Franchise sector grows Despite the economic crisis the franchise sector has continued to grow in Turkey.

The sector, which has grown rapidly over the last eight years, has reached a global volume of $35 billion.

In Turkey, 800 brands issue franchise rights at present, according to data from the Turkish Franchise Association, or UFRAD. In 2000, there were 150 brands authorizing franchises. Among the rise are 600 Turkish brands.

Although Turkish entrepreneurs mostly prefer companies that have franchises in the food and beverage industry, there have also been franchises opening all over the world in textiles, the automotive industry and in real estate give franchises in restaurants and food sector, textile, automotive, service sector and real estate.

The United States ranks first in terms of the number of brands that allocate franchises. Fast food is the most notable industry there in this regard, where 2,500 companies have franchises.

The data of UFRAD has revealed Turks like to take risks. One in every two people in Turkey wants to establish his or her own job, while in the United States only one in 12 feel the same way. In Finland, the figure is as low as one in 60 people. One in every 45 Germans looks for new job opportunities, while one in 12 people in Japan wants to go it alone.

Franchise costs
With the crisis, companies have begun to make it easier for franchisees, said UFRAD Chairman Mustafa Aydın. “Brands reduce costs, do not demand brand fees or develop new projects. Today, franchise costs range between $10,000 and $50,000 on average.”

UFRAD is trying to diminish the impact of the crisis on enterprises, Aydın said. “In my opinion, the environment created by shopping centers is a great opportunity for the modernization of the country. It is crucial to keep this environment for the sake of our cities’ modern face, to shift to registered economy, to protect consumer rights, to develop brands and secure their expansion abroad. As the owners of chain brands, we demand urgent measures to return to a “win-win” solution in shopping centers again.”

New shopping centers do not increase the number of consumers in the market, said UFRAD Board Member Özkan Mutlugil. “They have started to share existing consumers. Problems have started since 2006. They have started to grab the consumers of the shopping centers nearby.”

The smoking ban also has had an important role on the current stagnation, he argued. “A transition should have been implemented. It has affected our sector in a bad way. Demanding rents in line with turnover is one of the suggestions. Many brands have adopted this structure.”
source: Hurriyet daily news

Related posts:

1. Turkish automotive sector in world’s top 10
2. Seizing the opportunity amid crisis
3. Turkish stock exchange grows by 731% in 12 years

UniCredit SpA cut its recommendation on Russian stocks to ‘underweight’ from ‘neutral’ and raised Polish and Turkish equities to ‘overweight’ from ‘neutral’.

‘These moves are in line with seeing rebounding global markets in the short term,’ Mark Robinson, a UniCredit strategist in London, said in a Sunday dated client note.

“We thus raise our risk exposure and de-emphasize safe havens,” he added.

Hungarian and Romanian shares were upgraded to ‘neutral’ from ‘underweight’ and Czech equities were lowered to ‘neutral’ from ‘overweight’
source: Hurriyet daily news

Related posts:

1. JP Morgan raises the weight of Turkish bonds in portfolio
2. Turkey safe haven, says Unicredit
3. UniCredit buys 20% of Turkish auto parts company Martur

Ana Gıda signed a deal with Seef Foods, owned by the Southeast Europe Equity Fund II (B), which is managed by Bedminster Capital Management. After the capital increase, Seef Foods will own 39 percent of the shares.

“Seef Foods is an investment fund. They had a desire to invest in food here. They came and found us,” said Tuncay Özilhan, chairman of Anadolu Group.

Ana Gıda, one of the leading food companies in Turkey, produces and markets olive oil and culinary vegetable oil through its Kırlangıç and Sezai Ömer Madra brands. As part of the growth strategy of Anadolu Group in the food sector, Ana Gıda has recently bought the Komili brand from Unilever Sanayi ve Ticaret Türk, as well.

“We are planning to grow in the Turkish edible oil market with the power we have gained through the combination of Komili and Kırlangıç brands,” said Özilhan.
source: Hurriyet daily news

Related posts:

1. NBK acquires leading Turkish edible oils firm
2. FT: Turkey gets fund boost as crises blow over
3. Greek medical firm eyes Turkish hospital

“There is stagnation in the world markets to a certain degree, and Turkey’s exports have been affected negatively by this fact, but we are diversifying our export markets, particularly at a time when demand from European markets is decreasing,” Tüzmen said on Sunday in Ankara. “We are planning to brace for the shrinkage in European markets by entering new export markets.”

