Ömer Karadeniz, President of PLASFED, emphasized that the increase in concordat applications is a clear indicator of the financial strain in the business world, stating, "Opening up the industrialists is opening up the economy. It is essential to reduce financing costs and urgently implement policies that encourage production so that firms can survive without needing concordat."

In recent times, one of the most talked-about issues in the Turkish economy has been the rise in concordat applications. High interest rates, high inflation, and difficulties in accessing finance continue to exert significant pressure on industrialists. In his evaluation, PLASFED President Ömer Karadeniz stated that there is an urgent need for "policies that will open the way for industrialists to maintain their production power."

Pointing out the increase in concordat requests in recent months, Karadeniz emphasized the importance of reading the signals correctly. He defined concordat as firms' efforts to survive by restructuring their debts, stating, "However, the frequent emergence of this mechanism clearly shows the financial contraction within the business world. Our hope is for firms to continue their activities without needing concordat. To achieve this, financing costs must be reduced, and the investment climate must be improved." 

"Interest and Inflation Are Challenging Industrialists"

Karadeniz noted that investment decisions have been postponed due to high-interest rates and that rising inflation has dramatically increased production costs. He highlighted that elevated interest rates make it difficult to meet working capital needs. He also pointed out that inflation continuously raises energy and raw material costs, which not only narrows demand in the domestic market but also weakens our competitiveness in exports. 

"Opening Up Industrialists Means Growing the Economy"

Stressing the importance of a production-preserving industrial policy for the future of the Turkish economy, Karadeniz said, "Opening up the industrialists is, in fact, opening up the economy. The survival of our businesses that can export, produce added value, and provide employment is directly related to the country’s growth. Our expectation is for policies that instill confidence in investors, facilitate access to finance, and encourage production to be implemented as soon as possible." 

"Industrialists Continue to Produce"

Karadeniz noted that despite the challenges, industrialists continue to produce for Turkey, creating employment, exporting, and contributing added value to the national economy. He listed their demands for an economic environment where industrialists can see their future and do not have to postpone investment decisions, stating, "With the right policies, the Turkish economy can enter a robust growth trajectory once again." 

Translated by Artificial Intelligence