YASED: Turkey Attracted USD 4.7 Billion in Investment in Q1 2024

According to the "International Direct Investment Bulletin in Numbers" prepared by the Association of International Investors (YASED) based on Balance of Payments Statistics shared by the Central Bank of the Republic of Turkey (TCMB) on 13 August 2024, international direct investment (FDI) inflows of USD 4.692 billion were realized in the first six months of 2024.

According to current official data released on 13 August, Turkey received FDI inflows valued at USD 4.692 billion in the first six months of 2024. With these updated statistics, a 5% decline was recorded compared to the same period in 2023, while FDI attracted in the first six months of 2024 corresponded to 28% of the current account deficit for the same period. The total value of FDI inflows to Turkey since 2002 exceeded USD 268 billion.

Total FDI inflows realized in the first six months of 2024 were calculated at USD 4.692 billion, of which USD 2.846 billion was in the form of investment capital. Of the total FDI in the first six months of the year, USD 1.535 billion was recorded through real estate sales to foreign nationals and USD 754 million through borrowing instruments. During the same period, with a downward impact from investment liquidations valued at USD 443 million, total FDI inflows in the first six months of the year reached USD 4.692 billion.

Wholesale and retail trade and financial activities received the largest investment flows

In the first six months of 2024, as total investment capital inflows reached USD 2,846 million, "wholesale and retail trade" captured a 23% share with USD 664 million in investment inflows. Financial activities attracted 12% of the investment capital inflows realized during the same period. Of the USD 346 million in investments realized in the sector, USD 274 million was recorded in connection with other financial service activities excluding banking and insurance. Other sectors that received the largest investment flows were transport and storage with an 11% share, manufacture of computers, electrical-electronic and optical products with a 9% share, and mining and quarrying with a 6% share.

Netherlands, United States, Germany, Ireland, Norway and United Kingdom were Turkey's largest sources of investment capital in the first six months of 2024

European Union (EU-27) countries, which historically accounted for 59% of investments in the 2002-2023 period, held a 51% share in the first six months of 2024. Non-EU European countries, the second-largest investor in the 2002-2023 period, captured a 21% share during the same period of the year.

In country-specific terms for the first six months of 2024, the Netherlands held the largest share at 20%, followed by the United States of America (USA) at 13%, Germany at 10%, Ireland at 9%, Norway at 8%, and the United Kingdom (UK) at 8%.