10 Reasons to Invest in Turkey

10 Reasons to Invest in Turkey

  1. SUCCESSFUL ECONOMY
  2. POPULATION
  3. QUALIFIED AND COMPETITIVE  LABOR FORCE
  4. LIBERAL AND REFORMIST INVESTMENT 
  5. INFRASTRUCTURE
  6. CENTRALLY LOCATED
  7. ENERGY CORRIDOR AND TERMINAL OF EUROPE
  8. LOW TAXES AND INCENTIVES
  9. CUSTOMS UNION WITH THE EU SINCE 1996
  10. LARGE DOMESTIC MARKET

Snapshot

Official Name of Country

Republic of Turkey

Capital City

Ankara

Government

Parliamentary Democracy

Population

79.8 million (2016)

Labor Force (Population)

30.5 million (2016)

Median Age

31.4 (2016)

Official Language

Turkish

President

Recep Tayyip Erdoğan

Prime Minister

Binali Yildirim

Area

783,562.38 km²

Coordinates

39° 55' North, 32° 50' East

Time Zone

GMT +2

Neighboring Countries

Bulgaria, Greece, Syria, Iraq, Iran, Azerbaijan, Armenia, Georgia

Major Cities (Population)

Istanbul (14.8 million), Ankara (5.3 million), Izmir (4.2 million), Bursa (2.9 million), Antalya (2.3 million) (2016)

Climate

Temperate; hot, dry summers with mild, wet winters

Telephone Code

+90

Country Code Top-Level Domain

.tr

Electricity Voltage

220 V, 50 Hz

Currency

Turkish Lira (TRY)

Financial Center

Istanbul

GDP

USD 857 billion (2016-Current Prices)

GDP Per Capita

USD 10,807 (2016)

Exports Value

USD 143 billion (2016)

Imports Value

USD 199 billion (2016)

Tourism Revenue

USD 22.1 billion (2016)

Tourist Number

25.3 million (2016)

Foreign Direct Investment

USD 12.3 billion (2016)

Number of Companies with Foreign Capital

52,754 (2016)

Inflation Rate

8.5% (CPI-2016)

Major Exports Markets

Germany (9.8%); UK (8.2%); Iraq (5.4%); Italy (5.3%); USA (4.6%); France (4.2%); UAE (3.8%); Spain (3.5%); Iran (3.5%); Netherlands (2.5%) (2016)

Major Imports Sources

China (12.8%); Germany (10.8%); Russia (7.6%); USA (5.5%); Italy (5.1%); France (3.7%); South Korea (3.2%); India (2.9%); Spain (2.9%); UK (2.7%) (2016)

Trade Agreements

Customs Union Agreement with the EU

Free Trade Agreements with Albania, Bosnia Herzegovina, Chile, EFTA member countries (Switzerland, Norway, Iceland and Liechtenstein),Faroe Islands, Ghana, Kosovo, Lebanon, Egypt, Georgia, Israel, Jordan, Singapore, South Korea, Syria, Macedonia, Malaysia, Mauritius, Moldova, Montenegro, Morocco, Palestine, Serbia, Tunisia

Traffic Flow

Right

Living in Turkey

Living in Turkey

An increasing number of people from various parts of the world are moving to Turkey to start a new life, to work, or even to find peace of mind for their retirement. The country has developed dramatically in the last fourteen years, and the pace of progress in certain fields is nothing short of astonishing.

With its unique geographical location combined with a rich and diverse history, right in the cradle of many different civilizations, Turkey is a privileged place to live for expatriates and their families.

Many of Turkey’s new residents hail from countries like the UK, Germany, Ireland, Denmark, the Netherlands, Norway, Austria, Belgium, France, USA, as well as several of the Gulf countries. Thanks to the amendments in Turkey’s property law that lifted the reciprocity principle, foreign homebuyers and investors are now free to purchase any property in Turkey.

From flats in urban centers to villas in suburbs, there is a multitude of options to choose from when looking for housing in Turkey. Major metropolitan areas have the most modern and complete environment for an extravagant life in the city, where luxurious residence complexes offer all the daily amenities such as private security, kindergartens, sports complexes, social facilities, parking lots, and shopping malls for their residents.

Foreigners wishing to work or reside in Turkey are obliged to file an application to the relevant Turkish authorities with required documents in order to obtain a work or residence permit. The methods and principles concerning work permits to be issued to foreigners that will be employed in Turkey vary by the relevant sector, such as education, housekeeping services, health services, tourism, aviation, entertainment, and others, as well as with respect to foreign direct investments, special foreign direct investments, professional services, and liaison offices. Meanwhile, residence permits are issued to foreigners mainly based on ownership status of real estate or on the intention to run a business or establish commercial connections in Turkey.

