Turkey’s location between the European nations and Asia accounts for some of its rapid development. Not only its site, but the country’s hospitality services, medical services, and tourist attractions are responsible for the massive influx of people into the country. To crown it all, the country’s mineral resources such as precious stones, artifacts, metals, steels, and textile is responsible for the industrialization of all kinds. Among which include the production of all sorts of vehicles and car parts resulting in the country’s economic recognition and invitation of foreign investors.
Investment in Turkey is a made easy procedure, and the country is extending her hands of business and acceptance to anyone who chooses to invest within her domain. However, as an investor, the ease at which your company can be registered in a country is not the only issue to consider. However, it is essential to define the motive behind investing in Turkey. Because of this, we have compiled 10(ten) strong reasons to start up your company or extend your company operation to Turkey.
1. Favorable Economy.
If for no other reasons, Turkey fastest growing and promising economy should drive your interest in investing in the country. The country experiences a fantastic boost in her prosperity in the last 15 years. By the records, the country ranks as the 5th among other European nations, and 13th country with the largest economy in the world as of 2016. Turkey Gross Domestic Product (GDP) rises progressively by a sum of $599 billion between 2002-2017 and receives about $135 billion foreign investment over the past decade with an estimate of $15 billion per year.
Turkey is undoubtedly situated in the best place that favors importation and exportation. The country serves as a bridge between the European nations and the Asian, and she is also surrounded by the Black Sea in the North, the Aegean Sea in the East, and the Mediterranean Sea in the West. With this kind of placement, whatever you produced has the chance of reaching about 1.6 billion people in the surrounding nations, excluding the citizens of the country. The country also has a safe and peaceful environment for companies meaning that the security of lives and property is assured.
3. Availability of Labor Force.
A large percentage of Turkey’s population belongs to young people under 30 years of age. Therefore, it is certain that your company will receive enough vibrant, skillful, and intelligent labor force. There will also be the chance to test and select only those that please your company.
4. Presence of Raw Materials.
A more significant percentage of the industry and companies in Turkey totally depends on the countries raw materials for production. The countries possess raw materials such as steel, gold, jewelry of all kinds, textiles, metals, plastics, agricultural products, and there are still more to detect. Presently, the country is raw materials independents, and for this reason, companies in the country enjoy easy accessibility and low cost of raw materials.
5. Liberal and Reformist Investment Climate.
The country is liberal, in the sense that she gives the same measure of right and benefits to both local and foreign investors. An example of this is that all companies can complete their registration within a week irrespective of their origin. The country, being a member of the Organization for Economic Co-operation and Development (OECD) sees that it removes all form of hindrances that would hide the development of any foreign companies. Turkey has also created an environment for competition between the local and foreign. Besides, the country has about 53,000 companies with foreign capital as of 2016 and have also set up tribunals and court to look into the hardship encountered by foreign investors.
6. Technological Advancement.
The country adopts technology like every other European and again countries around it. Apart from raw materials, all different types of machinery useful in production are readily available. Technology is at its peak in Turkey with the production of various electronic devices and most especially aircraft. The use of the internet is growing progressively in Turkey, and about 60% of its citizens are already smartphone users. It signifies that advertisement and marketing of finished products online are possible, like every other part of the world. We are glad to tell investors that running a company in Turkey is comparably smooth and doing business in the United States and China.
7. Low Taxes and Incentives.
The government of Turkey has reasonably reduced income taxes rate from 33% to 20%. And sometimes, investors may be given the grace to make a half payment or exempt the whole fee. The government also provide free land as incentives to foreign investors as a means of stirring up their courage.
8. Membership In The European Customs Union.
Turkey joined the European Customs union in 1996, and the primary objective of this association is to increase economic activities in its member states. The members of this association have agreed to about 20 different free trade convention to offer investors in their country.
The joy of every company is to be in a country that readily provides the basic amenities that will sustain its operations. These include infrastructure such as good road network, affordable rail network, and maritime transportation for movement of finished goods and raw materials. Companies also like to invest in a country with regular power supply, and a sound communication system. Turkey recognizes these needs and has done well to put all the amenities in place for the smooth running of businesses within its territory.
10. Large Domestic Market.
Apart from importation and exportation business, the local market in the country is also favorable for all kinds of investment. There are high demands for all sorts of commodities, including tech, mobile phones, clothing, cars, and machines. The citizens of the country appreciate better the locally produced goods more than the imported ones. Moreover, the equality of foreign investors to local ones portray that everybody is liable to make their profit from the market.