Turkey on Wednesday unveiled a relief package worth 100 billion Turkish liras ($15.4 billion) to limit the economic fallout from coronavirus.
President Recep Tayyip Erdoğan announced the package, which includes debt payment delays and tax cuts across various sectors, following a meeting on measures to counter the pandemic at Çankaya Palace in Ankara.
"With a package we call 'Economic Stability Shield', we are deploying 100 billion Turkish lira ($15 billion) in order to reduce the effects of the Covid-19 pandemic," Erdoğan said after chairing a meeting in Ankara to discuss ways to tackle the crisis.
He announced a series of measures including tax cuts for businesses and help for low-income households, including those on minimum wage and the retired.
"The lowest pension will be increased to 1,500 Turkish lira," Erdoğan said.
Another measure was to cut the value-added tax on domestic flights to one percent from 18 percent for a three-month period, the president said.
Erdoğan also said his government would support the country's flag-carrier Turkish Airlines, which he said one of the leading companies severely affected by the crisis after cancelled flights over the virus.
Moreover, credit payments for firms who are facing cash flow disruptions due to coronavirus will be postponed for three months, he added.
"We will provide additional support to those companies when needed," the president said.
In order to maintain capacity utilization rates, the government has decided to extend financial support to stocks for exporters, Erdoğan added.
The country also doubled the credit guarantee fund's limit to 50 billion Turkish liras ($7.70 billion), up from 25 billion liras ($3.35 billion).
He urged employers to encourage flexible and remote working models to stem the spread of the virus.
The novel virus which emerged in Wuhan, China last December has now spread to at least 164 countries and territories worldwide, with Europe as its epicenter, according to World Health Organization.
With a global death toll of over 7,800, the pandemic has brought major cities across the world to a standstill sending stocks plunging and businesses facing huge losses.
