10/13/2008

Turkey plans to stick to '09 budget targets

The Guardian - Turkey plans to stick to spending ceilings and a 15 billion lira budget deficit target for 2009 even though its financial markets are being hit by a global crisis, senior government sources told Reuters. With municipal elections are scheduled next year, the government may face political and economic pressure for fiscal stimulus to achieve its 5% growth target next year against the backdrop of weakening consumer demand. But the sources, who spoke on condition of anonymity, said the government will not relax key budget goals. "It is the pre-condition that no concessions will be made on fiscal discipline. We are trying to keep the spending items in the budget limited as much as possible," said one government source.

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