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ISTANBUL, Sept 1 (Reuters) - The new Turkish government will pursue policies aimed at boosting the country's economic growth potential while monetary policy will focus on stepping up the struggle against inflation in the period ahead, its programme said on Monday.
Outlining its plans after Ahmet Davutoglu took over as prime minister last week, the government said monetary policy would also support growth and employment, on the condition that this did not contradict the goal of achieving price stability.
According to the text of the programme, released on the prime minister's website, the central bank would continue to set monetary policy independently while structural measures would be taken to narrow the current account deficit.
"We will follow a line which will increase growth potential, creating solutions to problems in the economy with a long-term view," said the programme, read out by Davutoglu in parliament.
The economy expanded 4 percent last year and was targeted to grow 4 percent again this year.
The programme also said the government would boost the level of domestic savings and focus on value-added manufacturing.
(Writing by Daren Butler; Editing by Nick Tattersall)
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