Global crisis is systemic, Unakıtan says .hurriyet2008-detailbox-newslink { font-family: Arial, Helvetica, sans-serif; font-size:13px; font-weight:bold; text-decoration:none; color:#000000;} .hurriyet2008-detailbox-newslink:hover { font-family: Arial, Helvetica, sans-serif; font-size:13px; font-weight:bold; text-decoration:underline; color:#990000;} ISTANBUL - The global financial turmoil is a "systemic crisis" rather than "a problem that can be solved through financial aid," according to a top minister who spoke in Istanbul on Friday.

Speaking at the "The Global Financial Crisis and Its Effects on Turkey" conference at Bahçeşehir University, Finance Minister Kemal Unakıtan said the global economy "is never going to be the same again."

"The world is awakening from a dream," he said. "Giant economies are falling into recession. It is hard to predict how far this turmoil will go."

"So far, 38 countries have released bailout packages, whose total amount surpasses $6 trillion. Despite the trillions of dollars pouring into the markets, there is no stability yet," he said. "The [real cure] is to re-establish confidence with a new financial system."

As Turkey has gone through several destructive crises in the past, it has become "immune" to crises, he claimed.

"There are two key issues that are of crucial importance for Turkey," he said. "The budget deficit and the current account deficit. The budget deficit problem has almost been sorted out, but the current account deficit problem, which dates back to the Ottoman Empire, is still one of the biggest problems."

Commenting on the repayment of syndicated loan debts of Turkish banks, Unakıtan said there is no need to panic.

"[The banks] will pay $3 billion or $4 billion in 2008 and around $10 billion next year. They are able to manage such an amount easily," he said

Speaking at the same conference, Nobel laureate economist Robert Mundell said it "would not be the right thing for the government to increase public spending while the short-term prospect is so ambiguous.