Turkey can attract $9bln investment in Gulf Arab states

Turkey can attract up to $9bn funds from Gulf Arab funds, mainly in food and agriculture, the head of the Turkish Investment Support and Promotion Agency said on Monday.

Turkey can attract $9bln investment in Gulf Arab states

"We are working on a big project for the southeastern Anatolia region and we are about to present our first big project proposal," Alpaslan Korkmaz told Reuters in an interview.

"Gulf Arab investment in Turkey can go up to as much as $9bn with the leverage effect," he said. He did not specify a timeframe for the investments.

A Gulf investment fund made up of Abu Dhabi Investment

House, Gulf Finance House, and Ithmaar Bank signed in October a $6bn a memorandum of understanding for agriculture investments in Turkey.

In the first 11 months of last year foreign direct investment from Gulf countries rose to $1.7bn from $302m in the same period a year earlier, according to Treasury data.

"Everyone is going to the Gulf and Gulf investors are now looking for real economy investments. Past financial sector investment instruments are not trusted and I am sure Turkey will benefit from this momentum," Korkmaz said.

Real estate, business centres and renewable energy are the likely investment fields in 2009, he said.

Europe-based Akuo Energy has allocated 1bn euros ($1.3bn) fresh funds for renewable energy investments in Turkey, Korkmaz said. The company's wind producer unit Perfect Wind said last year it would invest 210m euros in Turkey for a 150 megawatt wind power station.

Korkmaz said he saw Turkey closing 2008 with $17.5bn FDI, which is above the government's previous $15bn prediction.

FDI in 2007 reached a record $22bn but the global financial crisis and acute political uncertainties trimmed investment into Turkey last year. Korkmaz said he was not over-pessimistic for 2009, but declined to give his prediction for the year.

Reuters

Last Mod: 27 Ocak 2009, 11:42
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