Robin Brooks: Turkey’s exports rose pre-COVID-19 compared to other emerging markets.
Robin Brooks, the chief Economist of the Institute of International Finance, said on Tuesday that Turkey’s export sector is its “big strength.”
Chief economist at the Washington-based Institute of International Finance, tweeted that “Turkey has a big strength: its hugely competitive export sector. Just look at how much Turkey’s exports rose pre COVID-19 versus other emerging markets.”
In the first 10 months of 2020, Turkey performed $135.6 bn. of exports.
Robin Brooks stated there was a limited effect in markets and on Turkish lira, after handling the US sanctions “as well as it has.”
Brooks said in another tweet that “But the big picture remains that Lira has underperformed the rest of emerging markets.” “Huge opportunity for catch-up, which can happen with just small actions from the great new policy team…”
Turkey assigned the current central bank governor in November, appointed a new finance minister, and increased the key interest rate by 475 basis points to 15%.
Figures was considered as a strong economic recovery
Previously, Turkey’s exports increased 35 % compared to May and 15.8 % compared to the same month of 2019. Conversely to the other countries, these figures was considered as a strong economic recovery signal for Turkey, as well as in the field of health.
In order to keep the increase in exports sustainable, the trade ministry offers serious financial support to the sector. In 2020, 1.9 billion TL was paid to the goods sector exporters and 588.3 million TL to the services sector exporters, 2.48 billion TL in total.
Due to the effect of Covid-19 pandemic in world trade, there was the largest global economic contraction observed after World War II.
Turkey has had made very rapid recovery in the trade. After the sudden and deep decline in exports in March, April and May, a recovery in foreign trade has started from June.