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Turkey Should Subsidise Poor SE Region - Report

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  • Turkey Should Subsidise Poor SE Region - Report

    TURKEY SHOULD SUBSIDISE POOR SE REGION - REPORT

    Reuters, UK
    Nov 22 2006

    ANKARA, Nov 22 (Reuters) - Turkey should pay a monthly subsidy to
    around five million poverty-stricken people in its mainly Kurdish
    eastern regions to help kickstart the local economy, said a U.N.-backed
    report unveiled on Wednesday.

    Incomes in eastern Turkey are about one third of the national average
    and as little as 7 percent of the average income in the European Union,
    which Turkey hopes to join.

    Ankara must at least double the east's income before it can join the
    EU, the report said, echoing concerns about regional income disparity
    in Turkey made by the European Commission.

    "About 60 percent of the population in the region lives under the
    poverty threshold and that poverty has acquired a chronic character
    as it is passed on to successive generations," said the report.

    It said public investment in these regions remained at about one
    third of the national average.

    The report suggests a subsidy of 150 Turkish lira to each family that
    qualifies and puts the total cost at 771 million lira ($572 million).

    The average family in the east has five children.

    The region's economy has suffered from more than two decades of
    conflict between security forces and separatist Kurdish guerrillas
    that uprooted thousands of people and created ghettos of unemployed
    migrants in the region's cities.

    The proposed "citizenship income" and other measures such as free
    lunches for students would help boost employment and develop the
    regional market, allowing a gradual revival of local entrepreneurship,
    the report suggested.

    Turkey is required to close the wide gap between its western and
    eastern regions under its obligations to the EU, with which it began
    accession talks last year. The gap is wider in Turkey than in any
    other candidate or member state.

    The report also called for public investment in tourism to attract
    more visitors from Iran, Georgia and Armenia and also ethnic Armenians
    living abroad.
    From: Baghdasarian
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