Bretix and Corona Virus Turned the Economy Upside-down

Commenting on the impact of Brexit on the global economy and the Turkish economy, Anil Aliriza Shohoglu said: "Brexit is a political process, but the debate is not in this area. The country to leave is the second-largest economy in the European Union. The historical decision that pushed Britain to this decision is dominated by economic reasons. The need for assistance, especially after the Greek economy has reached a very bad point, and the fact that much of the burden on the EU economy will be shared between Germany, France, and Britain has created a serious debate. At the same time, we can count the rising racism and anti-immigration in Europe as having an impact on Britain's decision to leave the European Union," he said.

UK economy in decline

The study by the "LSE "Centre for economic performance", which also emphasized the economic impact of separation, estimated that the UK leaving the EU and joining the European Free Trade Zone could cause a contraction of 2.2% to 9.5% of GDP. It is the general expectation that the British economy will shrink after separation. At the same time, the increase in the current account deficit and the negative impact of capital movements are among the expectations. With exports approaching $ 11 billion, Turkey needs to quickly sign an FTA with the UK to avoid being affected by Brexit," he said.

European orders will now turn to Turkey

Sharing the impact of coronavirus on Turkey's economy Sohoglu also added: "the impact of global trade of Turkish textile and automotive industry that can achieve a positive gain for the coronavirus, 82% of which is in the vicinity of Turkey, it is estimated that the use of textile capacity could be raised. The same inference applies within the automotive industry and subsidiary industry manufacturing. In the event of an increase in the effect of the virus in the Far East region, it appears to be a great possibility that orders from European markets will be directed to Turkey. In case of the spread of the virus and the spread of the virus, it is obvious that it will have an effect on the prices of raw materials, primarily iron and steel, throughout the world."