Sabah - Turkey will soon be welcoming fresh investments from companies in Americas and the Far East, according to Ilker Ayci, Head of the country’s official investment agency. Increasing efforts to grab a larger share of the world’s foreign direct investment (FDI) traffic, Turkey has turned to the Far East, particularly to Japan, as its traditional source of FDI, Europe, face a deepening debt crisis.
Speaking to the Turkish press about recent developments in Turkey’s FDI track record, the Investment Support and Promotion Agency of Turkey (ISPAT) President Ayci said the new investment incentives scheme will begin to pay off in the last quarter, given the rise in the number of applications received after the introduction of the scheme in June.
“The month of July alone saw 26 new applications for an incentive certificate indicating an investment total of USD 500 million, one fourth of the total USD 2 billion to be invested according to the 113 granted incentive certificates in the first 7 months. These figures show that our goal of matching or exceeding last year’s FDI inflow is reachable,” said ISPAT President.
Hinting of new Far Eastern investments in the coming months, Ayci specifically noted the Japanese financial corporations establishing a presence in Turkey. “The Japanese wave will not slow down as two more banks are on their way to Turkey,” said Ayci, without disclosing their names. “Furthermore, a Japanese tire maker will announce a USD 400 million investment in Turkey in a couple of days,” he added. Two of Japan’s largest lenders Bank of Tokyo-Mitsubishi UFJ (BTMU) and Mizuho Corporate have established a presence in Turkey lately.
ISPAT President listed an investment of about USD 700 million by Chinese solar energy investor and a large-scale manufacturing investment from the Americas, as being on the Agency’s agenda.
Turkey has attracted USD 15.9 billion of FDI last year, corresponding to a 76 percent increase over 2010, making to the 23rd spot as an investment destination in United Nations Conference on Trade and Development’s (UNCTAD) ‘World Investment Report 2012’ report.