system stronger with new reform packages in 2020.” “We are aiming for this. Our determination on this issue is complete.” he said.


Oktay noted that Turkey’s entrepreneurial and humanitarian foreign policy, which is based on being strong on the field and at the table, will continue to be implemented with an approach focusing on national interests, peace and stability of the region and the world, and human welfare and tranquility, and said:

“The world is struggling with instability, uncertainty and serious challenges at the global level. The humanitarian foreign policy we have implemented in such an environment and the criticism we have directed through the United Nations Security Council to the distortions of the global system with our President’s statement ‘The world is bigger than 5’ have resonated around the world. Syria” Our open door policy against the humanitarian crisis in Turkey and our support for the oppressed people of the world under all circumstances have broken the existing routine. The Syrian issue maintains its place on our agenda as one of the most vital foreign policy topics. The voluntary and safe return of refugees in our country to their countries can only be achieved through Syria. “It is possible for Turkey to regain peace, security and stability.”


Underlining that Operation Peace Spring aims to eliminate Turkey’s security concerns, save the people of the region from the pressure of PKK-YPG-PYD and DAESH, create a suitable environment for Syrian refugees to return to their country safely, and contribute to the preservation of Syria’s territorial integrity, Oktay said, “In this direction, “We have actually cleared an area of more than 4 thousand square kilometers from terrorism and reinforced our determined stance on the field with diplomatic moves. At the same time, with the agreements reached with the USA and Russia, we ensured that the legitimacy of the operation was registered and the safe zone was recognized. Our fight against terrorism in the Operation Peace Spring region will continue until terrorism is completely cleared in this area.” made his assessment.


Oktay said, “Another example of our determined stance in foreign policy is the uncompromising policy followed by our country against the sharing problem of hydrocarbon resources, which has recently escalated in the Eastern Mediterranean. We show our determination on this issue with our practices, including our exploration activities in the field, as well as our effective diplomatic initiatives.” he commented.

Oktay continued as follows:

“With the Memorandum of Understanding on the Delimitation of Maritime Jurisdiction Areas that we signed with Libya, we have connected the two mutual shores with a bridge of friendship. This agreement, which was accepted in the Turkish Grand National Assembly and published in the Official Gazette following the approval of our President, was also approved by the Presidential Council of the Libyan Government of National Accord as of yesterday. Turkey will not make the slightest compromise on its rights and interests neither in Cyprus nor in the Aegean nor in the Eastern Mediterranean. While our country is closely affected by the uncertainties in the region, organizations such as the United Nations, the European Union and NATO will fulfill their responsibilities towards Turkey in this process. “Unfortunately, they did not fulfill it. Despite all this, under the leadership of our President, our state has managed to ‘cut its own navel’ and become a powerful actor with a voice in the international arena.”


Saying that they fight terrorism with determination at home and abroad, Oktay said, “With the effective, deterrent and respectable qualities of our security forces and armed forces, they successfully continue operations such as Kıran at home and Claw abroad, eliminating the terrorist threat at its source. Like FETO members who betrayed the Turkish nation, “Traitors who think they can escape by escaping abroad cannot escape being held accountable to Turkish justice. We will continue to find and bring them to justice wherever they are.” said.

“There is now a Turkey that acts within the framework of its own interests, not within the framework determined by other countries, and that wins both at the table and in the field.” Oktay said, stating that Turkey will continue its people-oriented policy.


Fuat Oktay emphasized that the development of the national defense industry for the purpose of ensuring national security has once again shown itself in the domestic and international operations carried out in recent years, and stated that the projects carried out by the Presidency of Defense Industries in recent years provide added value to the development of the security forces day by day. did.

Pointing out that the defense industry turnover was 1 billion dollars in 2002 and reached 8 billion 760 million dollars today, Oktay stated that as of this year, 5 Turkish companies are among the world’s 100 largest defense industry companies.

Stating that defense and aerospace exports reached 2 billion 188 million dollars at the end of 2018, Oktay said, “We expect our exports, which increased by 37.7 percent in the third quarter of 2019 compared to the previous year, to reach a record level at the end of the year.” he said.

