OECD estimates inflation rate in Turkey to recede by 2007

OECD estimates inflation rate in Turkey to recede by 2007

The Organisation for Economic Corporation and Development (OECD) estimated Turkey to record a considerable reel GDP growth between the years of 2003-2007, at a rate of 5.7%. This rate is foreseen to be the third highest growth rate, following that of Ireland and South Korea respectively. Within the same period, the forecast of the average annual GDP growth rate for OECD member countries is 3.1% while same for the EU member states is indicated as 2.6%. Again as per the OECD estimations, Turkish inflation is expected to be recorded at 29.4% in 2003, and this rate will retreat to 7.7% by 2007. As per the report, despite such decrease of inflation rate, Turkish inflation will remain as the highest among the OECD countries in 2007. Indications reveal that unemployment in Turkey will float around 8.6% and will decrease to 8.1% in 2007. Unemployment in European Union within the same period will decrease from 7.5% to 7%, and in the total OECD member countries from 6.7% to 5.9%. Long term interest rates in Turkey is foreseen as 38.9% this year. This figure is calculated to be 17% in 2007. The OECD countries excluding Turkey will have the average long term interest rate to decrease from 5.3% to 5.2% within the same period.