Turkey : 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Turkey

Author/Editor:

International Monetary Fund. European Dept.

Publication Date:

April 30, 2018

Electronic Access:

Free Full Text. Use the free Adobe Acrobat Reader to view this PDF file

Summary:

Growth rebounded sharply in 2017, helped by strong policy stimulus in the wake of the 2016 post-coup attempt slump and by favorable external conditions. Although expansionary policies were initially warranted, they are no longer appropriate as the economy is showing clear signs of overheating. Monetary policy appears too loose and its credibility is low; and on- and off-budget fiscal policies (including credit guarantee schemes and PPP activities) are expansionary and risk undermining Turkey’s hard-earned fiscal credibility. As a result, the economy faces internal and external imbalances: a positive output gap, inflation well above target, and a current account deficit of more than 5 percent of GDP. Meanwhile, political uncertainty and regional instability remain elevated, and the integration of the many refugees poses challenges.

Series:

Country Report No. 18/110

Subject:

English

Publication Date:

April 30, 2018

ISBN/ISSN:

9781484353196/1934-7685

Stock No:

1TUREA2018001

Price:

$18.00 (Academic Rate:$18.00)

Format:

Paper

Pages:

82

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