Tüzmen said Turkey will see the benefits of entering new export markets, especially in the long run.

The minister said exports to countries such as China, India, Iran, Iraq and Syria as well as countries in the Gulf region, North Africa and Central Asia would continue to grow in the near future, adding that acting in solidarity with its neighbor countries against the global crisis would have positive effects. Tüzmen also noted that a recent formal visit from China to Turkey brought a new series of business contracts signed between Turkish and Chinese firms amounting to $261 million.

He also noted that the stability in foreign exchange rates will also benefit Turkish exporters. “There is a new balance in foreign exchange rates; $1 will remain around YTL 1.50,” he said. “Turkish exporters should not lose hope and show the courage to enter new markets.”

Meanwhile, Turkish Union of Chambers and Commodity Exchanges (TOBB) President Rifat Hisarcıklıoğlu said it was of the utmost importance to seek opportunities in new export markets. “The current importers from Turkey are struggling with the crisis. We need to enter in the markets of the countries that are less integrated with the world,” he said, referring to Syria and Iraq, which he said will come out of the economic crisis with few losses.
source: Today’s Zaman
Hisarcıklıoğlu said the world was going through an uncertain period and that no one knew the way out of the crisis. Speaking in a conference yesterday in Elazığ, Hisarcıklıoğlu asserted that the crisis was transitioning from developed countries to developing countries, increasing its effects on the non-financial sector.

He noted that things were getting worse in the Turkish economy and that growth was slowing. He said consumer confidence was declining and that sectors were suffering from stagnation. “Unemployment is also likely to increase because of poor growth rates in the coming months. These developments are all threatening to the economy,” he said, adding that the Turkish business world expected the government introduce an economic package as soon as possible.

Despite all of this, Hisarcıklıoğlu stressed that Turkey saw the negative effects of the crisis later than other countries thanks to the measures taken by the government. “We learned many lessons from the 2001 crisis,” he added.

Related posts:

1. New export markets to boost Turkey’s gold sales
2. Turkey to export 40 million branches of flowers to Europe on Valentine’s Day
3. US sets sights on Turkmen gas

Turkcell, the leading GSM operator in Turkey, got the biggest piece of the pie, with 70 percent of those who chose to make the jump shifting to Turkcell. Unlike the general trend in the world, Turkish subscribers chose to switch to a dominant operator rather than to smaller GSM operators. Transportation Minister Binali Yıldırım called this interesting, saying that Turkcell’s service must be very attractive to subscribers.

Turkey’s three GSM operators, Avea, Vodafone and Turkcell, have accelerated efforts to attract more subscribers. First, a series of commercials stimulated cutthroat competition for attracting new customers via number portability. The strong response is now leading the companies to introduce new offers, expected to provide the most attractive packages. Vodafone currently allows its subscribers to pay YTL 1 per day and make unlimited phone calls during those 24 hours. A recently introduced Turkcell offer allows for free calls for two days a week. Avea gives discounts to corporate, billed and student lines.

Introduced on Nov. 10, the long-awaited number portability system saw 37,000 applications, attracted by enticing commercials, on the very first day.
source: Today’s Zaman

Related posts:

1. 50000 Turkish GSM users switch operator on day one
2. Telsim, Avea cut prices while Turkcell increases
3. Number portability to come into play

The chairman of the Automobile Distributors Association (ODD), İbrahim Aybar, said things would get worse in the automotive sector unless a solution to the effects of the global financial crisis is found shortly.

Speaking to the Anatolia news agency yesterday during the Mersin Automotive and Commercial Vehicles Fair (MOF) 2008, organized by the Mersin Chamber of Commerce and Industry, he said the sector had achieved a very good start for 2008 after brisk sales in 2007. “Our target was to enjoy another good year just like 2007 and we were more or less achieving this goal until October. But then banks started to slow down their rates of approval for vehicle loans amid the global financial turmoil. Customers are willing to purchase vehicles, but they face trouble in getting the necessary financing. Once this problem is overcome, Turkey will again become a good market for automobiles,” he said.

Despite the poor trading conditions, he said sales number are expected to exceed 500,000 this year. “We will try not to fall below this number next year,” he said, but he added that a 25 percent drop in sales is still very likely. “Turkey’s conditions are very dynamic and everything is always subject to change,” he asserted.

Turkey’s automobile sector has big domestic sales potential, according to Aybar, who said there are 93 cars per 1,000 people in Turkey. If the barriers to financing were lifted, then the industry would be spurred on by this new demand, he estimated.

