Berova: Finance Ministry Is Not Collapsing

Speaking on Kıbrıs Postası TV,  Berova stated that this year marks a renewed focus on tackling the informal economy, which he called a key government priority. He noted that the sharp increase in tax revenues is evidence of improved compliance and economic transparency.

Revenue Up, But So Are Expenditures

Berova pointed out that while local revenues have increased by 58%, government expenditures have also risen by 68%, largely due to current transfers. He cited financial support to institutions such as Eastern Mediterranean University (EMU), municipalities, and BRT as primary factors behind the government’s borrowing of 7 billion TL in the first half of the year.

“Finance Ministry Is Not Collapsing”

Dismissing opposition claims of a financial collapse, Berova reiterated that the ministry remains on track and is actively working to limit borrowing and reduce the deficit. “Assertions that the Finance Ministry is collapsing do not reflect the reality,” he said.

Erdoğan Likely to Attend July 20 Celebrations

Berova also spoke about the 21 billion TL financial protocol signed with Turkey, underlining its importance for investments. He said Prime Minister Ünal Üstel’s visit to Ankara focused on finalizing this protocol and preparing for the July 20 celebrations. According to Berova, there is a high likelihood that Turkish President Recep Tayyip Erdoğan will attend the commemorations. He added that projects such as the cloverleaf interchange in Kyrenia are targeted for completion ahead of the visit.

Budget Deficit Significantly Lower Than Expected

Concluding his remarks, Berova reiterated that the 2024 budget had projected an 18 billion TL deficit, yet only 3.7 billion TL has materialized so far. He noted that the apparent rise in borrowing was primarily due to the use of short-term advances. He also took aim at the opposition Republican Turkish Party (CTP), stating that while the party speaks loudly, it has failed to deliver when in power.