In addition to the Turkish support programs, German institutions also offer interesting support programs for investmentsin Turkey. The Turkish State’s support programs relate to exports, free trade zones, technology parks, research and development, investments in specific regions or trades or in small and medium-sized companies.
Interesting German support programs
from the Kreditanstalt für Wiederaufbau (KfW)
from the Deutsche Investitions- und Entwicklungsgesellschaft (DEG)
Turkish support programs
a certain minimum in investment capital is usually the prerequisite for the support
Support is in the form of exemption from tax or customs’ duties
Export support from the Turkish State is in the form of granting of export loans and export insurance. Apart from that, companies can claim refund of the input taxes for exports.
Investment support activities, which probably account for the majority of state support measures, are an option if, by means of a “Support Certificate” from the Treasury, an investment is seen as being eligible for support, due to the fact that an investment is made in specific
industries or regions, or by small and medium-sized companies (in Turkish: KOBİ). Altogether, 46 industry branches are seen in general to be eligible for support. Among them are
Regional support is also possible outside the provinces of Istanbul and Kocaeli, which are deemed to be developed, for instance in the urban areas of Ankara, Izmir, Antalya, Adana and Bursa. A further sub-division of the regions into "normal regions" and "regions with development priority" takes place, so that a varying degree of support is given. Regions in middle Anatolia, in south-east, north-east, north and east Turkey are supported the most.
Support measures, which entail a minimum investment as a further prerequisite, are not monetary payments, but especially exemption from tax or customs duties or the granting of low-interest credits.
Attorney under German law, Bar certified specialist for Criminal Law Cüneyt Gençer
E-Mail:
gencer@gencer-coll.de • Tel. +49-(0)-911-37 66 76-63
Tax Consultant, Dipl.-Kfm (Univ.) Bernhard Hofer
E-Mail:
hofer@gencer-coll.de • Tel. +49-(0)-911-37 66 76-63