A Glance at the Economy and Investments from the 27th General Assembly Meeting of
International Investors Association - YASED
YASED Chairman Tahir Uysal: “Our priority agenda is the securing of transition to registered economy”
YASED, the leading representative of international investors in Turkey, held its 27th Ordinary General Assembly Meeting in Istanbul. The Guest of Honor of the meeting, that convened on Wednesday February 27th at Sabanci Center, was State Minister Mehmet Şimşek. The subject of the speech Minister Şimşek gave at the meeting was; “Turkey's Economy and Foreign Direct Investment (FDI)”. YASED Chairman Tahir Uysal, in his opening address, said; “Our priority agenda at YASED is the securing of transition to registered economy”.
Along with the Board Members of YASED, representatives of embassies and consulates, foreign chambers of industry and commerce and NGOs, high level bureaucrats and YASED members, quite a number of businessmen representing FDI in Turkey participated in the General Assembly Meeting.
In the opening address he made, Chairman Uysal voiced his thanks to Minister Şimşek, YASED members, and all the guests who attended the General Assembly Meeting and shared an evaluation of FDI with the participants. Uysal pointed out that total FDI movements have climbed to USD 1.5 trillion in 2007 globally, and that inward flows to Turkey have amounted to USD 22 billion during the same period. Tahir Uysal stressed that the composition of investments must be watched out for, so as to sustain these inflows during the coming term and that there are essential measures that we ought to take, in order to attract greenfield investments.
Uysal also mentioned about the global economic conditions that affect the sustainability of investments, and said, “Taking into account the integration level, the global economy has attained in our day, it is not possible to assert that our country would not feel the effects of such changes - even if indirectly”. Chairman Uysal also mentioned about the measures necessary to increase Turkey's competitiveness and underlined that the number one agenda item at YASED, is the securing of transition to registered economy.”
Mehmet Şimşek: “Global developments would not affect Turkey deeply”
State Minister Mehmet Şimşek took the floor after Chairman Uysal, and made a comprehensive speech on “Turkey's Economy and FDI”. Minister Şimşek stated that Turkey's actual target should be to attain a competitive edge that is recognized on the global scale, and yet to improve it.
Şimşek said, “We are making the reforms necessary for this process. We, at the time being, are about to finalize most of them. For instance, R&D Bill, groundwork of the Turkish Commercial Code, the employment package, rationalization of the incentive system, and the energy issue are only a few of the issues on which we have been taking quick forward steps.”
Mehmet Şimşek deliberately underlined the efforts given to the energy issue and said; “On the long run we must definitely switch to nuclear power. We aim to produce nuclear power by the year 2017. Apart from that, we give great importance to renewable energy and sources such as wind power. We are concentrating our efforts on this issue.”
Minister Mehmet Şimşek continued his speech as follows: “These are the progressive leaps necessary to transform Turkey into an attractive destination. Our aspect of being a point of attraction will grow yet stronger. Turkey's real problem is not the exchange rates issue. You cannot become competitive like that. In essence, we should give importance to infrastructure investments and R&D, and accomplish the other reforms. We are calling out to international investors as well on this issue. We are concentrating our works together with the private sector on infrastructure of customs, ports, etc... We have to invest considerably in R&D for switching to high value-added and technological products. Otherwise it would be very unlikely to compete globally with China and the other competitors.”
Regarding the R&D issue, Mehmet Şimşek expressed that 12 committees were established under IIECB this year and thanked YASED for having initiated the establishment of the R&D committee. Minister Şimşek referred to the global fluctuation and said; “I dare not say that the developments in global economy would not affect Turkey; but I can say that the effect would not be very deep.”
After the speech of Minister Şimşek, the General Assembly Meeting continued with the reading of the Annual Report and Auditors' Report and the release of the Board and the Auditors form their financial responsibilities for the office period concerned. Subsequently, the 2008 budget was read and resolved. The meeting adjourned after the presentation of requests and proposals voiced by the members. Compliant with the statutory provisions, the General Assembly Meeting of YASED did not involve elections this year, and the Board will thus remain in office for another year.