On the year-end sale offers in the automobile market, Aybar said there were “tremendous advantages,” since the sale prices are also discounting the recent rise in costs of raw materials. He explained that the last months of every year see the highest numbers of car sales as a result of enticing offers from auto manufacturers trying to get rid of excess stock. He added that they usually slash their prices dramatically to hit year-end sales targets and to clear their inventories, which, every day, add extra to the cost of selling cars. Companies that offer the most flexible financing instruments in the shortest amount of time will achieve a leading position against other players in the auto markets, he claimed.
source: Today’s Zaman

Related posts:

1. Turkish auto market seen shrinking %20 in 2009, manufacturers warn
2. Auto sector will need 500,000 workers
3. US auto sales hit 25-year low, Europe outlook bleak

This extra revenue is expected to increase confidence in Turkish markets and improve the budget balance.

Despite some pessimism that the tender would not achieve the expected returns and the prospect that it might have been postponed again due to a lack of demand, the result was a success amid the global financial crisis which has rendered it difficult for companies to find credit to finance their bids. The mobile operators that shared the 3G licenses in yesterday’s standoff announced they would pay the amount as a lump sum.

The tender marked the dawn of a new era in mobile communication technology, as the introduction of 3G will bring a number of novelties such as visual communication, watching TV on phones and much faster Internet connections.

Avea, Turkcell and Vodafone bid in the tender, which was held at the headquarters of the Science Technologies and Communication Council (BTK) in Ankara. Separate bids were held for the four separate licenses on offer.

Turkcell, Turkey’s largest mobile phone operator as measured by the number of customers, offered 358 million euros for the “Type A” 3G mobile phone license, with the highest bandwidth of the four that were auctioned (40 MHz). The company outbid rivals Vodafone, a British GSM operator, and Avea, a Turkish-Italian GSM company.

Vodafone withdrew from the auction in the first round, Avea offered 348 million euros in the second round, but withdrew in the third round. Thus, Turkcell was awarded the tender for the Type A license.

The tender will be concluded after it is ratified by the relevant authority.

In the tender for the Type B (35 MHz) license, Vodafone gave the highest bid of 250 million euros. Avea won the tender for Type C (30 MHz) license with its bid of 214 million euros. The tender for the Type D (25 MHz) license was canceled as none of the three operators submitted bids. Vodafone and Avea then won licenses for lower 3G bandwidths, with offers of 250 million euros and 214 million euros, respectively.

BTK President Tayfun Acarer said the total payment after the tender will amount to 970 million euros. He said the companies are supposed to begin 3G services within five months. “3G services will be introduced by the beginning of summer 2009,” he said. Acarer noted that the 3G system will stimulate the Turkish telecommunications market. He underlined that the tender was fair and ended without any problems and sides were content with the results on their behalf. He noted that the winning companies will have to recruit more than 500 research and development engineers from Turkey over the next three years. “This fact will affect research and development studies in Turkey positively,” he added.

He said the tender for the Type D license would be held again only after they get approval from the government.

Acarer further said the winning companies will be held responsible to expand 3G coverage to the whole country within the next 10 years. “I believe that the companies will offer service earlier than expected,” he noted.

Companies happy with the result

Turkcell CEO Süreyya Ciliv said that they were please to support the Turkish economy. Speaking after the tender was concluded, Ciliv said this was an important step to create an extra source of funds in such a time of difficulty.

Ciliv thanked Transportation Minister Binali Yıldırım and the BTK for their efforts to hold the 3G tender. Regarding the ongoing global financial turmoil, Ciliv asserted that further investments in communications technology would help the Turkish economy overcome the negative effects of the crisis. He stressed that they will introduce 3G technology by July 2009. “We should attempt to further improve this technology. It will not be enough for the future,” he said, underlining that Turkcell was always looking to develop and innovate. He also said that the 3G infrastructure will take time to establish throughout Turkey, saying they will first launch the technology in large urban centers.

Avea CEO Cüneyt Türktan said they were happy that Avea was able to get the Type C license. “This was what we were looking to get out of the tender and we are glad that we have achieved our goal,” he said. Türktan said they expected to start offering 3G service soon, underlining that they had already carried out studies into infrastructure for the implementation of 3G. “We want every single house in Turkey to have access to the Internet. There are currently 67 million GSM subscribers in Turkey, why shouldn’t all of them use Internet services via mobile Internet? We would like to contribute to this as much as we can,” he noted. He said they would start offering 3G service by June 2009. He also stressed that Turkey was not too late in its shift to 3G technology. Current infrastructure costs, the fall in the price of mobile devices and the recent government decision to reduce the private communication tax (ÖİV) on Internet use are all facts which will encourage 3G technologies to become widespread in Turkey in a short time.

