Turkey is a 65 million-populated emerging market which is at the doorstep of The European Union (EU). As of the end of 2002, the projected growth rate for 2003 is around 5%, whose average growth rate being around 4.5% between 1980-2001. During the same period, average annual inflation rate has been around 50%. The consumer price index as of September 2003 shows that the inflation for last 12 months was decreased to 20%. Populist approaches for government expenditures and lack of fiscal discipline have destabilized the economy and made economic crises occasional. For this reason, in this very feasible market for foreign investment, the volume of the investments has not reached the expected level. However, the stabilization program after February 2001 crisis and recent amendments in legislation for European Union (EU) began to make the environment more transparent and less bureaucratic. We believe that once you are well acquainted with Turkey, you would inevitably consider investment in it. Therefore, please contact us regarding your goals. Due to our objective approach based on accurate data and knowledge, we can help you make a decision for the best interest of your company.

Turkey is one of the most liberal and contemprary countries among emerging markets for investment opportunities and fast growing domestic demand. Highly qualified labourers, friendly circumstances, inexpensive materials, government incentives and contemporary infra-structure even put this environment into first place among all others.

The liberal exchange legislation enables foreign investors to operate freely throughout the legal financial system. The banking system runs like European competitors and no less. A currency transfer is, for example, as far as your finger tips.

We can advise you on any matters that pertain to the foreign direct capital investments and exchange transactions. We can prepare the most suitable file for your cases and accomplish your application procedures in the most efficient way.

In order to be able to make a direct investment into Turkey, you need not to get any permission from any authorities, unless you want to deal in specific areas such as banking and insurance. But, an application is required for foreign workers and managers to get a working permit. You may apply for an investment incentive allowance whenever you decide to do so. The application procedure is getting easier every year but it still requires a preparation of some documents. However, red tape is not an issue anymore.

You may like to apply to establish a joint venture, subsidiary, branch or a liaison office. These ones may not be subject to tax in Turkey.

You may also establish a subsidiary or a depot in the Turkish free zones, whose number has recently exceeded 20. These free zones are not subject to any taxes and duties but a 0.5-1.0% fund.

We serve you on these foreign capital and permanent establishment matters on a turnkey basis. You never need to worry to go through the undiscovered labyrinths of a foreign legislation, which might put you into jeopardy before the boards or shareholders.

We, as Penetra, would like to serve on custom-tailored basis.