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"Turkey has "entered the radar of foreign investors," according to Alpaslan Korkmaz, chief of the Investment Support and Promotion Agency, or ISPAT, who also said many companies have been talking with the agency and private sector representatives as a preparation for new investments.
According to information from ISPAT, four Kuwaiti groups are planning investments in Turkey, while many other global groups are also thinking of investing. The National Bank of Kuwait, or NBK, aims to buy a new bank, in addition to its shares in a Turkish Bank. The bank is interested in Tekstilbank, majority-owned by GSD Holding, and Anadolubank, majority-owned by Turkish company Habaş, according to ISPAT.
The Kuwait Investment Authority, which had purchased the Cevahir Shopping Mall in Istanbul, is interested in health care. The authority may invest in the "Health Cities" project of the Ministry of Health while also eyeing the tourism sector, Anatolia news agency reported on Sunday. The authority may build hotels in cities such as Istanbul and Antalya.
The Al Shaya Group, led by chief executive Mohammad Al Shaya, has told ISPAT officials that investing in Turkey is "better than investing in Japan or the United States." The company is expected to invest in new projects.
The Kuwait Investment House, which owns 60 percent of Islamic lender Kuveyt Türk, is interested in the real estate market, especially in big projects to be constructed in Istanbul.
Interest from China's auto companies
Chinese auto company Chery is expected to establish a production facility in Turkey, while Geely, another Chinese automaker, may also invest in Turkey. Lifan, another Chinese automaker, is conducting investment research in the country, ISPAT officials said. JAC, China Truck, FAW and Foton, all commercial vehicle and truck producers, have conducted talks with ISPAT officials on possible investments.
According to Turkish officials, Toshiba is planning to invest in Turkey's energy sector, possibly nuclear energy. Meanwhile, Indian hotel chain Oberoi, is expected to build a large hotel in Istanbul, to be followed by other hotels in cities such as Antalya, İzmir and Ankara, the capital.
Indian software giant Wipro is also expected to invest in Turkey, as Azim Premji, its chairman, promised to invest during an official visit to New Delhi by Turkish President Abdullah Gül. Wipro may build an information technology center in Turkey, Anatolia news agency said.
"This year, demand for investing in Turkey is visibly better than last year," Korkmaz told Anatolia news agency. "Projects that were put on hold last year are also back on the agenda. The return of foreign investment will especially be felt in the second half of 2010 and the first half of 2011."
Last year, Turkey attracted $7.6 billion of foreign direct investment. The figure is expected to improve considerably this year
