As known, when we say investment, we are referring to one of two things: fixed investments and financial investments. Essentially, in the capitalist-imperialist system, financial investments, which have long-term beneficial sorts, and are mostly transacted through portfolio investments, naturally consist of hot money flow, and fast inflows and outflows. As they are liquid and free, they function like a hit-and-run weapon. Therefore, the best investment type is fixed investments. Hence, the primary investment form sought or targeted by all developing countries for economic development is Foreign Direct Investment (FDI).
Categorized as a developing country, Türkiye has been seeking FDI for years as well.
While the FDI inflow in Türkiye was only $15 billion until 2002, this figure soared in the 2003-2021 period to $240 billion.
How many foreign capital companies do we have?
The number of foreign capital companies in Türkiye reached 78,257 as of the first half of 2022, from just 5,600 in 2002.
The crux of the matter is what was required to bring FDI to Türkiye, and what steps were taken.
It is not difficult to analyze the issue. The criteria sought for major investments is no different to any other investment.
Transport infrastructure: Let’s say you are going to establish a factory, but you need to bring in raw materials, and then get the products out to markets. You wouldn’t consider investing in a city without roads, right? What if you didn’t have an airport? How long and hard would your customer, supplier need to think before deciding to come to you?
Energy infrastructure: Power outages a couple of times a week, an electrical grid that is worn, or is inadequate will delay production. Thus, you can’t prepare a production plan. Your labor force will be wasted. You will fail to meet order deadlines.
Economic, political, and social stability: Would you invest your money in an order which governments change once every couple of years, and which the entire bureaucracy shakes based on this change?
Communication infrastructure: How can global business run in a region that lacks adequate high-speed internet, and mobile infrastructure for telephones?
Confidence in financial structure: The bank bankruptcy, financial organization or market instability Türkiye experienced in the 2001 crisis has been prevented through legal measures and statutory audits. International transactions are processed in confidence through the banking system backed with strong capital.
Just stop and think, would you, as a foreign investor, invest in a country where the state does not invest in its own city?
Does it make sense to claim a need for industry, technology, and agriculture investments, and then oppose the construction of roads, airports, dams, and bridges, saying the money was wasted on cement? Do you recall the conditions stipulated in the Gezi Park events? Did those who poured to the streets – supposedly – for the sake of trees, the environment, not oppose in their memorandum, the third bridge, the third airport, among other mega investments? What should we think about this inconsistency? Who made them say all this?
There is no doubt that President Recep Tayyip Erdoğan is the most reformist person alive in this country. He remained upright and steadfast on his path, and overcame all obstacles aimed at stopping him from preparing Türkiye for the new century, despite the Gezi Park events, the July 15, 2016 coup and invasion attempt, among all other imperialist obstacles. This fact is confirmed by the rise in foreign investment during Erdoğan’s term. Pay no attention to the deceleration of momentum in the recent period due to political obstacles targeting Türkiye’s increasing assertion. Those who will see Türkiye continue its claims upon Erdoğan’s election win on May 28, are going to sit at the table to seek negotiation! It is our turn after the election.