New reform package to support production & exports on the way – PM Davutoğlu

The Turkish government is working on a new package of reforms to increase economic competitiveness and growth, Prime Minister Ahmet Davutoğlu told at a reception held by the International Investors’ Association (YASED) in Ankara.

The new support program covering production and export operations was about to be announced, he said.

“Becoming a center of attraction in the eyes of international investors is a key goal for Türkiye, which can only be attained with continuous political and economic stability,” Davutoğlu said while addressing an audience of executives of multinationals, representatives from local and foreign business bodies, NGOs, foreign missions and academics.

“A new incentive package will be announced in the coming weeks, designed specifically to support production and export operations in Türkiye,” he said, adding that the government would support any investment helping the country’s transformation into a high value added, innovation-driven economy.

Intent on implementing a series of reforms to further improve the country’s investment environment, the Turkish government is following through its 2016 Action Plan. It announced a reform package of R&D-related activities in January that aimed increase the competitiveness of vital industries, strengthen university-industry cooperation and increase R&D spending.

Also speaking at the event was YASED chairman Ahmet Erdem, who said that the association fully supports the government’s initiatives to increase foreign direct investment (FDI) in Türkiye.

“With political stability established and a government reform agenda turning into action, foreign investments are likely to pick up the pace during the course of this year,” Erdem said, stating that the FDI forecast for 2016 was positive, given the 32 percent increase in FDI inflows in 2015.

FDI into Türkiye reached USD 16.5 billion in 2015, at a growth rate of 32 percent over 2014.

Image of Ahmet Davutoglu