This 2002 edition of OECD's periodic reviews of Turkey's economy examines recent economic developments, policies and prospects and includes special features on banking system restructuring and structural reforms for a new role for the public sector.
Table of contents:
Assessment and recommendations I. Macroeconomic developments: from crisis to recovery -2001 and early 2002: very sharp recession giving way to recovery -The outlook has improved, but uncertainties remain II. Macroeconomic policies: from financial stabilisation to growth -Background -The transition programme: strengthening the Turkish economy -In the aftermath of the crisis: strengthened measures -Fiscal policy and debt management: objectives and challenges -Monetary policy: moving towards an inflation target -Incomes and price policy: requires de-indexation -Political stability remains essential for the programme to succeed III. Banking system restructuring in the context of macroeconomic stabilisation -Overview of structural problems in the Turkish banking system -Policy incentives and resource allocation -Banking system restructuring programme -Main issues ahead IV. Structural reforms for a new role of the public sector in the market economy -Reforming the public sector -A new role for the State: from company owner to market regulator -Reducing barriers to FDI -Building institutions for modern labour market and social security -Enhancing human capital -Glossary of acronyms -Bibliography Annexes -I. Turkey’s previous stabilisation attempts -II. Debt sustainability in Turkey -III. The political economy of reform -IV. Financial market liberalisation in Turkey -V. Deposit insurance, moral hazard and banking crises -VII. Balance sheet fragility and crisis-proneness in the Turkish banking sector -VIII. Pension funds and insurance markets -IX. A theoretical and empirical analysis of foreign direct investment, with special emphasis on Turkey -X. Calendar of main economic events