4.6 billion dollars in direct investment to Turkey in the first half of the year: A 5 percent decrease compared to last year

The International Investors Association (YASED) has published its International Direct Investment Bulletin with Figures following the announcement of the Balance of Payments Statistics by the Central Bank of the Republic of Turkey (TCMB).

According to the "International Direct Investment Bulletin with Figures" prepared by YASED based on the Balance of Payments Statistics shared by the TCMB on August 13, 2024, an inflow of 4 billion 692 million dollars in International Direct Investment (IDI) was recorded in the first 6 months of 2024.

TOTAL VALUE OF IDI INFLOWS EXCEEDED 268 BILLION DOLLARS

With this current statistic, while a 5 percent decrease was recorded in the first 6 months of the year compared to the same period in 2023, the IDI attracted in the first six months of 2024 corresponded to 28 percent of the current account deficit in the same period. The total value of IDI inflows to Turkey since 2002 has exceeded 268 billion dollars.

While the total IDI inflow in the first 6 months of 2024 was calculated as 4 billion 692 million dollars, 2 billion 846 million dollars of these investments were in the form of investment capital. Of the total IDI in the first 6 months of the year, 1 billion 535 million dollars was recorded through real estate sales to foreign nationals, and 754 million dollars through debt instruments. With the downward impact of investment liquidations worth 443 million dollars in the same period, the total IDI inflow in the first 6 months of the year was 4 billion 692 million dollars.

274 MILLION DOLLARS IN BANKING AND INSURANCE INVESTMENT

In the first six months of 2024, while total investment capital inflows were 2846 million dollars, "wholesale and retail trade" received a 23 percent share with an investment inflow of 664 million dollars. Financial activities attracted 12 percent of the investment capital inflows that occurred in the same period.

Of the 346 million dollars invested in the sector, 274 million dollars was recorded in relation to other financial service activities excluding banking and insurance. Other sectors with the highest investment were transportation and storage with an 11 percent share, the manufacture of computers, electrical-electronic and optical products with a 9 percent share, and mining and quarrying with a 6 percent share.

51 PERCENT SHARE IN THE FIRST 6 MONTHS OF THE YEAR

European Union (EU-27) countries, which historically accounted for 59 percent of investments in the 2002-2023 period, held a 51 percent share in the first six months of 2024. Non-EU European countries, the second largest investor in the 2002-2023 period, received a 21 percent share in the same period of the year.

In the first six months of 2024, by country, the Netherlands had the largest share with 20 percent, followed by the United States (USA) with 13 percent, Germany with 10 percent, Ireland with 9 percent, Norway with 8 percent, and the United Kingdom (UK) with 8 percent.