Erhürman: "You Are Selling the Future; The Problem You’ve Created Is Existential"

Erhürman highlighted the declining purchasing power despite salary increases, emphasizing the shift of economic activity to the South, where the euro currently stands at 36.5 Turkish lira.

"A Vicious Cycle: Falling Purchasing Power"

Accusing the so-called government of flawed reasoning, Erhürman stated, “The primary economic issue is the lack of market stability. Without predictability, there can be no stability.” He explained that market instability has eroded purchasing power, with higher wages failing to translate into increased access to goods and services.

"Our aim should be to stabilize the market, protect purchasing power, and, if possible, improve it. However, your new cost-of-living adjustment model has exacerbated the issue, creating a vicious cycle where rising costs and inflation further diminish purchasing power,” he said.

Erhürman criticized the government for rejecting a proposed system tied to a stable currency and instead implementing policies that failed to deliver the intended results.

"A Catastrophic Situation"

He underscored the economic mismanagement that has pushed people to shop in South Cyprus, where goods are more affordable. “In an environment where the euro is 36.5 TL, residents prefer shopping in the South, as their purchasing power is greater there. This reflects disastrous economic governance,” Erhürman said, citing an 18% increase in crossings from the North to the South compared to the same period last year, while crossings in the opposite direction dropped by 11%.

Referring to statements by Chamber of Commerce President Turgay Deniz, who said, “God help those who cannot cross to the South,” Erhürman remarked that prices in the South clearly illustrate the economic disparity. “This is a catastrophe. The purchasing power in North Cyprus has reached a dire state,” he added.

"A System That Cannot Protect Purchasing Power"

“This country has become increasingly expensive. Even tourism has suffered as a result,” Erhürman said, pointing to the government’s inability to address the core issue. He argued that the new system for adjusting cost-of-living increases has failed to protect purchasing power and is now poised to further diminish it.

“No one can claim that this regulation will protect purchasing power. Instead, it will lead to an economic downturn for salaried workers, particularly by 2026,” he warned.

Concluding his remarks, Erhürman said, “You think you are doing something simple, but the problem you’re creating is existential. We will not allow this problem to persist.”