President Recep Tayyip Erdoğan late Tuesday said his government would not reverse the course of its economic policies and would keep favoring lower interest rates if they win the pivotal upcoming elections.

The statements came against some analysts' expectations that Erdoğan and the government may roll back the stimulus program after presidential and parliamentary elections set for May 14.

Erdoğan on Tuesday asserted the model that was unveiled in 2021 and that prioritizes low-interest rates to boost exports, production, and investment and creates new jobs, will continue after the vote.

Dubbed the Türkiye Economy Model, the program aims to lower inflation by flipping the country’s chronic current account deficit to a surplus.

Erdoğan said they were focused on achieving growth based on investment, employment, production and current account surplus.

"We will continue this approach successfully in the process after May 14," he told an interview with public broadcaster TRT.

Asked whether he meant there would be no way back from Türkiye Economy Model, Erdoğan said: "Everyone in the world is talking about a model of their own. We call ours the Türkiye Model."

Erdoğan stressed that he believes that Türkiye would set an example for the world with this model.

A coalition of six Turkish opposition parties has pledged to roll back current economic policies should they win the presidential and parliamentary elections.

Erdoğan says high rates cause inflation and has been advocating for lower borrowing costs. He has said the government’s new economic model is expected to yield results in 2023.

Last year, the Central Bank of the Republic of Türkiye (CBRT) cut its benchmark one-week repo rate by 500 basis points to counter an economic slowdown and held it at 9% in December and January.

It trimmed it by another 50 basis points in February to boost industrial production and employment after the devastating earthquakes before it left the key policy unchanged in March.

Treasury and Finance Minister Nureddin Nebati in February said the central bank would keep cutting rates as inflation slows and keep them low.

"The idea that the president will raise rates is no longer possible," he said.

Erdoğan questioned the views that lowering interest rates would lead to economic collapse, pointing out that the rest of the world has been raising interest rates while Türkiye has lowered them.

"We said we would reduce the interest rate, and we have reduced it. What happened? Have we sunk? Everyone in the world is still raising interest rates. We have and we are reducing the interest rate," he reiterated.

Stabilizing price increases at a low level has been the top priority for the government ahead of the upcoming vote, which is seen as the most crucial vote in the century-long history of the republic.

Erdoğan on Tuesday acknowledged that inflation is currently high, but stated that it had decreased significantly over the recent months and will continue to do so.

Türkiye’s annual inflation eased to 50.5% in March, according to official data.

"But it was much higher. It dropped all the way down to here, and it will go down even more," Erdoğan said, adding: "(Because) what is important for us is not lower interest rates or high inflation, (but) high investment with low interest. We need to achieve this."

The March inflation reading marked a notable regress compared to the peak of 85.5% – a 24-year high – registered last October.

An election manifesto by Erdoğan and his ruling party pledges, among others, to bring stubborn inflation down to single digits.

The government has sought to safeguard households through various measures, significantly raising the minimum wage, lifting state salaries, offering debt relief and hiking pensions for millions.

Others included a cap on rent increases, reduced taxes on utility bills, unveiling a significant housing project for low-income families, and a scheme that eliminates an age requirement and offers early retirement to millions of citizens in the first stage.