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[pandemic response] measures”, according to the June edition of the World Bank’s Global Economic Prospects report released on June 8.
In the January edition, the international financial institution was reckoning with 3% growth in Turkey this year.
In its latest report, the World Bank noted that Turkey has suffered a sustained decline in exports to the Euro Area during the coronavirus ‘lockdown’ period and has responded to its economic ills with moves such as an asset purchase programme conducted by the central bank. “These purchases—which are mostly of government bonds but also [in the case of some countries] private sector securities—helped stabilize yields of longer-dated securities which had been rising sharply amid liquidity strains in many countries, despite policy rates being lowered,” the Global Economic Prospects report noted.
Discussing another difficulty caused by the pandemic, the report observed: “Tourist arrivals have collapsed in ECA [Europe and Central Asia], but the impacts may be felt most strongly in countries such as Albania, Croatia, Georgia, Montenegro, and Turkey, where tourism accounts for a sizable share of GDP [at around 13% in Turkey’s case]. Some of these countries may experience a smaller rebound in 2021 relative to the rest of the region, as tourism is generally prone to slow recoveries.”
4.0​ Real Economy 4.1​ Industrial production
“Industrial production ​plunged​ by a staggering 30.4% m/m in April, which pulled the year-on-year growth rate down from -7.1% in March to -31.3%.”
This may be just because the TUIK is trolling those who still take its data serious with temporarily releasing worse-than-expected data. None of the flamboyant analysis has included the TUIK’s footnote at the bottom of its ​press release​: The data source for calculating the Industrial Production Index is mainly the Monthly Industrial Production Survey. In addition, data obtained from value added tax (VAT) declarations are also used. With the "The Tax Procedure Law Circular no. 518, dated 24 March 2020"; The period of declaration of VAT statements for March, April and May of 2020 has been extended until the end of Monday, July 27, 2020 for certain sectors, and not all of the VAT declarations of April 2020 have been declared by those concerned. Therefore, the Industrial Production Index for April 2020 was calculated using
22​ TURKEY Country Report​ July 2020 ​ ​www.intellinews.com