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Country Economic Memorandum (2006)

Turkey - AG
Turkey: Country Economic Memorandum (2006)
Promoting Sustained Growth and Convergence with
the European Union

This study aims to contribute to the ongoing process of elaborating a strategic vision on Turkey's policy priorities during EU accession.

Executive Summary [ pdf ]

Vol.1: Main Report [ pdf ]

Vol.2: Expanded Report [ pdf ]

The Expanded Report (Volume 2) provides the full analytical background of the findings highlighted in the Main Report (Volume 1).
cem01
 Chapters Volume1 Volume2
  1- Unlocking Turkey's Potential for Growth and Preparing for EU Accession
   This chapter looks into Turkey's prospects for achieving faster growth during a sustained period of time, so as to start closing the income gap with EU-25 average.

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  2- Public Finance Management on the Way to EU
 This chapter discusses the patterns of fiscal adjustment; benchmarks the public expenditure allocations and structure of fiscal revenues in international comparison; and points to broad directions for expenditure reforms in view of improving fiscal sustainability.

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  3- Product-Market Regulations and the Investment Climate
 This chapter asserts that improving product market regulations in Turkey would strengthen the investment climate and thereby increase productivity and help Turkey achieve sustainable, long-term economic growth.

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  4- Expanding Employment--The Labor Market Reform Agenda
 This chapter analyses labor market performance in Turkey, consider policies for accelerated job creation and discusses labor market reform option.

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  5- Financial Sector Reform: Mobilizing Finance for Investment
 This chapter provides as assessment of strengths and weaknesses in Turkey's financial sector and lays out the main reform challenges during EU accession in order to faciliate sound and financial sector development and maximize its impact on growth.

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  6- Fostering Technology Adoption, Innovation, and Skills
 This chapter highlights key challenges related to technology adoption, innovation, quality standards and skills in Turkey, both to meet Acquis requirements and, more broadly, to improve the country's productivity, whic is essential to accelerate long term economic growth and generate employment.

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  7- Infrastructure Services for Improved Competitiveness
 This chapter focuses on the nexus between EU accession and growth in three infrastructure sectors - Information and Communications Technology (ICT), transport, and energy.

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 8- Alignment with EU Agricultural and Rural Development Policies
 This chapter reviews options that may complement initiatives considered by the Government, including strengthening the coherence and coordination between commodity policies, rural investment policies, and irrigation and drainage policies.

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 download (671kb)

 9- Enhancing Policies for Social Cohesion
 This chapter provides analytical underpinnings in the key areas of social inclusion and health care, with emphasis on policies to improve efficiency and ensure financial sustainability.

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 Annexes

 NA

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