What is the Best Investment in Turkey?
Table of Contents
Investing in Turkey
What is the Best Investment in Turkey? The answer to this question is simple. As a newly industrialized country, Turkey has a high demand and there is a lack of supply in many sectors. Making the most liberal economic policies by the government, Turkey’s economy has seen great growth in the past decade.
On the other hand, Turkey has the highest population among all European countries, so it always has a great market full of opportunities. The gap between the demand and supply of the market with government policies attracted foreign investors to Turkey from worldwide. Therefore, many investors are curious about the best investment in Turkey.
The best side about investing in Turkey is that foreign investors get so many options that most investors get confused about where to invest in. Turkey is among those developed countries that give uncountable options to invest for foreign investors.
Many foreign investors have preferred to invest in Turkey in recent years. The investments, on average, have a high profit rate. A highly profitable investment in the world is defined as successful investing. To begin, you should learn about the most profitable industries in Turkey. Turkey has emerged as a vital resource, particularly for international investors, in recent years, thanks to its rising economy. Which brings the question; “What is the Best Investment in Turkey?”
Turkey distinguishes itself from other countries with unique investment incentives which we can see below:
- A progressive and steady economy,
- A high percentage of the young-adult population,
- Qualified and competitive work labor,
- A renewable and liberal economic environment,
- Powerful and sophisticated infrastructure,
- Strategic location,
- The largest power plant and terminal in Europe,
- Low taxes and investment incentives,
- Membership in the European Customs Union,
- Great domestic markets.
Popular Investment Options in Turkey
Foreigner investors have the freedom to choose any sector, any business to invest in. In fact, it’s easy to invest in Turkey in any sector with lots of added advantages. Therefore, Turkey has attracted many foreign investments, and in the last six years, it became the hub of foreign investors.
In Turkey, foreign investors can invest in anyone or even in multiple businesses from different sectors. The Foreign Direct Investment (FDI) rule of Turkey is the best FDI rule in the world that gives equal importance to foreign investors’ interests. So, the available investment options in Turkey for foreign investors are as follows:
- Finance and insurance sector
- Manufacturing sector
- Construction and real estate sector
- Agricultural sector
- The wholesale and retail sector
- Logistics and warehouse sector
- IT and technology sector
- Textile and ready to wear clothing sector
- Energy and natural resources sector
- Environment and recycling sector
- E-Commerce sector
- Chemical industry
These are some of the most popular and best-investing options in Turkey among the worldwide foreign investors who invested in Turkey in the last ten to twelve years.
Investor’s Personal Aspect
If an investor wants to know what the best option for investment is, then the answer can only be accurate at a very personal level. All the above options are popular among foreign investors in Turkey and every investment option in Turkey has its own benefits and drawbacks. It’s true that these investment options give very good returns and are showing very good growth in recent years, but there are also incidents of personal failure and that is not because of the industry or business sector, but because of the lack of proficiency on a personal level or at the company level.
Be very careful to choose your investment option in Turkey. Because although there is a sea of vast investment options, and in most cases you don’t need any experience and special skills to invest in them, this can lead to your loss of capital. So, don’t choose an investment option just because it’s in trend or investors are investing more. Take it on a personal level and check all your strengths and weaknesses or ask for professionals to help you during this process.
You can always seek the aid of an experienced legal firm in Turkey to help with all of your affairs.
What are the types of investments in Turkey?
Real estate, the automobile industry, agriculture and food, general trade, healthcare and pharmaceuticals, financial services, communications and information, and a variety of other industries are all applicable.
What are the Best Investment Opportunities in Turkey?
Import and export: As one of the most profitable sectors in Turkey, Turkey welcomes this sort of investment, in which the investor may make significant financial profits by purchasing high-quality products at cheap costs in Turkey and then exporting them to markets in other countries. According to the European Statistical Office for vehicle exports to European countries, Turkey ranked first in terms of the value of Turkish automobile exports to Europe in 2016, with a total value of 22.5 billion Euros (€).1
Jewelry and gold design are particularly important industries, both in the domestic and international markets, as Turkey’s jewelry exports reached nearly 3.3 billion dollars ($) in 2017, an increase of 60% over the previous five years. Turkey, after India, is the second-biggest center for the jewelry business, and it also has the highest gold manufacturing capacity in Europe and the Middle East.
Clothes & textiles: Turkish clothing is the greatest in the world in terms of quality and reputation, and its exports are estimated to be worth $30 billion a year.
Electronic equipment, such as; lighting, construction, cables, and so on, is a very important industry in the Turkish market. With a note that construction materials exports totaled $8 billion last year.
Real estate investment in Turkey, particularly in Istanbul, is undergoing significant changes, with significant infrastructural and economic expansion, as Turkey has risen to become the world’s third-most lucrative destination for property purchasers in recent years. And, as predicted, due to recent project growth in Turkey and new transportation networks, the real estate industry will thrive in the future. That is why investing in Turkey will be so profitable, as the investor will be able to benefit from annual rent increases of 10%.