Ian Gray, the CEO of Vodafone Turkey, said yesterday that they were happy to get the “Type B” license and they were expecting to continue 3G infrastructure studies in Turkey, in conjunction with studies in other countries, underlining that Vodafone had the largest 3G network in the world. “We offer 3G service to 33 million subscribers all around the globe, and we expect to share our experience with Turkish mobile phone users,” he noted. He noted that they had been conducting studies into 3G technology for a long time and they will build their new infrastructure building on the base they had established from 2006, when they first entered the Turkish market. “We will finish our studies as soon as possible. We are excited to introduce our customers the privilege of being a Vodafone customer,” he added.

Türk Telekom also said they expected communication investments in Turkey to accelerate now that the tender for 3G communication has ended successfully. Releasing a written statement yesterday, Türk Telekom noted that the tender was an important step to improve the telecommunication sector of Turkey. “The Türk Telekom family constantly invests in the field of communication with the vision of developing Turkish technology and exporting it. We hope that the long-awaited 3G technology will be to the benefit of the Turkish telecommunication sector and its customers,” the statement said.

Government hopeful for future

Minister Yıldırım said that the 3G tender showed that foreign entrepreneurs had no hesitations in investing in the Turkish market, which he stressed is currently a safe haven for investors despite the current financial crisis. Speaking in Antalya yesterday, Yıldırım noted that prominent international mobile telecommunications companies had decided to invest in Turkey’s future and this was really encouraging. “I hope that this tender will be for the benefit of our country,” he said. He also said the government was content with the amount of money bid in the tender.

3G services scheduled for June 2009

Upon the completion of the bidding, the BTK approved the tender. Later a draft for a concession agreement between the three GSM operators and the BTK will be prepared by the BTK. This agreement, an understanding between the companies and the BTK, will specify the rules under which the companies can operate, is expected to be sent before the end of December to the Council of State for an opinion from the council. The Council of State will then send the agreement to the next stage within two months. If this agreement reaches the council by the end of February 2009, it is expected that operators will be able to sign it by the start of next March.

Operators offering the next-generation service will only begin to be able to offer these services three months after the date that they sign the agreement, at the earliest. For this reason, 3G telecommunication services will only begin to be offered in Turkey next June.

Operators to receive control of networks for next 20 years

Operators that win bids for licenses in a tender for third generation (3G) mobile communication systems will also have the right to be authorized for every new type of new generation technology to be developed in this area over the next two decades.

According to information supplied by the Science Technologies and Communications Council (BTK), operators that win licenses in the tender, will not need to re-enter bidding to get licensed for new technological developments, such as the upcoming 4G system currently undergoing testing in the US. In fact, operators who acquire licenses for 3G will automatically be authorized for new generation technology over the next 20 years.

Turkey enters new era in mobile communication with 3G

The third-generation (3G) networks enable network operators to offer users a wider range of more advanced services while achieving greater network capacity through improved spectral efficiency. Services include wide-area wireless voice telephony, video calls, and broadband wireless data, all in a mobile environment. Additional features also include HSPA data transmission capabilities able to deliver speeds up to 14.4 Mbyte/s on the downlink and 5.8 Mbit/s on the uplink. 3G networks are wide-area cellular telephone networks that evolved to incorporate high-speed Internet access and video telephony.
source: Today’s Zaman

Related posts:

1. 3G mobile license tender soon to be announced
2. Turkcell ready for 3G tender
3. Turkey approves 3G telecoms licence launch

Under the structure of the agreement, Denizbank will have to repay the credit within 12 years, and disbursements to various municipal governments need to be made over a four-year period. The financing is to go towards water, waste transportation and sanitation projects. The criteria on which financing will be provided will have a heavy focus on ecological components.

Significantly, the project specifies that a minimum of 60 percent of the 80 million euro credit will be allocated to smaller municipalities, which are often overlooked by financing projects. The agreement further stipulates that the maximum amount that is to be spent per project is 5 million euros, so as to maximize the number of projects that are to benefit.

“Our objective is to bring this finance package, which municipalities will use to improve the services they provide for the public, especially to the municipalities which have not had the chance to access these possibilities until today,” stated Denizbank President and CEO Hakan Ateş, addressing a panel and an audience, which included such guests as French Consul General in İstanbul Christine Moro and Régis Marodon, the chairman of the AFD group in Turkey.

