Turkey at the Crossroads. From crisis resolution to EU accession

The key policy challenge for Turkey in the years ahead will be to enhance and consolidate the advances made since the nation’s 2000-2001 economic crisis. Higher growth could reduce unemployment and raise living standards toward European Union levels. This paper reviews Turkey’s policy performance in terms of growth, inflation, debt, fiscal and financial sector reform, and labor markets. The analysis assesses the effectiveness of macroeconomic stabilisation and structural reforms since the crisis and provides guideposts for future policy.

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