Bakan Bolat: We have increased the daily export credit limit of the CBRT to 3 billion liras

Minister of Trade Ömer Bolat stated, 'We have consulted with our Central Bank Governor on increasing the daily export rediscount credit limit to 3 billion liras.

Speaking at the HOMETEX Home Textiles Fair held at the Istanbul Fair Center (IFM), Minister of Trade Ömer Bolat stated that they included 257 international fairs in the support scope for 2024, and they also supported individual participations in 958 international fairs.

Emphasizing that the Ministry of Trade allocates more than 60% of its budget to exporters to increase exports, Bolat highlighted their support for participation in 60 international fairs domestically, such as HOMETEX textile.

He continued, "In 2022, we provided 27 million liras of support for HOMETEX. We provided 58.5 million liras of support for participants in 2023. This year, as the Ministry of Trade, we are supporting up to 222,500 liras per firm for rent and installation expenses. We were in a cabinet meeting with our Minister of Treasury and Finance this week. We also consulted with our Central Bank Governor on increasing the daily export rediscount credit limit to 3 billion liras. Unfortunately, those who said the dollar would be 40-50 liras before the election did harm not only to themselves but also to those who believed them. Those who said the economy would deteriorate before the election, unfortunately, exploit everything for the election, but most of all, they exploit the economy. They do harm to our country, our people, and our economy.

Look, the election is over. There is improvement in all macro indicators, and we are getting better. There has been a significant increase in the net foreign exchange reserves of our Central Bank. Approximately since the election, tens of billions of dollars have flowed into Turkey. There has also been a significant decrease in credit default risk premium. Hopefully, it will decrease even further. We continue to increase our exports, decrease our imports, and reduce our foreign trade deficit and current account deficit. There has been a slowdown in monthly inflation increases. Hopefully, from June onwards, we will see rapid declines in monthly and annual rates to achieve the targets set by the Central Bank by the end of the year."

"We will never neglect the textile sector"
Minister of Trade Bolat emphasized that they will never abandon the textile sector, one of the leading items in industrial sector exports, and they will never neglect it. Bolat said, "I have said this to our textile manufacturers, garment makers, and home textile manufacturers on every occasion I attended fair openings. Today, I say it again. As the government and the Ministry of Trade, we will make every effort to further develop this sector."

Highlighting that the EU imports decreased by 15% last year, Bolat said, "The same is going on this year in the first 5 months. There is a 25% decrease in textile imports. There is also very high inflation there. When we go there, they tell us that everything's price has doubled or tripled."

Bolat said that in conditions of severe inflation, clothing is the first demand people want to delay. He mentioned that this is a natural reflex, but movements are observed. Bolat said, "The European Union may start an interest rate cut next month, and hopefully, orders will start to increase with the revival in external demand."

Stating that Turkish Eximbank will provide support worth 50 billion dollars this year, Bolat stated, "As the Ministry of Trade, we have allocated a budget of 22 billion liras for export support until the end of the year."

Bolat stated that they have developed 41 different promotion and marketing projects, including home textiles, within the 2028 export promotion and marketing vision, and said that there is a serious challenge, a trial period for compliance with the Green Deal, especially for textile and apparel.

Bolat expressed that the Ministry of Trade provides a support package of up to a total of 10 million liras for consultancy service expenses for 5 years and said, "Denizli, Bursa, Istanbul, Uşak, Gaziantep, the central regions of home textiles, and now clustering have been very successful in this field."

Bolat continued his words:

"Turkey has a very quality and fast labor force, and we can make fast deliveries. After-sales services are also good. In terms of the supply chain, Turkish industry showed its success to the whole world during the Covid-19 period and the Russia-Ukraine War period without any interruption in supply and logistics."

"The HOMETEX fair in Turkey is now a global fair"
Stating that the HOMETEX fair in Turkey is now a global fair, Bolat said, "Global companies come here as participants and visitors. They contribute to our trade, our exports, both here in terms of hotels, restaurants, transportation services, and shopping. They leave significant foreign exchange in our country."

Bolat said that the presence of 44 foreign and 600 local participant companies at the HOMETEX Home Textile Fair demonstrates the magnitude of the fair and said, "Similarly, there were 170,000 visitors last year, many of whom were foreign. Hopefully, those numbers will be exceeded this year too. Because since the beginning of 2024, there has been great interest in the fairs I attended. This also shows that orders are increasing."

Stating that there is an increasing trend in goods and service exports every month, Bolat said, "We exceed the figures of the same month a year ago and break records."

Bolat said:

"When we announce the foreign trade figures for May on June 3, we will share very good news with you. We will share pleasing news about closing our foreign trade deficit and current account deficit. Our goal as the Ministry of Trade is to increase domestic trade, increase foreign trade, increase our exports, and try to close our foreign trade deficit. Export does not only mean export; it means production, more production. For more production, more investment, more employment, earning more foreign currency income, and the country's economy becoming stable and growing more based on exports.

Therefore, our President, since the end of 2002, along with himself and all entrepreneurs, exporters, traveled every inch of the world. He still does that. Turkish towel, Turkish bathrobe, Turkish home textiles are now global brands. Turkish fabric, TOGG, Turkish UAVs, Turkish ceramic products, and our machinery products. In Europe, Turkish white goods are number one now. Turkish products are in the first place. 20-30 years ago, there were Turkish delight, Turkish bath, Turkish coffee, Turkish hazelnuts. Look how far we've come. More added value, more growth, more empowerment, and development. It reflects in the figures."

Bolat emphasized that Turkey's national income was $230 billion in 2002 and now it has increased to $1 trillion 118 billion.

Stating that goods exports amounted to $255.5 billion, Bolat said, "We are making great efforts to reach $267 billion by the end of the year, and we have been working on this for the last 7 months."

Bolat stated that Turkish tourism ranks fourth in the world and Turkish contracting services rank second globally. He said, "These successes did not happen spontaneously, they were not easy."