Turkey and Kuwait to expand trade relations
Posted by meb at April 3rd, 2008
A meeting between Turkish and Kuwaiti businessmen will contribute not only to Turkish-Kuwaiti relations, but also to the beginning of a new era of relations between Turkey and all countries of the Gulf Region, said Turkey’s President Abdullah Gül yesterday.
“Our presence here at the presidential level demonstrates an incentive for economic cooperation between the two countries with evaluating the mutual interest with the most convenient way,” Gül said during the Turkish – Kuwaiti Businessmen’s Meeting, organized by Foreign Economic Relations Board (DEİK) in Istanbul.
The current volume of trade between the two countries stands at $312 million. Turkey’s exports constitute $220 million of the total amount. The volume of trade between Turkey and Kuwait has risen over previous years, but has yet to reach a sufficient level, said Rona Yırcalı, DEİK Executive Board Chairman. Turkey’s volume of imports from Kuwait increased 60 percent last year to $92 million, he added.
“Turkey received $40 billion worth of direct foreign investment within the last two years,” said Yırcalı. “Kuwait reported a current account surplus of $50 billion last year. Kuwaiti investors should focus on various sectors instead of just focusing on petroleum,” he added.
“Muslim countries, which constitute 22 percent of the world’s population, take only a 5 percent share from the total proceeds and 8 percent from the global trade, which is disappointing,” Yırcalı said, adding, “We [the Muslim countries] should increase our trade interactions. We will be very pleased to see more Kuwaiti investors in Turkey.”
The liquidity surplus is fostering the domestic demand in Kuwait. The country’s economy is expected to maintain its stability and wealth in the Gulf region with its petroleum-based income surplus. Yırcalı urged Turkey to increase its presence in Kuwait. “The Turkish contracting sector, for example, has a $110 billion total trade volume in the world. The sector’s global business volume was worth $20 billion last year. The sector should move this maintenance in Kuwait as well.”
The participants to the Turkish – Kuwaiti Businessmen Meeting included the Amir of the State of Kuwait, Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah.
Source: Turkish Daily News
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