Turkey has introduced several incentive packages to attract
foreign investors over the past decade. As a successor of
earlier incentives, the Turkish government has recently
released a new centre of attraction programme to accelerate the
amount of domestic and foreign investments made in the
relatively less developed areas of the country.
The programme focuses on new investments for the
manufacturing industry, call centres and data centres and
intends to revive unfinished or partially completed investments
that were left because of inadequate working capital or other
What the package includes
The package includes super incentives, which cover turnkey
factory construction support, interest-free investment credits,
and working capital credit with reduced interest.
Accordingly, incentives available under the programme are as
- Capital support to obtain investment
- Turnkey factory building construction
- Interest-free investment loan
- Interest-reduced business loan
- Call and data centre support;
- Support for removing manufacturing
- Ownership transfer with limited rights of
land, factory building and public immovables to the
- Consulting service support; and
- Participation in companies and leading the
company establishments by the Development Bank of Turkey in
the cities where the programme is applicable.
To benefit from the programme, a fixed investment of TRY 2
million ($543,000) with at least 30 employees is required for
the manufacturing industry. For call centres, only 200
employees are required, and for 5,000 square metres of white
area to be occupied by the data centres.
However, call centre and data centre investments do not need
to meet minimum investment amount of TRY 500,000 in the regions
where they are located.
In addition, the programme allows the investors to use the
unused public buildings for their call centre and data centre
investment and energy support will be available for such
Those who would like to remove their manufacturing units to
the cities within the scope of the programme will be also
supported by cash. To receive the cash from the programme, the
business owner should employ at least 200 people and be
conducting business activities for the past two years.
Expected outcome of the programme
Turkish government officials expect the total investment
through the programme, which comes mostly from the
manufacturing industry, will be about TRY 20 billion. The
officials also expect 112,000 jobs to be created because of the
In this regard, it is also expected that each year 30
factories will be built in the cities where the programme is
applicable. In terms of call centres, it is envisaged that
20,000 people will be employed as an outcome of the
These numbers indicate that the Turkish government has
strong support to improve the investment climate in Turkey.
Also, it is observed that a good number of investors have
already applied for the incentives provided by the programme.
We believe that the Turkish government will increasingly
continue to support the business community with new incentive
packages in the coming years.
Burçin Gözlüklü (email@example.com)
and Ramazan Biçer (firstname.lastname@example.org)
Tel: + 90 216 504 20 66 and + 90 216 504 20 66