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Who came up with the idea of ​​melting $ 128 billion? | ECONOMY | DW

Although discussions on US President Joe Biden’s phone have been delayed by a growing pandemic and vaccinations due to the 17-day closure, discussions on how to eliminate the $ 128 billion in foreign exchange reserves are still on the agenda. Berat Albayrak, the former Minister of Finance and Finance, said that behind the scenes in Ankara, this time the idea of ​​”selling foreign currency through backpacks” caused the melting of the reserve.

Opposition parties’ campaign to cancel the $ 128 billion reserve was met with public outcry, causing concern within the AKP over the loss of votes. In this context, with the contribution of AKP supporters who do not want the President and former Minister Albayrak to be billed for the mistake, we can say that “technical responsibility is sought for this mistake.” Of course, President Erdogan and Albayrak, who is in charge of the implementation, are known to have the main responsibility, but they are still wondering who the economists are who are calling on politicians to “sell foreign currency from abroad.”

Similar debates took place during the Refahyol Government, which made major mistakes in the economy before the 2000 crisis; In the context of the “resource packages” debate, unusual ideas that will save the day but make the economy more difficult in the future have come to the fore under the heading of “bad-minded people.” Now the reserve controversy seems to have taken a similar turn.

“Two Straits” in the Central Bank

This mistake that makes the Turkish economy very fragile by melting resources; Given Biden’s weak reaction to what he called a “genocide,” special emphasis was placed on “because it put the country in a weak position in foreign policy.”

Behind the scenes, there is various information about who found the back path cunning in the currency reserve. Some say that two economists from Bogazici University, the top management of the Central Bank, developed this idea together; others think he is a young economist who is an adviser to former Minister Berat Albayrak of Koç University.

The stressed “cunning economist” is one of the leaders of the two Bogazici Universities under the Central Bank. This person, who is on the Monetary Policy Committee where interest decisions are made, has been working with four Central Bank governors for about five years. It was even said that Albayrak would be appointed head of the Central Bank for a while. However, why the president was not appointed and prevented it was also the subject of discussion.

The shadow president appeared in WikiLeaks documents

According to the biography of this economist, he completed his master’s and doctoral degrees in England and worked for some time in international banks in London. The main task of this economist is to lead the risk management department established by a ministry established by a big businessman who is a banker at the university. At the time, he was known in academic circles as a man who “made a lot of money for his patron by managing his private portfolio.” It was not that this person kept an “iconic newspaper” on his desk during the same position. At that time, it was noted that some people who were fired after the July 15 coup attempt in the Ministry they worked with were close to this economist.

The appointment of this person to the leadership of the Central Bank in 2016 was also included in the Wikileaks documents. The Governor of the Central Bank of the time, Murat Cetinkaya, who was not the responsible minister at the time, informed Berat Albayrak about this appointment.

The name of this manager, who was re-appointed in 2020 due to the end of 4 years, came up again when Murat Uysal was appointed as the President of the Central Bank. When the first press conference announced by Uysal was canceled, “Albayrak’s talks on behalf of the Central Bank” appeared in some newspapers. He was even called the “President of the Shadow.”

He recorded Agbal’s voice and took him to the Palace

The latest rumors about this person spread behind the scenes after “Naji Agbal was surprisingly removed from the chairmanship of the Central Bank.” For the first time, Agbal was dismissed by Ali Babacan, the leader of the long-running Deva Party. It was said that the person who informed the Presidium about this instruction was the manager. According to rumors, this manager was in the same environment when he instructed Agbal’s research unit and recorded Agbal’s instructions on his phone and delivered the article to the President through Albayrak.

There were bureaucrats in the bureaucracy who tried to benefit politicians in order to be appointed to higher positions instead of doing their job properly. These bureaucrats are trying to justify the populist decisions of politicians. Some come up with ideas that will save their day because they do not have the knowledge and skills, that is, because they cannot see the results of the formula. While some see the consequences as dire, they are meeting the extreme demands of politicians for their own well-being.

But if the Central Bank were truly independent, bureaucrats would only work for the long-term economic interests of the institution, the people. A person who is unable to see the outcome of the decision may not be appointed to senior positions in an independent Central Bank. If there was institutionalization, we would not talk about these rumors.

Erdal Sağlam

© Deutsche Welle Turkish

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