Istanbul Chamber of Industry warns inflation policies risk sacrificing Turkish manufacturing

Erdal Bahçıvan, President of the Istanbul Chamber of Industry (ISO), has issued a warning regarding Turkey's current economic focus. Speaking at the 10th Istanbul Ready-to-Wear and Fashion Fair (IFCO), Bahçıvan criticized the economic programs of the last three to four years for prioritizing inflation reduction at the expense of the industrial sector.

Bahçıvan stated that the industry is paying a heavy price for inflation through high interest rates and financing costs, despite goods inflation having dropped to 16.7 percent. He emphasized that the manufacturing sector, which requires significant investment and working capital, has reached its limit, stating, “We are sacrificing Turkish industry for the sake of inflation. It has reached a breaking point.”

As the government prepares to announce the new Medium-Term Program (OVP), Bahçıvan called for a shift in economic perspective. He urged policymakers to adopt an approach that prioritizes production and supports the sustainability of exporters and manufacturers, noting that the current burden is no longer sustainable.