Finance chief Simsek emphasizes EU partnership over BRICS, G20

Treasury and Finance Minister Mehmet Simsek underscored Türkiye’s strategic commitment to its relationship with the European Union over other international platforms such as BRICS and the G20 on Thursday.

Speaking at the London Conference 2024 organized by Chatham House, Simsek highlighted the significance of the EU as Türkiye’s core partner in trade, investments, and tourism flows.

“But BRICS or G20, these are all dialogue platforms, meaning it’s not like the European Union. So membership is just yet another dialogue so far,” Simsek stated. He acknowledged the potential for these platforms to evolve in response to geostrategic competition and further fragmentation but emphasized that, at present, the EU remains central to Türkiye’s economic strategy.

Simsek elaborated on the substantial trade volume between Türkiye and the EU, citing $213 billion in goods trade alone. “We appreciate our relationship with the European Union. We have $213 billion of trade volume, not services, just goods trade with the EU. And so it remains our core partner in terms of trade, investments, tourism flows, so we cannot afford to decouple,” he said.

This statement comes at a time when Türkiye is making significant strides in economic stabilization and structural reforms. Simsek detailed the progress made in addressing macroeconomic challenges and reducing the country’s risk premium. Despite these advancements, he made it clear that the EU’s role in Türkiye’s economy is irreplaceable.

Reflecting on the current global economic landscape, Simsek acknowledged the evolving nature of international economic alliances. He pointed out that while platforms like BRICS and the G20 facilitate dialogue, they do not yet offer the same level of integration and partnership as the EU. “It may change with obviously geostrategic competition and further fragmentation and insuring from geopolitically near countries. Then, of course, those type of clubs or platforms can evolve,” he noted.

Simsek’s remarks highlight Türkiye’s strategic economic priorities and its reliance on stable and substantial trade relationships with the EU. The emphasis on maintaining and strengthening these ties underscores the importance of the EU as a pivotal partner in Türkiye’s ongoing economic reforms and future growth.