Mehmet Şimşek: We want to exit the foreign exchange-protected deposit scheme

Treasury and Finance Minister Mehmet Şimşek made assessments regarding the policy path and economic developments in Marrakech, Morocco, where he is attending the annual meetings of the World Bank and the IMF.

"We need at least one year to see the results of the economic program," said Şimşek, who also spoke about the foreign exchange-protected deposit (KKM) scheme.

"WE WANT TO EXIT KKM"

Expressing that they want to exit the KKM, Şimşek said, "While exiting the foreign exchange-protected deposit scheme, we are making traditional lira deposits more attractive than dollarization." Stating that they want to return to rule-based policy, Şimşek underscored that significant fiscal consolidation has been achieved in Turkey.

Şimşek noted that "monetary policy is tighter than what the policy rate implies," while stating that they would return to a rule-based monetary policy.