Turkey news. Coronavirus in Turkey🦠The impact on tourism and the the economy?

Turkey in 2020. Coronavirus in Turkey and
latest news on recent events. What is the government doing to protect the country and
the people? What will be the impact of coronavirus on the economy and tourism in Turkey? In what
ways has the virus affected them already? What support has the government extended to
the economy by now? What does the life of ordinary people in Turkey looks like today?
All of that in detail now, stay with us! The first confirmed case of coronavirus infection
was recorded on March 11, 2020. As of March 18, 2020, there are 191 officially confirmed
cases of the infection. Unfortunately, 2 affected people have died. By the time this issue is
published the number of people having the disease will probably have grown. Let’s talk shortly about the main measures
to fight the virus. After that I will tell you about the current situation in tourism
and the Turkish economy and about the emergency economic support package announced by the
state on March 18 of this year. For protection from coronavirus that could
be brought from abroad Turkey closed the land borders with Iran, Greece, and Bulgaria. Also, air travel to and from China, Iran,
Iraq, Italy, South Korea, Germany, France, Spain, Norway, Denmark, Belgium, Austria,
Switzerland, Bulgaria, the Netherlands, Azerbaijan, and Georgia was cut off. In Turkey all kindergartens, schools and colleges,
places of mass gathering like theaters, cinemas, public bodies, cafes, night clubs were closed.
There were issued recommendations on closing down shopping malls. In short, all the country switched to isolation-at-home
mode. The news constantly report the situation and explain how to protect oneself and one’s
family from the virus. Italy’s example is right there before everyone’s
eyes. All people see just how quickly the virus spreads across the globe and especially
in Europe. So, Turkey doesn’t want to pretend that nothing is happening. There are much less people in the streets
and in the public transport vehicles. All who have the opportunity prefer to stay at
home with their families. Of course, people bought up food and basic
products but there are no panics or long lines in the shops. All is available except for
the medical face masks and Turkish eau de cologne used for disinfection. By the way, in Turkey N95 medical masks which
provide better protection are now being sold with prescription only. This is done to stop
speculation in the market. So, how has all of that influenced the Turkish
economy? People and the tourism industry are frightened.
Numerous hotels, especially those working with European clients, are being closed, no
one knows for sure how long this situation will last and hence no one can make any forecasts. It’s apparent that if the situation with
the virus in Turkey and all over the world is resolved quickly, i.e. before the high
season starts in June, the tourism sector will recover. However, if the situation continues
further, it will be a tough time for the tourism industry and the Turkish economy. This applies
to all the world, though. In order to support the economy on March 18,
2020 the Turkish government approved a state support package worth 100 bln Turkish liras. Briefly, here are some of the most important
measures: Minimal pension benefits were raised to 1500
Turkish liras or approximately $230 at the exchange rate on March 19
Payment of social security and VAT amounts payable by the businesses for April through
June were extended for a period of 6 months The VAT rate for airlines was cut from 18
to 1% for 3 months Maximum days a loan may be past due were extended
to 180 The state enterprise loan guarantee fund targeted
at firms having insufficient collateral was expanded from 25 to 50 bln Turkish liras
The government will extend financial support and 90-day installment schedules to companies
in distress for them to be able pay their loans and accrued interest
New loan facilities will be organized for people in need
The state is extending 2 bln Turkish liras to support those in need
People of 80 y o and older will be able to stay at home and receive care from the state These are the main points of the state support
package. It is much broader, of course. So, it’s possible to say these are the right
and timely steps by the Turkish government. However, some experts and myself think these
are clearly not enough. Stronger actions are needed to support businesses,
e.g. companies debt and tax arrears restructuring to provide longer terms and lower or zero
interest rates. Loans restructuring bringing softer terms
and government guarantees could be needed also. This will help businesses to weather
the adversities. It is well understood that the economic reality
demands maximum support to businesses from governments all over the world We think that this support package has to
expand and will do so. However, it will depend on how the situation unfolds and on how fast
Turkey and other countries will manage to take the spread of coronavirus under control. Thank you for being with us today. Subscribe
to our channel to be informed on the latest news and updates from professionals on life
and doing business in Turkey. I, Sergiy Volchenkov from Tolerance Home real estate agency was
with you today.

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