ADDRESSES:

UK OFFICE

15 Duke st. Darlington, Co Durham

Phone: 0800 169 4647 (Free in UK)

           +44 1325 35 80 81

           +44 1325 35 83 00

TURKEY OFFICE

Çamlık mah. Yunus cad. No:90 Didm/Aydın/Turkey

Phone: +90 256 813 44 58

           +90 256 813 43 41

e-mail: info@asemconstruction.com

Sener: Mortgage will meet with the market in 2007

EkoTurk News Agency / Bursa
 25 August 2006

State Minister and Deputy Prime Minister Abdullatif Sener noted that the Turkish economy overcame the periods of fragility and the Mortgage Law would be enacted at the Turkish Grand National Assembly (TBMM) in October. He said: “The markets will meet with the new system in 2007.”
 

 Abdullatif Sener, who was the guest of Justice and Development Party (AKP) Acting Group Chairman Faruk Celik in Bursa during his holiday travel, pointed out that the economic indicators have settled during the last three-four years and said: “The economic problems mostly originate from the deficits in the public financing balances. I have been in the TBMM since 1991. Those which deteriorated the economy always originated from the breakdowns in the public balances. The budget deficits and the public debts were extremely high. At present, Turkey is in a much better situation. The budget deficit/Gross National Product (GNP) rate is 2 percent. This is in line with the Maastricht criteria. The budget deficit/national income rate should not exceed 3 percent. As regards the public sector borrowings, 2006 will be the first year during which there will be no deficit. Even it is a period during which we will have a surplus. The Turkish economy is on the right path. The chronic reasons have been removed. Even though there are fluctuations due to the actions in the global markets, the stability and confidence atmosphere has been established in Turkey.”
 

 “Year-end inflation target is 5 pct”
 Stressing that the year-end inflation target was 5 percent, however due to the increase in the oil and raw material prices in the world, high inflation pressure occurred in all countries, Sener said: “It is clear that we will not be able to attain the year-end inflation target. The inflation rate has increased throughout the world. The problem is experienced by all countries including the developed and developing ones. What does it originate from? It mainly originates from the increase in the oil and raw material prices. The crude oil price per barrel is USD 80. During the oil crisis, there were incidents since the oil price totaled USD 33. Now, it reaches USD 70-80. Since the raw material prices are high in the international markets, the US, Japan, the EU and the developing countries are under the inflation pressure. The inflation rate is higher when compared to the anticipated one. In 2005, the inflation rate was 7.7 percent in Turkey. We envisaged that it would be 5 percent in 2006. An inflation interval has been formed in case it may be higher. When the last 35-year period is evaluated, we are a little bit over the target together with the low inflation level.”
 

 Indicating that the housing credits surpassed 2 percent monthly during the economic fluctuations, Minister Sener said: “However, the housing credits began to fall again. They are almost 1.5 percent at present. The housing credits in the market are not Mortgage. The Mortgage Law has not been enacted yet. We prepared the draft law regarding the Mortgage and sent it to the TBMM. It was debated at the Planning and Budgetary Commission and sent to the Plenary Session. It ranks first on the agenda. When the TBMM opens, it will be possible to enact this law. We may say that it will be enacted in October. If it is enacted in October, Mortgage credits will meet with the market in 2007.”

http://www.thenewanatolian.com/tna-13398.html