CHP-Led Municipalities in Ankara, Istanbul, and Izmir Owe 157 Billion TL in SGK Premium Debts
In a recent announcement, the Minister of Labor and Social Security, Vedat Işıkhan, disclosed the staggering amount of SGK premium debts accumulated by municipalities across Turkey. Among the top debtors were three municipalities led by the Republican People’s Party (CHP): Izmir, Ankara, and Istanbul, with a combined debt reaching a jaw-dropping 157 billion Turkish Liras as of September 2024.
Minister Evaluates Debt Collection Measures
Minister Işıkhan shed light on the measures being taken to collect these outstanding debts from municipalities and their affiliated companies. He emphasized that the decision to deduct these debts from the general budget allocations of municipalities was a necessary step and dismissed claims of political interference. According to Işıkhan, these debts were also highlighted in reports by the Court of Accounts.
In his statement, Işıkhan emphasized the importance of cooperation between the government and municipalities to find solutions to this financial burden. He called on all municipalities to demonstrate their willingness to pay off their debts and highlighted the positive discussions that have taken place with municipalities seeking solutions.
Debt Peaks in CHP-Led Municipalities
As of September 2024, the total amount of premium debt owed by municipalities and their companies stood at 157 billion 247 million TL, with 139 billion 682 million TL attributed to municipal companies. The top five debtors were as follows:
1. Izmir Metropolitan Municipality – 9.9 billion TL
2. Ankara Metropolitan Municipality – 8.8 billion TL
3. Istanbul Metropolitan Municipality – 6.4 billion TL
4. Adana Metropolitan Municipality – 4.4 billion TL
5. Şişli Municipality – 2.9 billion TL
Collection Efforts and Proposed Solutions
Minister Işıkhan highlighted the ongoing efforts to remind municipalities of options such as debt restructuring, installment payments, or real estate exchanges through provincial directorates. He assured that unpaid debts would be collected through deductions from the general budget allocations, following legal procedures.
So far, a total of 10 billion 106 million TL has been collected through installment plans, real estate exchanges, and enforcement measures. Minister Işıkhan reiterated the government’s commitment to resolving this issue and ensuring that all parties fulfill their obligations. The aim of the debt repayment regulation is to optimize public resources and make the debts sustainable in the long run.
