Turkish finance minister elaborates new package to improve investment climate
Neşe Karanfil - ANKARA
AA photoFinance Minister Naci Ağbal has given details of a comprehensive package to improve the investment climate in Turkey, promising a raft of new legal amendments to eliminate obstacles faced by foreign direct investors and ease employment conditions for foreigners.
He said the launch of new enterprises will take just two days rather than one week, and will cost a fee of around 300 Turkish Liras, rather than 1,000 liras, with the approval of the new package.
Ağbal added that the term of contracts between the tax authority and multinational companies will be extended from three to five years.
“Our aim is to attract capital and high-quality labor into Turkey,” he said in an interview with daily Hürriyet.
The new draft will also include changes to decrease stamp duty and other costs for investors, with stamp duty and notary fees charged only once in contracts.
A foreign company will be exempted from corporation taxes if it sets up its regional management hub in Turkey, Ağbal stated, adding that the regional hub staff’s wages will also be exempted from taxes if transferred from abroad.
The government is also set to unveil a Turquoise Card, which will provide qualified foreigners with the opportunity for permanent employment. Short-term foreign workers and interns will also get a permit to work.
Ağbal said there will be a threshold in offering residence permits or citizenship to foreigners who already own property in Turkey.
“For example, we will not offer such advantages for foreign owners of properties that are worth under a certain price,” he said, adding that Turkey lures property investors mainly from the Gulf countries, Europe, the Turkic republics and northern countries.