Turkey may introduce tax relief for businesses to help soften the impact of the coronavirus on the economy, Reuters reported.
Adjustments to tax regulations are currently under consideration, Reuters said, citing two people familiar with the plans.
The government will provide “serious support” to help embattled companies, one person said.
Turkish President Recep Tayyip Erdoğan is due to chair a meeting of ministers and senior officials on Wednesday to decide on further measures to contain the virus and its economic impact. The lira has slumped to its lowest level against the dollar since a currency crisis in 2018 on concerns about Turkey’s financial and economic health. Many other emerging market currencies have also dropped sharply.
Treasury and Finance Minister Berat Albayrak, Erdoğan’s son-in-law, said on Monday that Turkey would take measures this week to provide ample liquidity to financial markets and support for businesses. The central bank is expected to cut interest rates by at least 50 basis points to 10.25 percent at a meeting on Thursday.
Debt repayments for Turkish companies may also be postponed, the two sources said, according to Reuters. The central bank and the country’s financial regulator are expected to take measures, they said.
Turkey said on Monday that cases of the coronavirus rose to 47. It revealed the first infection six days ago. The Health Ministry has reported no further deaths and has not updated its information about how many tests for the illness have been performed.
Turkish exporters now face a slump in demand in Europe, their biggest market. The tourism industry, an essential source of foreign currency revenue, has reported mass cancellations as other nations close their borders and people refrain from travel.