Dervis Joins CHP
Dervis: "Turkey needs IMF support for two or three years"
TUSIAD Washington Office - Former Economy Minister Kemal Dervis officially became a member of the Republican People's Party (CHP) during a ceremony in Ankara August 23. Dervis had already said he would join the Republican People's Party August 21, after failing to create an alliance of left parties in Turkey. During the ceremony, Dervis stated: "Not only from members of the (Republican People's Party) ... we need support from everybody. We must forget old differences and ideas of left and right and adopt a democracy converging on the center. It is necessary to meet in a social democrat understanding which could embrace the center of the politics." Stating that the process before his participation to the CHP has been very difficult, Dervis said, "However, I have never thought a solution which exclude the CHP."

All three parties of left risk not passing the 10 percent threshold required for entering into the parliament. However, the other two social democratic parties have refused to join forces with the Republican People's Party. The CHP, created by Turkey's founder Mustafa Kemal Ataturk, failed to win seats at the last election. Dervis' participation is expected to boost its chances this fall.

Dervis, in comments on Thursday night, did not rule out a post-election coalition with the Justice and Development Party (AKP). The economist, however, stressed that Turkey's debt load and economic problems were so heavy that the only successful coalition would be one that shared the same "world view." "Unless there is harmony in the government, I cannot take on responsibility for the economy," he said. Dervis often clashed with the nationalist wing of Ecevit's government as he pushed privatization and reforms in the frail banking system and fragile state financial structures. Dervis also said Turkey would need IMF support for two or three years. It was not clear if he was referring to Turkey's existing three-year loan package or to a need for new lending.

An uncertain outcome, perhaps leaving AKP in control, would at very least delay any relief in rates driven by political uncertainty. The military spearheaded a pressure campaign in 1997 that forced from power Turkey's first Islamist-led government. The AKP, one of two parties that emerged from the ashes of a party banned for political Islam, has been at pains to distance itself from the 1997 government, its leaders and its policies.

Some 23 parties will contest in the November 3 elections, a sign of the political fragmentation in the country.
(Compiled from NTVMSNBC, Turkish Daily News, Associated Press, Reuters)