Pointing to the significance of the environmental and “sustainable development” angles of the agreement, Ateş further stated: “Bringing environmental sensitivity to the forefront, we believe projects to be realized via this package will contribute to the quality of life in our cities. We are planning to spread our support in this field all around Turkey, combining the strength we gain from Dexia, the world leader in public and project financing, with our field experience in Turkey.” Emphasizing the “contribution to sustainable development” and the “social benefit” the project will bring.

The significance of the agreement was further emphasized by AFD Local Authorities and Urban Development Division Manager Louis-Jacques Vaillant, who said: “For the first time in Turkey, a big bank chose to take part in the financing of local authorities.” Unfortunately, obtaining long-term financing for infrastructural projects is increasingly difficult in times of liquidity dry-ups.

To date, Denizbank has funded more than YTL 1 billion in municipal financing projects around the country. Some of the more prominent projects the bank has financed include the İstanbul Municipality’s Kadiköy-Kartal subway project and İstanbul Transportation Authority (İETT) bus purchases. Belgium-based Dexia bought a 75 percent stake in Denizbank in 2006.

Speaking on the sidelines of the signing ceremony, Robert de La Rochefoucauld, a liaison officer from the AFD’s, noted that Turkey was a promising market for AFD’s work in developing municipal infrastructure and that the crisis would not affect AFD as it was a state-owned institution that was able to raise cheap credit. “Our phone is ringing off the hook these days,” he confessed, noting that while in the past private banks used to be angered by ADF “stepping on their flowers,” they are calling the group these days.
source: Today’s Zaman

Related posts:

1. EBRD to offer new financing facilities to Turkey
2. THY signs agreement with Austrian Airlines
3. Kadir TopbaÅŸ: IGDAÅž, KiptaÅŸ, and IDO sale preparations under way

Turkey’s car industry, which has grown dramatically since a 2001 financial crisis, has not been spared the dramatic global downturn and easing access to credit is crucial in keeping the wheels of industry turning, said Ibrahim Aybar, chairman of the Turkish Automotive Distributors’ Association.

“The issue is how we can keep the domestic market alive. The first thing will be easing credit facilities and secondly some supportive actions,” Aybar said on the sidelines of an automotive conference in Istanbul.

He declined to specify what action was necessary but the automotive industry has called for steps to ease the tax burden. Last month government sources said it may take steps to reduce loan costs and cut the special consumption tax on vehicle sales.

The government is set to announce an economic stimulus package soon but it is not clear if that will include steps to boost the automotive industry.

Turkish domestic automotive sales fell 4.2 percent to 640,000 vehicles last year. Exports rose to $13.38 billion from $10.13 billion over the same period.

“It is more or less obvious that this year (vehicle sales are) going to be about 10-15 percent less than 2007 in the Turkish domestic market,” he said.

“It is not so easy to forecast for 2009 but in my opinion (domestic sales) next year are going to be about 20 percent less than 2008. So the shrinkage will continue,” he added.

However, there were still signs of consumer interest to keep the auto market moving.

“For 2009, in Turkey there are still customers in showrooms so the people are still in the mood for purchasing something. This is the most valuable thing for us nowadays,” he said.

In recent months the export market, crucial to manufacturers in Turkey, has also suffered severely.

Turkish vehicle exports plummeted 42 percent year in the first three weeks of November due to crumbling consumer demand in Europe, according to data from the Uludag Exporters Union.

The main automotive producers in Turkey are Tofas, a joint venture between Turkish conglomerate Koc Holding and Fiat, Koc-Ford joint venture Otosan, Oyak Renault and Toyota.

The large investments by major car producers in Turkey in recent years had put Turkey in a strong position and Aybar said the country had some advantages compared with other European countries in coping with the global crisis.

“Turkey has entered this difficult period with some advantages in terms of efficiency, in terms of ability of the labor force and investments,” he said.
source: Hurriyet daily news

Related posts:

1. Auto manufacturers seek relief in easier vehicle loans
2. Turkish auto production up 56.2 percent in January
3. Turkey now a base for auto exports

Talks for the project have been hindered by Turkey’s request to be entitled to 15 percent of the gas flowing through the Nabucco pipeline. The European Union says Turkey must pay the normal transit fee.