The transportation system in Turkey makes good use of the country’s highly developed infrastructure. With more than 50 airports across the country, one can fly from one city to another in Turkey in less than an hour in most instances. An extensive network of dual carriageways and highways makes it very easy to drive from your home to any major city in Turkey. The high-speed train network, meanwhile, has been improving rapidly in the last decade; the 14 largest cities in Turkey are expected to be interconnected with high-speed train lines by 2023, the centennial of the foundation of the Republic of Turkey.

The education system of Turkey underwent serious reforms in the last decade. Most apparent is the now compulsory twelve-year education and the dramatic increase in the number of schools and other educational institutions. Many private and foundation schools, in addition to public schools, offer education services. Moreover, international schools, where only pupils holding a foreign passport can attend, are present throughout the country. While schools providing education in European languages such as English, German, French, and Italian are available, there are other institutions where languages such as Russian, Japanese, and Chinese are taught as well.

The healthcare system in Turkey mainly operates with three different types of hospitals: public, university, and private. While social and health securities are governed in essence by the state, it is also possible to have private health insurance. The majority of hospitals in Turkey, both public and private, are either meeting or surpassing international standards in equipment quality and expertise.

The cultural activities in which one can engage in Turkey are only limited by individual interests and capabilities. Be it arts, hobbies, entertainment, or other leisure activities, the possibilities are endless. In all major cities, one can find movies, plays, concerts, ballets, operas, and other varieties of cultural activities awaiting either participants or spectators. Local festivals and more traditional forms of leisure activities are also rising in popularity.

Turkey’s rich geography and suitable terrain make the country an ideal place for alternative sports such as mountaineering, golf, scuba diving, rafting, skiing, and yachting. Naturally, well-established and popular sports like football, basketball, and volleyball have a considerable number of players and supporters all over the country.

Located in the Eastern Mediterranean region and surrounded on three sides by temperate seas, Turkey has a climate allowing for extreme variations in weather, often in the same region or province. As such, it is possible to go skiing in a mountain resort after sunbathing on a sandy beach, both on the same day.

Economic Outlook

Turkey’s economy has performed remarkably well with its steady growth over the past 14 years. A sound macroeconomic strategy, prudent fiscal policies, and major structural reforms have all contributed to the integration of Turkey’s economy into the globalized world while also transforming the country into one of the major recipients of FDI in its region.

These reforms have increased the role of the private sector in Turkey’s economy, enhanced the efficiency and resiliency of the financial sector, and placed public finance on a more solid foundation. These reforms strengthened the macroeconomic fundamentals of the country, allowing the economy to grow at an annual average real GDP growth rate of 5.6 percent from 2003 to 2016.

Annual Average Real GDP Growth (%) 2003-2016

 

Source: OECD Quarterly National Accounts, 2017

Source: OECD Quarterly National Accounts, 2017

Turkey’s impressive economic performance over the past 14 years has encouraged experts and international institutions to make confident projections about Turkey’s economic future. For example, according to the OECD, Turkey is expected to be one of the fastest growing economies among OECD members during 2015-2025, with an annual average growth rate of 4.9 percent.

Annual Average Real GDP Growth (%) Forecast in OECD Countries 2015-2025 (USD at 2010 PPP)

Source: OECD

Source: OECD

Together with stable economic growth, Turkey has also reined in its public finances; the EU-defined general government nominal debt stock fell to 28.3 percent in 2016 from 72.1 percent in 2002. Turkey has been meeting the “EU’s 60 percent Maastricht criteria” for public debt stock since 2004. Similarly, during 2003-2016, the budget deficit decreased from more than 10 percent to less than 2 percent as a ratio to GDP, which is one of the EU Maastricht criteria for the budget balance.

As the GDP levels increased to USD 857 billion in 2016, up from USD 236 billion in 2002, GDP per capita soared to USD 10,807, up from USD 3,581 in the given period.

The visible improvements in Turkey’s economy have also boosted foreign trade. Exports reached USD 143 billion by the end of 2016, up from USD 36 billion in 2002, while tourism revenues, which were around USD 12.4 billion in 2002, exceeded USD 22 billion in 2016.

Significant improvements in such a short period of time have registered Turkey on the world economic scale as an exceptional emerging economy. It is the 17th largest economy in the world and the 6th largest economy when compared with the EU countries, according to GDP figures in 2016.

  • Institutionalized economy fueled by USD 180 billion of FDI in the past 14 years
  • 17th largest economy in the world and 6th largest economy compared with EU countries in 2016 (GDP, IMF)
  • Robust economic growth with an annual average real GDP growth of 5.6 percent during 2003-2016
  • GDP reached USD 857 billion in 2016, up from USD 236 billion in 2002
  • Sound economic policies with prudent fiscal discipline
  • Strong financial structure that is resilient to global financial crises
2019-01-12T13:21:20+03:00