Turkey: FDI Hits US$ 5,6 Billion in First 5 Months
Foreign direct investment, or FDI, to Turkey in the first five months of 2011 more than doubled to $5.6 billion, according to data from the Economy Ministry.
Analyzing the data, Economy Minister Zafer Çağlayan said 87.7 percent of the investments were from European Union member countries. “This shows that Turkey is indispensable for the EU.”
In May, Turkey attracted FDI of $882 million, almost triple the figure of $303 million in May 2010.
The government arranged a total of 105 investment incentive documents during this period, four of which were related to four big investments totaling $954 million. Cağlayan said the FDI inflows data related to the pre-election period.
According to the ministry, companies are expected to invest $4.5 billion over the next three years in Turkey, creating 6,433 jobs. In the first five months of 2011, FDI was mostly directed toward banking, insurance, energy and manufacturing. In this period, foreign investors were net sellers of equities, selling $1.77 billion worth of stock.
“These increasing investments will contribute to a healthy financing of the current account deficit,” Cağlayan said. “They will also increase Turkey’s production capacity, contributing to output, exports and employment.”
July 14, 2011
SOURCE: HURRIYET DAILY NEWS
