TURKISH EMBASSY ECONOMIC BULLETIN				AUGUST 2008
			OFFICE OF THE ECONOMIC COUNSELLOR, KUWAIT
			Turkey becomes 11th biggest producer of raw steel.
			Turkey to have 9th largest economy by 2050-Goldman Sachs.
			FDI coming to Turkey during January-May 2008 reaches USD 6.053 million.
			Number of FDI companies established in Turkey totals 16.270 at the end of May 2008.
			TURKISH ECONOMY- BASIC INDICATORS	2006	2007	2008	FOREIGN EXCHANGE
			GNP, billion $	526	659
			Growth rate, % (1st quarter for 2008)	6.9	4.5	6.6	1 EUR 1.7994 TRY
			Population, million	73	70.6		1 USD 1.1622 TRY
			GNP per capita, $	5,477	9,333		1 KD 4.3667 TRY
			PPP,  $	8,575			Click here to see updates
			Inflation rate (CPI) % (July for 2008)	9.65	8.39	12.06	http://www.tcmb.gov.tr/yeni/eng/
			Imports, billion $ (June for 2008)	137.1	169.9	105.8	TURKISH-KUWAITI TRADE
			Exports, billion $ (June for 2008)	85.2	107.2	68.8	2006   2007   2008
			Foreign trade balance, billion $ (June for 2008)	-51.9	-62.7	-37	Exports to Kuwait   219      221      185
			Current account balance, bn. $ (May for 2008)	-31.9	-37.8	-21.5	Imp. from Kuwait      56        90        33
			Central Govr. budget balance, bn.TRY (May for 2008)	-5.5	-13.7	-3.8	Million $ (June for 2008)
			Total assets of banking sector, bn. TRY (April for 2008)	499.7	581.6	630	FOREIGN DIRECT INVESTMENT
			External debt of Central Govr., bn. $ (May for 2008)	66.6	67.1	70.6	2005.............................9.803 mil $
			Domestic debt of Central Govr., bn.$ (May for 2008)	178.9	219.2	216.6	2006............................19.918 mil $
			Net international reserves, bn. $ (June for 2008)	59.7	72.5	75.3	2007............................21.873 mil $
			Civilian unemployment rate, %	9.9	9.9		2008 (May)....................6.053 mil $
			STRONG ECONOMIC STRUCTURE				INVESTMENT OPPORTUNITIES
			KIA: Turkey is one of the priority countries for Kuwaiti investments.				Privatisation
			EU: Turkey is a  functioning liberal market economy.				Energy and Infrastructure
			Turkey to host IMF-World Bank annual meetings in 2009.				GAP (Southeastern Anatolia Project)
							Tourism
			ATTRACTIVE  INVESTMENT OPPORTUNITIES	PRIVATISATION			BUYING PROPERTY
							ACCESS to REAL ESTATE
			NEW FOREIGN DIRECT INVESTMENT  REGIME	STATE	HIGHWAYS	NETWORK	Companies may freely acquire
			Possibility for 100 % ownership		ELECTRICITY DISTRIBUTION COMPANIES		real estate or limited rights in real
			No minimum capital requirement				estate market through a legal entity
			Freedom to invest, national treatment	To see companies under			in Turkey established or with
			Guarantee to transfer proceeds		privatization program		participation by foreign investors,
			International dispute settlement	please follow the link below			provided such acquisitions are
			Access to Real Estate	http://www.oib.gov.tr/index_eng.htm			permitted for Turkish citizens.
			GENERAL INCENTIVE REGIME	COMPANY ESTABLISHMENT IN TURKEY			TAX
			a) Exemption from customs duties	New registration can be done in a day			Income Taxes
			b) Interest Support	a) Notarize the articles of association			Corporate Tax (20% on profit)
			c) VAT Exemption for imported and locally	b) Deposit 0,04% of the capital at Central			Individual Income Tax (15-35%)
			purchased equipment	Bank account			Tax on Expenditure
			Incentives for the Least Developed Regions:	c) Fill in the Company Establisment form			VAT, Special Consumption Tax,
			Exemption from income tax, free land allocation,	and Register with Trade Registry			Banking and Insurance,
			energy support, social security premium support	Start Business			Transaction Taxes
			http://www.hazine.gov.tr/realsectorleg.htm	http://www.invest.gov.tr			Taxes on Wealth
			KUWAITI COMPANIES THAT INVESTED IN TURKEY	MAJOR PARTNERS IN EXPORTS, 2007			MAJOR PARTNERS IN IMPORTS, 2007
			Kuwait Finance House (Kuveyt Turk A.S)	Germany 11.2%, UK 8.1%, Italy 7%			Russia 13.8%, Germany 10.3%,
			The International Investor (Docar A.S)	France 5.6%, Russia 4.4%, Spain 4.3%			China 7.8%, Italy 5.9%,
			Aref Investment  Group (Halic Leasing A.S)	USA 3.9%, EU  56.4%			USA 4.8%, France 4.6%,
			International Leasing and Inv. Co. (Halic Leasing A.S.)				Iran 3.9%, EU 40.4%
			M H Al-Shaya Co., Alghanim Industries (Izocam A.S.),
			Global Investment House (TAV A.S.)
			Global Investment House (Fon Finansal Kiralama)
			National Bank of Kuwait (Turkish Bank)
			THESE INTERNATIONAL COMPANIES INVESTED IN TURKEY				ISTANBUL STOCK EXCHANGE
			Turkish automobile industry is mainly dominated by	Robinson Club                 Unit Investment			Average Price Index
			companies with foreign capital like	Club Mediterranean       Scala Nova Golf			2006…………..39.779
			Renault, Fiat, Toyota, Honda, Ford, Hyundai	Hilton                                 Sheraton (Voyager)			2007...................48.243
			Daimler-Chrysler, MAN.	Magic Life                         Holiday Inn			2008 (August)......42.122
			Banks with foreign capital in Turkey: Merril Lynch,	Radisson SAS                 Conrad			http://www.ise.org/
			Citibank, Deutsche Bank, Bank Europa, Arab Bank,	ITI Invest                           Renaissance Hotel			Turkey has signed with Kuwait
			Calyon Bank, HSBC Bank, Fortis Bank, Turkland Bank	Hapimag                           Accor			Avoidance of  Double Taxation Agreement
			http://www.bddk.org.tr/Default_EN.aspx	Capitales Tours              The Ritz-Carlton			Protection of Investment Agreement
			The Office of the Economic Counsellor represents the Undersecretariat of Treasury
			and is responsible for economic affairs including foreign direct investment.
			Source: Turkish Treasury, Turkish Statistical Institute				Prepared by Serdar GÜZEY
			INVESTMENT SUPPORT AND PROMOTION AGENCY:				http://www.invest.gov.tr
			Contact:
			Turkish Embassy				http://www.turkish-embassy.org.kw/default.asp
			Office of the Economic Counsellor		hmkuwait@hazine.gov.tr
			Adress: P.O.Box: 20627 Safat 13067 Kuwait	INVESTOR RELATIONS OFFICE WEBSITE :			http://www.hazine.gov.tr/iro.htm