Economist İnan Mutlu lists them one by one: Why are the two bridges on the Bosphorus and the highways being privatized?

The government has pressed the button for the privatization of bridges and highways. The justification is not just to close the budget deficit; a critical message given to foreign capital is also drawing attention.

ECONOMIC JUSTIFICATION: HIGH REVENUE AT ONCE

Economist İnan Mutlu points to the economic dimension of the process and says the following:

“From an economic perspective, the government wants to reduce budget deficits by generating high revenue at once. But what is more critical is the message intended for foreign capital: ‘Do not worry about our debts; if necessary, we will sell our assets and pay our debts. You continue to lend us money.’ This approach is one of the cornerstones of economic genocide programs implemented with or without the IMF, and that is why privatizations are always kept on the agenda.”

REFRESHING CONFIDENCE FOR FOREIGN CAPITAL

According to experts, this sale is not just aimed at the domestic market. The government, which wants to demonstrate its borrowing capacity, aims to provide confidence to international financial circles through the privatization of bridges and highways.

According to Mutlu:

“Assets are being shown as collateral through sales in order to roll over debts. This is a message given to foreign investors and creditors that ‘Turkey has the capacity to pay its debts.’ However, in the long term, this strategy narrows the country’s independent room for maneuver.”

LEGACY OF THE ŞİMŞEK ERA

Reminding that privatization policies are not new in Turkey, experts emphasize that privatizations were frequently on the agenda during Mehmet Şimşek’s previous term as minister. Although highway and bridge privatizations were planned in those years, they were postponed because there were no buyers and because they were not wanted to be given to certain holdings.

The sale, which has come to the agenda again today, is interpreted with the analogy of “the good-for-nothing child who sells the silver in the house inherited from their ancestors.”

THE END OF STRATEGIC ASSETS?

The privatization of the two bridges on the Bosphorus and the highways is considered not only as a source of income but also as a step that will have a direct impact on Turkey’s economic choices and political independence.

News Source: 12punto