The Canal Istanbul project, which was announced by President Recep Tayyip Erdoğan with the words of my biggest dream, is unfortunately affected by the negative developments due to the coranavirus epidemic. Unfortunately, the global economic recession and financial problems that emerged at this time were effective in the project planned with the Build-Operate-Transfer model.
Cumhuriyet Newspaper the writer Erdal Sağlam made evaluations about the subject in his column; “While the effects of the corona epidemic on the economy are discussed in every respect, one of the important decisions to be considered is“ the translation of public projects without urgency ”. Not only the investments to be made from the budget, but also the big projects to be made with the private sector business model will be postponed and announced to the public. In this context, it is certain that the translation of an iconic investment such as the Kanal Istanbul project will boost the economy.
It is clear that such displacement decisions are valid for all countries as "the problem that needs to be dealt with urgently in this process is the large drop in demand". suffering from a severe shortage of resources such as Turkey, low-income citizens and small businesses and SMEs, while for countries struggling to sustain even in the middle of much greater importance of this decision.
Turkey's problems experienced with the effects of the economy, to ensure that fewer people die of, is seen by everyone that the decision to avoid taking radical social isolation. Even public health professors have begun to say that the recommendations made by the Scientific Committee, such as curfews, must now be implemented by the political authority, otherwise deaths will increase. In other words, resources that are already scarce need to be used to eliminate the negative effects of healthcare costs and the epidemic on the economy, especially the low income. In such a period, it is important in many respects to postpone both direct public projects and large project investments organized by the public.
For some time, economists have been discussing measures to be taken intensively. In some of the decisions, they make a re-calculation and make important suggestions, "Do this at this stage,". Almost all of them agreed on; instead of taking delayed, piecemeal and sometimes contradictory measures, the duration is determined and a more holistic package is prepared to take comprehensive measures that will give confidence to the economy both today and for the future. However, they say that concrete steps should be taken for necessary outsourcing, projects that do not have urgency to allocate resources to the right place should be postponed and explained.
Management should set priorities
Taking such a decision as soon as possible and making it public will create a perception, first of all, in the eyes of the low-income citizen, "Our managers think of us, they give up even the big projects they care about." In other words, such a decision will give morale to the public in such a critical period.
On the other hand, the economic situation requires that such investments have become luxurious in the next few years, not only the Kanal Istanbul project, but all the road and construction projects that are ongoing or planned to start this year. Maybe, as it has always been done in times of crisis, resources can be allocated for investments that have only a very little end, and that will create economic value when finished. If it is announced that public investments and other major projects have been stopped, the loss of confidence in the public, perhaps due to the economic decisions taken in the fight against the epidemic, may be eliminated to some extent. With such a comprehensive financial and monetary program, aid to show that low income is protected, radical decisions such as curfews, concrete plans for outsourcing, such a translation decision can be regained both inside and outside, if it is disclosed to the public in a package.
See the news of the last few days; downloaded JCR Turkey's rating points, Socar has announced that the second investment in Turkey shift to 2021 the end of the month, one day the number of people who died from the outbreak withstood 100 markets only hope against the government's continuous exit that was translated into external resources can be taken with the support of the IMF case ...
The path of mind is one; In this period, managers have to redefine their priorities, think about the health of the public and the long-term interests of the economy and act accordingly. Especially if they are sincere in their discourses that they see such a period as a prospective opportunity, the priorities they have to redefine, the decisions they will take accordingly and the things they will do are certain.