Abdurrahman Kaan, Chairman of the Independent Industrialists' and Businessmen's Association (MÜSİAD), issued a written statement regarding the potential negative effects of high interest rates on investments ahead of the Central Bank's interest rate announcement.

In his statement, MÜSİAD Chairman Abdurrahman Kaan stated:

The Central Bank's price stability target has ushered in a brand new era, both in terms of rhetoric and methodology. A monetary policy focused on price stability gives us hope.

The interest rate, which was increased to appreciate our national currency due to increasing exchange rate pressure, has also been lowered to a certain level, taking into account current inflation, to increase the capital inflows our country needs during this period.

We have full confidence that this necessary intervention was, of course, implemented by the independent Central Bank management and in the best interests of our country. However, based on our belief that the strength of a country's currency is determined by its production and investment capacity, we at MÜSİAD maintain that lasting price stability requires planned and continuous synchronization of investment, production, and trade. We would like to emphasize that the interest rate hike, which emerged as a reflex appropriate to the prevailing circumstances, can be tolerated to a certain extent; otherwise, it will have a detrimental impact, particularly on investments. We believe that investors' plans to stimulate production and trade, increase employment, and ultimately suppress inflation should not be hindered by the impact of high interest rates.

Our primary goal is to provide a more favorable environment for both domestic and foreign direct investments, and to translate this environment into production and exports. Based on this observation, it is clear that, beyond a certain point, downward movements in interest rates are essential for investment.