Turkey’s position on the issue was “responsible and flexible”, Ferenc Gyurcsany was quoted by AP as telling at a joint news conference following talks with his Turkish counterpart Tayyip Erdogan in Ankara. Gyurcsany said he was hopeful an accord would be signed.

The pipeline aims to reduce the EU’s dependence on Russia and is planned to run from the Caspian Sea across Turkey, Bulgaria, Romania and Hungary to Austria.

The Hungarian prime minister said Budapest would host a conference on Nabucco in January, adding he will be pleased with Mr. Erdogan’s participation in the Nabucco conference.

He also reiterated support for Turkey’s accession to the European Union. Hungary welcomes Turkey’s EU reforms and it will continue its political and practical support so the process ends in success, Gyurcsany said.

Erdogan said they discussed especially the global financial crisis besides the recent international and regional developments.

“This constitutes an appropriate basis to develop political, economic, commercial and cultural relations too,” Erdogan said referring to his meeting with his Hungarian counterpart.

The Turkish prime minister also said he believed that the trade volume between the two countries, which was $1.9 billion, would increase.
source: Hurriyet daily news

Related posts:

1. Turkey determined to complete Nabucco project
2. EU’s Piebalgs seeks political push for Nabucco
3. EU energy chief in Turkey for Nabucco pipeline talks

The initial agreement represents a breakthrough in a dispute between the two Iraqi authorities. Disagreement between the Baghdad central government and the Kurdish regional administration has held up development of oilfields for export.

“There has been an initial agreement to export Iraqi oil from the Tawke oil field,” Iraqi Oil Ministry spokesman Asim Jihad told Reuters.

The Kurdish regional administration in northern Iraq announced Wednesday it would export crude oil for the first time next year. The oil will be exported from two fields in northern Iraq to the Turkish port of Ceyhan, a Kurdish oil official, Ashti Hawrami, told AP.

Iraqi Kurds insist on unilaterally signing contracts with international oil companies, an issue that has raised tensions with the central government in Baghdad.

Exports of 100,000 barrels per day are expected to begin from the Tawke oil field, where Norwegian oil firm DNO has a concession, at the beginning of next year, Hawrami was quoted by Reuters as saying on Thursday.

Tawke is expected to be connected to Iraq’s main northern export pipeline, which reaches the Ceyhan Port, by the end of this year. A second Iraqi Kurdish oil field, Taq Taq, is due to be linked to the pipeline three to four months later, Hawrami said.

Exports from Tawke and Taq Taq combined are expected to reach 250,000 barrels per day by the end of next year, he added.

The right to sign oil deals with foreign oil firms has been a sore point between the Iraqi Kurdish regional administration and the central government. Baghdad does not recognize deals the KRG signed without its consent.

Iraq has the world’s third-largest proven reserves, at around 115 billion barrels. In the absence of an oil law, Baghdad has been negotiating contracts with oil majors under old laws.
source: Hurriyet daily news

Related posts:

1. Japan’s Mitsubishi, Japex in talks with Turkey on Iraqi oil cooperation
2. Turkey expects $30 billion trade volume with normalized Iraq
3. Turkey’s TPAO in talks with Shell over Iraq oil

Speaking at a meeting of the Turkish-Saudi Arabian Business Council in İstanbul, Suraysri stressed that both Turkey and Saudi Arabia possessed the political will and the necessary economic conditions to promote commercial links. “There is the right climate for boosting trade among Turkey and Saudi Arabia. The private sector in both countries is very strong and presents many opportunities,” Suraysri said. “Saudi Arabia has well-established infrastructure. There are projects to develop railways in Saudi Arabia. Such projects can help boost economic relations with Turkey and lower transportation costs,” Suraysri also said. The visiting minister went on to say they will do their best to increase cooperation and establish trade partnerships with Turkey, underlining that they expected the same effort from Turkey. “We have promised to take initiatives, now it is your turn. We trust you and know that you will not let us down,” he said, addressing Turkish businessmen. Turkey’s Foreign Economic Relations Board (DEİK) Chairman Rona Yırcalı said foreign capital entering Turkey during the last three years amounted to more than $40 billion but that Saudi Arabia’s share of that was very small. Yırcalı noted that Turkish entrepreneurs faced problems when entering Saudi markets and that it was of the utmost importance for the Saudi government to remove bureaucratic obstacles for foreign investors.
source: Today’s Zaman

Related posts:

1. You will not regret investing in Turkey, finance minister says
2. Turkish-Polish trade relations receive a boost
3. Turkey, Saudia Arabia to cooperate in farming