Price stability 'top priority,' says economy board

Establishing price stability remains the top priority for the government, read a statement released after a meeting of the Economy Coordination board, adding that members of the board also discussed details of the key medium-term program to be announced later this year.

Vice President Cevdet Yılmaz chaired the board meeting, which was attended by Treasury and Finance Minister Mehmet Şimşek, Labor Minister Vedat Işıkhan, Industry Minister Fatih Kacır and Central Bank Governor Hafize Gaye Erkan.

"Monetary tightening aims to bring the deterioration in pricing behavior under control, to anchor inflation expectations, to establish the disinflation course as soon as possible and to lower inflation to single digits in the medium term," the statement said.

Besides price stability-related measures, determined and effective steps will continue to be taken under the scope of the policies that prioritize investment, employment, production, and exports, it added.

The board also discussed the macroeconomic forecasts and priority structural reforms to be included in the medium-term program, according to the statement.

"The program, which is built on the pillars of monetary policy, fiscal policy and structural reforms, aims to boost our country's competitiveness and productivity and facilitate the structural transformation which will increase the economy's potential."

The program foresees a comprehensive change in every field from public finance to financial architecture, the statement said.

The new medium-term program, which covers 2024-26, is expected to be unveiled in September.