Erdogan: "World leaders began to admit the benefit of low interest rates"
Turkish President Recep Tayyip Erdogan whose low interest rate policy in the face of rising inflation triggered further rises and brought the annual inflation up to over 80%, said that world leaders recently began to admit that they could benefit by lowering interest rates.
He said in his address to business representatives in Istanbul on Sunday :
"Those who have imposed on our country and on many developed countries theories on interest rates, inflation and currency balance now admit themselves that these theories do not provide a solution to any problem. As you may have noticed, the approach of controlling inflation by increasing interest rates are no more voiced by anyone, and those who continue to voice such an approach are not taken seriously any more."
"Nowadays, even the world leaders began to admit that they can benefit not by increasing interest rates, but by lowering them. An example is Russia. Mr. Putin, who in the past defended high interest rates, recently started lowering the rates. He recently lowered them down to 8.6%."