New law to attract wary capital, not shady money: Turkish Deputy PM

ANKARA – Anadolu Agency

AA photo

A proposed capital repatriation law sought to give foreign investors the red carpet treatment, not make Turkey a haven for black money, Deputy Prime Minister Nurettin Canikli said on July 14, while pledging that Turkey would “absolutely” keep dirty money out of the country.

In an interview with Anadolu Agency, Canikli said there was a tremendous amount of money in the global markets seeking a suitable destination to park, and the government wanted Turkey to be one of the places where capital could feel safe. 

Canikli rebuffed opposition and media claims that the capital repatriation law could turn Turkey into a haven for black money, calling the allegations inaccurate.

“There is still a huge mass of capital in global markets seeking a direction for both investments and parking. We are talking about hundreds of billions of dollars, with Gulf capital in the first place. Our goal is especially to be a harbor for capital from the international banking sector looking for a destination,” he said.        

“Gulf capital was the most prominent victim. In some developed countries their investments were seized. They are not sharing this with the public. There is one requirement we are looking for: It must be clean, not black money. We will absolutely not let black money into Turkey,” he added.        

As part of an economic stimulus package, the capital repatriation law would allow foreign investors and companies to enjoy tax exemptions and other advantages.        

In addition, Turkish nationals seeking to move their capital to Turkey in the form of money, gold or other financial instruments would be able to directly deposit their money in banks free of tax without dealing with the Finance Ministry or tax offices asking about the origin of the funds.

Canikli said there will be other regulations in favor of investors, both local and foreign, such as reducing costs during initial investments and easier residence permits, work permits and citizenship for a qualified workforce, an issue of great importance for foreign investors.        

“Regulations regarding a qualified workforce, which foreign investors see as vital in the areas where they operate, will be adjusted per investor demands,” Canikli said.

“We have already sent the legislative proposals, known as the ‘Turquoise Card,’ which enable foreign investors and workers to access work and residence permits much more easily,” he said.