The economic thesis started by the government with the argument of “interest cause inflation result” is stuck in a dead end. Currency-protected deposits (KKM), YUVAM Account, and billions of dollars sold and tons of gold failed to stop the meltdown in TL, and the inflation-indexed bond that the government had been working on for months was on the agenda again. Economists warn that this work will not stop inflation and the exchange rate, and to return to economic rules for effort.
Former Central Bank Leader Durmuş Yılmaz stated that if the implementation is implemented, there will be no deposits in the banks. Stating that these are not the tools to deal with inflation, Durmus said:
“Banks increase deposit rates to keep deposits running into bonds, and there is an indirect interest rate hike. It also makes inflation more rigid in the long run. They say to the citizen, don’t spend your money, come lend me a loan.”
“NOT A SMART PROJECT”
Stating that the government is trying to create faith with such works, Prof. Dr. Burhan Şenatalar said:
“There is a huge loss of confidence in the markets. First of all, this should be allocated, but not with works like this, now that ship has escaped. The government now wants to stop the transition to foreign currency and offers an alternative. However, while this said alternative will stop the transition to foreign currency, it will also miss out on deposits and the cash stability of the banks will deteriorate. When they fix one side, they break the other side. This is not possible, it is a condition of allocating trust with a wholesale change, and the way to do this is by choice. An increasing portion of government spending will go towards interest spending. It’s not a smart project.”
Stating that the low-income and poor people will finance the strong investor once again with the new bond work, Prof. Dr. Duran Bülbül said that this meant an implicit interest increase. Stating that the government has taken steps to protect the money of those who have more money than to reduce inflation, Bulbul said: “The state will share interest as much as inflation (70 percent) underhand in order to protect those who have money. They are trying to keep their power alive with internal debt.”
prof. Özgür Demirtaş, on his social media account, said, “The idea of bonds based on inflation is a VAHİM wrong idea.
1) Confidence in the numbers of TUIK is further reduced.
2) If people put their savings in these bonds instead of putting them in banks and companies, of off…
For God’s sake, do not overturn the science of economics, the foundation of which was laid 100-200 years ago”.