DEVA Party Chair Ali Babacan calls on government regarding fund crisis: “Do not touch the Treasury or the Central Bank”

DEVA Party Chair Ali Babacan described the developments in capital markets as a “fund fraud” and issued a warning to the government regarding the use of public resources.

In an evaluation made on a YouTube channel, Babacan referred to the Fund Coordination Board Meeting held under the chairmanship of Vice President Cevdet Yılmaz, stating that the resources of the Treasury and the Central Bank should not be used in this process.

Do not even think about touching the Treasury’s resources. Do not touch the Central Bank’s money-printing machines. Do not ever use the taxes the state collects from millions of people, the rights of the unborn orphan, in these matters. A ‘heads I win, tails the Treasury loses’ mentality must not be permitted.

Arguing that the deployment of public resources in a matter for which the state is not a guarantor and has provided no guarantee would create serious risks, Babacan noted that such an approach is defined in economics as “moral hazard.”

Babacan expressed their opposition to private gains being left to individuals while losses are loaded onto the public, stating, “The cost of a risk for which the state is not a guarantor should not be paid by the citizens. We will be closely monitoring this and will hold them accountable for every single penny.”

Criticizing the structure of the board formed under the chairmanship of Cevdet Yılmaz, Babacan said that a continuously working “task force” consisting of experts in capital markets, central banking, banking, and law should be established for crisis management.

Babacan stated that it must be explained why the relevant institutions did not take action in a timely manner despite the growth of the process, and demanded that those responsible be removed and that the path forward be taken with a new team.

News Source: 12punto