Turkiye attracted $262 billion of investment from international companies since 2003

Presidential Investment Office President Burak Daglioglu said, “Turkiye is a country that has attracted $262 billion of investment since 2003.”

Speaking at the 43rd Ordinary General Assembly Meeting organized by the International Investors Association (YASED), Daglioglu said that while there were fewer than 6 thousand international capital companies, there are now more than 80 thousand international capital companies.

Daglioglu said, “Under the leadership of our President, we see Turkiye’s growth story and breakthrough in many areas since 2003.”

Stating that Turkiye was among the middle-low income countries with a per capita national income of $3 thousand in 2003, Daglioglu said, “Now it is among the middle-high income countries with a per capita national income of $13 thousand. When we look again, Turkiye was a country with a share of just over 5 per thousand in world trade, but now it has increased its real share in the world with an export share of over 1.1%.”

Stating that Turkiye is also a country that has attracted $262 billion of investment since 2003, Burak Daglioglu said:

“We are working on some historical data, with the data of our Ministry of Industry and Ministry of Commerce. We recently started sharing it on public platforms. We examined the period between 2006-2021. Let’s go specifically from 2021 data. Companies with international capital account for 8.8% of employment and private sector employment in Turkiye. I think this is a very valuable ratio. When we look again, as of 2021 data, 30% of exports in Turkiye are provided by our international capital companies.

Companies with international capital realize 30% of private sector R&D expenditures in Turkiye. 60% of exports consist of high and medium-high products. In this context, we actually see that YASED members improve the investment environment in Turkiye in a positive way, increasing added value, and enable them to move up that added value chain by attracting Turkish companies to international supply chains.”

Investment Office President Daglioglu stated that investors look at past data but invest for the future, adding that they celebrated the 100th anniversary of the Republic last year and had the opportunity to explain the Turkish Century vision with various receptions in 16 cities around the world with the participation of YASED members.

Daglioglu emphasized that Turkiye wants to be among the countries in the high income group by rapidly exceeding $15 thousand, from the middle-high income group of $13 thousand. “When we look again, our share of international direct investments in the world is currently around 1%. We want to increase this to 1.5%.”

Daglioglu stated that they aim to increase both the volume and the added value they provide in the global supply chain by rapidly increasing their export share in the world.

Stating that approximately 700 international companies have R&D activities in Turkiye, Daglioglu stated that international companies want to localize their design centers, product commercialization activities, and all stages before and after production in Turkiye.

“55% of renewable energy is currently used in Turkiye.”

World Bank Turkiye Country Director Humberto Lopez stated that energy production is a very critical sector, and that electricity production and carbon reduction are also very important, and that there is very good news in the case of Turkiye in this regard.

Lopez stated that they allocated a budget of $750 million for energy transmission in the next fiscal year, and pointed out that one of the important bottlenecks here is the transmission part of the energy transformation. Lopez also emphasized the importance of attracting the private sector to invest in solar and wind power plants.

Stating that 55% of renewable energy is currently used in Turkiye, Humberto Lopez said, “This is a very good thing. There is actually a very good picture not only among developing countries but all over the world.”

At the same time, some effort is required on the production side. Because the private sector needs to make an effort here. You need to adapt to this new situation. You also need to adapt your production to this. Otherwise, you cannot be competitive, and for this adaptation to happen, you have to be competitive.”

Expressing that he is optimistic about Turkiye, Lopez said, “You have many reasons to be good in a country like Turkiye. If you want to be close to the Arab world, you can come here. If you want to be close to Europe, you can come here. Turkiye also has a great potential in terms of human capital. “

Stating that Turkiye has an incredible private sector, Lopez continued:

“I think I will learn more from you. Last year, while the country was in the midst of uncertainty, a growth rate of 4.5% was achieved, and most of this was due to private sector growth. Therefore, we want there to be more private sector investment. We want more foreign direct investment to come. There needs to be a better legal and legislative framework. It will be important to take steps to facilitate this. Turkiye will be a great destination if the environment here is built on certainty, not uncertainty.”

“We attach great importance to supporting the achievement of the targets determined within the framework of MTP”

International Investors Association (YASED) President Engin Aksoy stated that international investors contribute to Turkiye’s sustainable development with their investments in all sectors of the economy and support production, exports and employment.

Aksoy said, “Within the framework of our country’s goal of becoming a regional production and service center, one third of our members provide services to neighboring countries from Turkiye, and more and more of our members plan to include services that will strengthen Turkiye’s ‘hub’ function on their agenda.”

Aksoy stated that they attach importance to supporting the achievement of the targets determined within the framework of the Medium Term Program (MTP) in order to ensure macroeconomic stability. “Continuing the fight against inflation, within the framework of rational policies, with the envisaged road map, and eliminating the uncertainties arising in pricing mechanisms as planned are of great importance in rebuilding the trust in our country.”

Source: AA / Prepared by Irem Yildiz

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button