Turkish president may have ulterior motive in slamming Central Bank, says industry representative

The top representative of Ankara industrialists has taken a different approach on the ongoing debate over central bank independence and suggested the Turkish president might have ulterior motives for publicly criticizing the Central Bank governor.

Ankara Chamber of Industry (ASO) Chairman Nurettin Özdebir argued President Recep Tayyip Erdo?an might be intending to fuel the weakening of the Turkish Lira when he criticizes Central Bank Gov. Erdem Ba?ç? for not reducing interest rates enough.

"I cannot find the answer for that: the governor of the Central Bank is a public officer tasked by law. The president of this country doesn't need the public to send a message to the governor," Özdebir told daily Hürriyet.

"This means there is something else happening. Maybe he wants the currency rates to rise in this way. Maybe there is a need for creating such an uncertainty. Maybe it is needed to discipline the economy and easing exports," he said.

"Otherwise he [Erdo?an] would tell Ba?ç? 'come here,' wouldn't he? Is there a need to send messages to a public officer through you [the media]?" he said, further speculating Erdo?an's public criticisms may be intended to make the Central Bank a scapegoat.

Erdo?an and his allies have lambasted Ba?ç? over the past weeks for failing to radically lower interest rates to stimulate faltering growth.

Özdebir also said Turkey has been suffering from falling investments over the past three years, but he asserted the ongoing interest rate tension adds to the investors' headaches, further hurting the country's economic performance.

"Turkey's growth performance has deteriorated due to created tensions. The foreign exchange entrance into Turkey also declined. We need to revitalize...