AS A GROWING COUNTRY, STRATEGICALLY SITUATED BETWEEN THE EAST AND THE WEST, SURROUNDED BY A BEAUTIFUL COAST LINE, TURKEY HAS BECOME AN IDEAL DESTINATION FOR INVESTMENT AND TOURISM.
The economy of Turkey has shown a promising performance with its steady growth over the last 10 years. Major structural reforms implemented since 2002 have integrated the Turkish economy into the global world, while transforming the country into one of the major recipients of FDI in its region.
The structural reforms, hastened by Turkey’s EU membership process, have paved the way for comprehensive changes in a number of areas. The main objectives of these efforts have been to increase the role of the private sector in the Turkish economy, to enhance the efficiency and resiliency of the financial sector, and to place the social security system on a more stable foundation. As these reforms have strengthened the macroeconomic fundamentals of the country, the economy has grown with an average annual real GDP growth rate of 5.2 percent over the past nine years between 2002 and 2011.
Significant improvements in such a short period of time have registered Turkey on the world economic scale as the 16th largest economy in the world and the 5th largest economy when compared with EU countries and an exceptional emerging economy, according to GDP figures in 2011.
FACTORS THAT MAKE TURKEY ATTRACTIVE FOR INVESTMENT
- Turkey has received its investment-grade credit rating by Fitch Ratings.
- Consumer price inflation decreases.
- The government has started the biggest urban transformation project to demolish 6.5 million buildings, because Turkey is an earthquake zone
- New developments in Istanbul such as the new airport that is going to be the biggest in the world, third Bosporus Bridge and Olympic Games for 2020 are expected to improve the prospective opportunities of the city.
- The confidence of global investors in the Turkish retail market has improved considerably.
- Demand for office space remained strong in 2012 with an increasing number of multinational firms establishing offices in Istanbul.
- Turkey creates more and more enterprises each year within its borders, as a regional hub providing easy access to 1.5 billion consumers in Europe, the CIS, and as an energy corridor and terminal between Europe, Central Asia and the Middle East.
- As Turkey is a bridge between Europe, Central Asia and the Middle East, Turkey is a logical country for the logistics sector.
- Lower Inflation rate.
- Lower interest rates and housing loan interest rates.