The effect of policies implemented in fighting inflation in Türkiye on private sector investments

Private sector investments in Türkiye have shown a continuous development from the 1980s to the present day, and have continued to increase continuously except for certain crisis periods. With the liberalization and liberalization process in the Turkish economy, the contribution and importance of private sector investments to the national economy has increased. The aim of the study is to examine the effects of the policies implemented in the fight against inflation in Türkiye on private sector investments. For this purpose, private sector investments are primarily discussed. In the following sections, inflation-fighting policies and econometric analysis are included. The relationship between private sector investments and inflation policies and interest rate practices in the Turkish economy was investigated based on data for the years 2000-2023. In the study, private sector investments (OSY) were used as independent variables, and interest rate (FO), money supply (PA) and inflation rate (TUFE) were used to examine the stationarity of the series with unit root tests such as Augmented Dickey-Fuller (ADF), Phillips-Perron (PP), GLS (Generalized Least Square) and ARDL (Autoregressive Distributed Lag) bounds test approach in short and long term coefficient estimates. According to the findings obtained as a result of the study, it was concluded that there is a relationship between private sector investments and inflation, interest and money supply, and that inflation rate and interest rate increases negatively affect private sector investments, while money supply positively affects them.