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years, by contrast, this approach has changed dramatically: these reports are now regarded as useful input for Turkish economic policymaking. To successfully lead the country from «post-crisis recovery» into a new phase of sustainable high growth, its government needs to face up to some major challenges. Please try again later. They should also target strategic spending in priority areas and education has to be one of these. La confiance saccrot quant aux perspectives économiques de la Turquie à long terme.

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Finally, one of the biggest challenges is to overcome the gap in education levels that divides Turkish society. The Turkish economy has already met a number of basic requirements for a higher credit rating and lower risk premiums. The resources devoted to primary and secondary education in Turkey are proportionately among the lowest for any oecd country, at around.4 percent of GDP compared with an oecd average.8 percent. Until this «structural schizophrenia» is addressed, Turkey will fall short of full efficiency and competitiveness due to the barriers facing its companies in tapping capital markets, skilled labour resources and foreign direct investment. This feature is not available right now. Rather than being imposed through legislation alone, these reforms need to be negotiated by the government with employers and labour unions, taking account of market conditions and productivity challenges. Of course, action rather than words will show just how far the government is interested in implementing our recommendations. Turkeys recent economic performance gives grounds for optimism. This kind of fragmentation is not seen in more advanced oecd countries and is hindering Turkeys ability to achieve its full potential. Monetary policy must focus firmly on reducing inflation, backed by structural reforms to enhance competition and moderate prices, particularly in the service area.