FDI to Turkey stalls at $13 billion in 2013: Report

ISTANBUL

Turkey has raised an FDI inflow of more than 46 percent at $5.1 billion in the first four months of 2014 compared to the same period of last year, according to provisional data. DAILY NEWS Photo

Turkey attracted around $12.9 billion foreign investment in 2013, putting the country at the 22nd place in the world, a global report has revealed, but sector representatives say the level is far from its potential.

The country, which ranked 11th in developing countries, remained as the top foreign direct investment (FDI) receiver among West Asian countries, according to the World Investment Report announced by the United Nations Conference on Trade and Development (UNCTAD) on June 24.

The country had ranked 24th in the same report, having attracted $13.2 billion FDI in 2012.

Speaking at a press conference to present the report in Istanbul, Akın Kozanoğlu, deputy chairman of the International Investors Association (YASED), said Turkey’s FDI attraction remained around the same in 2013, compared to the previous year, as the country did not reach its potential due to geopolitical challenges.

“With the help of working to improve the investment environment, Turkey has the potential to draw much more investment than it has ever received,” Kozanoğlu said during the meeting.

He said Turkey “has a thriving trend,” but warned the turmoil in the region of which Turkey is a part of could continue, adversely affecting the FDI inflow to the country.

He said Turkey would be able to draw around $38 billion, as much as Spain, the country that attracted the highest amount of FDI among Europe, but does not have the same regional risks.

The YASED executive also added Turkey has raised an FDI inflow of more than 46 percent at $5.1 billion in the first four months of 2014 compared to the same period of last year, according to provisional data.
He said despite the ongoing geopolitical risks the country still can manage to draw around $16 billion FDI.