| Goals in the Area of Structural Reforms Specified in the Memorandum on Economic Policies (MEP) of May 2001* | ||||
| Topic | Regulations that will be done / were done | Date | Result | Note |
| Banking Regulations | Reducing the SDIF and state banks' overnight position by at least two-thirds from the March 16, 2001 level | Done | A condition for the completion of the 6th and 7th reviews | |
| (MEP, May 2001) | Elimination of the SDIF and state banks' remaining overnight position | Done | A condition for the completion of the 8th review | |
| The stock of repos of the SDIF and state banks with the CBT not to exceed TL 7 quadrillion | As of May 31, 2001 | Done | A condition for the completion of the 8th review | |
| Establishing a common and politically independent board for Ziraat and Halk, reporting to the Treasury, and appointment of a new management | Done | A condition for the completion of the 6th and 7th reviews | ||
| Completion of the financial restructuring of state banks | Done | A condition for the completion of the 6th and 7th reviews | ||
| Closing Emlak Bank and transferring its liabilities and some of its assets to Ziraat Bank | Until June 1, 2001 | Done | A condition for the completion of the 8th review | |
| Recapitalizing Sumerbank | Done | A condition for the completion of the 6th and 7th reviews | ||
| Recapitalizing the remaining SDIF banks | Done | A condition for the completion of the 6th and 7th reviews | ||
| Organizing in a second transition bank or put into liquidation the four banks for which there are presently no interested bidders | Done | A condition for the completion of the 8th review | ||
| Sell, put into liquidation or otherwise resolve the remaining SDIF banks | Until January 1, 2002 | Bank Ekspres and Demirbank are sold, Iktisat Bank is closed, the whole process is expected to be completed until 2002 | A condition for the completion of the 12th review | |
| Presentation by all capital-deficient banks of detailed capital strengthening plans | Until May 1, 2001 | Done | Prior action for 6th and 7th reviews | |
| Finalization of commitment letters by the banks on recapitalization plans aggreable to Fund staff | Done | A condition for the completion of the 8th review | ||
| Parliamentary approval of amendments to Banking Law | Done | A condition for the completion of the 6th and 7th reviews | ||
| Adoption of connected lending regulation in line with EU standards | Within one month of approval of amendments to the Banking Law | Done | Structural benchmark | |
| Bringing the accounting standarts for banks in line with international standards | From the beginning of 2002 | Structural benchmark | ||
| Fiscal Transparency and Management | Closing the remaining 15 Budgetary Funds (except DFIF) and 2 Ex-Budgetary Funds | Until July 1, 2001 | Done | Structural benchmark |
| (MEP, May 2001) | At least halving the number of revolving funds | Until January 1, 2002 | Structural benchmark | |
| Submitting to Parliament a Law on Public Finance and Debt Management | Until July 1, 2001 | Done | Structural benchmark | |
| Accompanying the draft 2002 budget by accounts and financial outlook for all EBFs and SSIs, revolving funds, contingent liabilities of the Treasury, all SEEs, and local authorities | Structural benchmark | |||
| Submitting to Parliament a Public Procurement Law | October 15, 2001 | Done | Structural benchmark | |
| Privatization | Parliamentary approval of legislation to facilitate Turk Telekom privatization | Done | Prior action for the 6th and 7th reviews | |
| (MEP, May 2001) | Appointment of new professional board and management team for Turk Telekom | Done | A condition for the completion of the 8th review | |
| Türk Telekom’un şirketleşme planı için danışmanlarla sözleşme yapılması | Until November 1, 2001 | Done | Structural benchmark | |
| Türk Telekom’un özelleştirme planının tamamlanması | Until January 1, 2002 | Structural benchmark | ||
| Parliamentary approval of Tobacco Law | May 2001 | Done, but resent to the Parliament by the President. | A condition for the completion of the 8th review | |
| Passage by Parliament of a law fully implementing the constitutional amendment on international arbitration | Before Parliament's 2001 summer recess | Done | Structural benchmark | |
| Fiscal Policy and Public Debt Management | Approval of tax measures. a) increase petroleum consumption tax by 15 percent in early May 2001 (b) increase VAT rates (except the reduced 1 and 8 percent rates) by one percentage point; and (c) increase, as of April 2001, the minimum contribution base relevant for social security payments in line with existing regulations | Done | Prior action for the 6th and 7th reviews | |
| (MEP, May 2001) | Approval of supplementary budget in line with program expenditure figures | Done (June 14, 2001) | A condition for the completion of the 8th review | |
| Enactment of tax regulation to extend the use of Tax Identification Numbers | Until Jun1 1, 2001 | Done | A condition for the completion of the 8th review | |
| Reducing the stock of private sector tax arrears from the end-2000 level of 2 percent of GNP (including interest and penalties) | End-2001 | Structural benchmark | ||
| * Memorandum on Economic Polices(MEP) dated May 3, 2001 sets forth the economic program of the Turkish government for the balance of 2001 and for 2002. | ||||
| MEP is a continuation of the one initiated in late 1999, with the support of a stand-by agreement with the IMF. | ||||
| MEP remains the main document and is updated with the Letters of Intent dated June 26, 2001 and July 31, 2001. | ||||