Reminding that the number of domestic attack helicopter ATAK has exceeded 50 and that the original general purpose helicopter GÖKBEY has made its first flight, Oktay said, “While the ANKA unmanned aerial vehicle continues to be in service, the AKINCI attack unmanned aerial vehicle has started its test flights. It is an unmanned aircraft with high payload capacity.” Our aircraft, AKSUNGUR, will be ready for use by the end of this year. In addition, the fourth of our national ship, MİLGEM, TCG Kınalıada, our domestic anti-ship missile, ATMACA, with its weapon system integrated, was delivered to our Naval Forces this year and started its duty. Our landing ship, TCG Anadolu, is was lowered into the water.” he said.

Stating that work on defense systems continues intensively, Oktay noted that the localization and nationalization move in the defense industry will continue to grow stronger in the 2020 budget period.

Oktay, in his introductory speech of the 2020 Central Budget Bill and the 2018 Central Government Final Account Bill, the discussions of which started in the General Assembly of the Turkish Grand National Assembly, said that public revenue policies in the 2020-2022 period will be aimed at supporting growth, providing financing for public expenditures, supporting development and income justice, improving our economy. He stated that they will carry out their activities in line with the goals of increasing competitiveness and contributing to domestic savings.

“In response to the speculative exchange rate attacks that started in August 2018, the measures taken by our government regarding income policies with a proactive approach played a vital role in the revival of the economy.” Oktay stated that the most important of these applications is the Ecel mobile system, which is the ceiling price system applied for fuel products.

Reminding that in case of an increase in fuel prices due to oil prices or exchange rates, they keep pump sales prices at certain levels by reducing the SCT amount by this increase, Oktay continued as follows:

“With this policy, in addition to reducing the price burden for our citizens and producers, we contributed significantly to the process of reducing inflation by giving up a certain amount of public revenue. In addition, we provided a 25 percent discount on title deed fees, to be applied for one year, to further stimulate economic activity in 2019, We reduced the VAT on housing and some workplace purchases from 18 percent to 8 percent. We reset the SCT on white goods purchases and reduced the VAT on furniture from 18 percent to 8 percent. To be implemented for six months for the January-June period. “We provided an approximately 30 percent discount on automobile purchases. We reduced the VAT from 18 percent to 1 percent on commercial vehicle purchases.”

Oktay emphasized that they continue to work to increase the efficiency of tax collection with permanent income sources in order to increase the revenue performance of the budget, as well as supporting growth and the disinflation process with certain tax reductions without compromising the budget discipline, and in this context, they plan to switch to an export-oriented and technology-based production model in line with the development goals. He said they predicted.


In this regard, Oktay pointed out that they provided additional support to the manufacturing sector in 2019 for high value-added production, qualified employment and an export-based growth model, and said:

“In the coming period, we will strengthen the foundations of the structural transformation we envisage in the economy by making regulations to increase high value-added production and exports in order to increase competition and efficiency throughout the economy. For this purpose, we will increase the channels of access to finance in the manufacturing industry. We will alleviate the guarantee costs requested from SMEs. We will implement the Credit Guarantee Fund.” “We will develop it with an industry focus. We will implement participation banking instruments and regulations for private pension funds to invest in industrial projects.”

Oktay stated that they will consider tax incentives with all their socio-economic effects in the coming period and review all tax expenditure regulations, and stated that they will simplify the repetitive incentives and supports and gradually remove the ineffective ones.

Stating that they will expand the tax base with new regulations, reinforce justice in taxes and increase efficiency in collection, Oktay underlined that they will continue their efforts to simplify the tax legislation in order to make it simpler and more understandable, while also taking into account taxpayer compliance.

Oktay said that by carrying out a planned struggle to reduce the unregistered economy, they reduced the unregistered employment rate from 52.1 percent in 2002 to 33.4 percent as of the end of 2018.


Oktay pointed out that the 2020 Central Government Budget was prepared in an environment where financial fluctuations and trade wars were experienced at the global level, and where Turkey was exposed to geopolitical risks and threats, and said, “In the coming period, we will continue to implement the policies set out in the Eleventh Development Plan and New Economic Program.” “In order to achieve the targets, we will gradually allocate the necessary resources, as in our 2020 budget, and continue our policies to ensure that the budget supports our growth and development goals.” he said.

Oktay emphasized that they will further increase the efficiency of public administration and public finance by using the advantages of the Presidential System of Government and said, “The ultimate goal of our 2020 budget is to increase the welfare of our citizens and to provide them with faster and higher quality services. International arena.