ITO President Avdagiç on mid-year minimum wage hike: 'It would be reasonable to maintain the current process'

Istanbul Chamber of Commerce (ITO) President Şekib Avdagiç shared his assessments regarding recent economic developments and the debates surrounding a mid-year minimum wage hike.

ASSESSMENT OF THE "PROCESS" TO ECONOMIC MANAGEMENT

Avdagiç stated that thanks to the policies pursued by economic management over the past three years, Turkey has experienced a significant recovery in its foreign exchange reserves and made substantial progress in accessing external financing. However, noting that regional wars have affected economic balances, Avdagiç expressed that the business world has faced serious costs during this period.

MONETARY POLICY AND EXCHANGE RATE BALANCE MUST BE RE-EVALUATED

Speaking on the Central Bank's interest rate decisions, Avdagiç emphasized that the issue should not be evaluated solely on the axis of interest rate hikes or maintaining current levels. Stating that economic policies should be reviewed with a holistic approach, Avdagiç pointed to the need for updates in foreign exchange rate, export, and import policies.

2026 EXPORT TARGET: 410 BILLION DOLLARS

Pointing to the importance of the 410 billion dollar goods and services export target set for 2026, Avdagiç stated that the export-to-import coverage ratio should not fall below the 75 percent level.

SCOPE OF INDUSTRIAL SUPPORT MUST BE EXPANDED

Stating that industrial incentives should be extended to broader segments, Avdagiç emphasized that providing more support to medium-sized enterprises is critical for production and exports.

Avdagiç expressed that updating the Customs Union with the European Union holds strategic importance for Turkey. Regarding the energy sector, he noted that significant progress has been made through investments in renewable resources.

EMPHASIS ON THE CURRENT SYSTEM FOR MINIMUM WAGE

Addressing expectations for a mid-year minimum wage hike, Avdagiç stated that it would be more appropriate to maintain the current practice, adding, "The minimum wage is set once a year. It would be reasonable to maintain the current process."

News Source: 12punto