Turkish finance minister on global economic crisis

ANKARA (A.A) - August 11, 2011 - Turkey's finance minister said on Thursday that, "if there is a problem in the United States and Europe at the moment, this is because they did not take a country like Turkey as model."
Speaking at a tv program on TGRT News Channel, Simsek said Europe and the United States should give importance to growth policy.
"You can not get rid of debt crisis without growth. Growth is the only thing that the United States and Europe need. You can not over the crisis by cutting the expenses and making the citizens pay the bill," Simsek said.
Underlining that developments outside had impacts on Turkey, Simsek said, "however, Turkey stands on a firm ground, and a lasting destruction will not be experienced."
Referring to current account deficit as "Turkey's fragility canal", Simsek said measures had been taken to overcome current account deficit, and noted that possibility of a decrease in current account deficit was high in the next six months.
Simsek said there was not loss of confidence in Turkey, adding there was political stability in Turkey.
He said Turkey gained credibility with its medium term program and medium term financial plan. "When we consider the United States, we see that there is not problem with balance sheets of the companies. However, growth is low in those countries. Unemployment is high for a long time and does not drop as desired. Because the companies refrain from making new investments. The banks do not give loan to small and medium scale enterprises which create employment. Companies are cash profiteers. The state used most of its instruments before. The interest rate is already zero, they have already issued money and rate of debt to national income is very high," he said.
Simsek said Turkey's macro economic ground was solid in general sense, underlining that there was a surplus in the budget in the first six months of the year despite the elections. 
Simsek said implementation of the reforms ensured solution of problems in economy.
The finance minister said Turkey made most of its exports to Europe, adding that Turkey was an outward-oriented economy, "if there is storm outside, a serious crisis, then it has impacts on Turkey."
"The most important factor discriminating Turkey from the developed countries is the presence of a strong government and political stability. If not so, there may be concerns against Turkey," he said.
Referring to measures taken in economy, Simsek said, "financial discipline will be maintained. Investment environment will be bettered. Fight will continue against unregistered economy. Dependence for foreign countries in energy will be reduced. Efforts will be underway to make Istanbul a finance center."