Administrative Barriers of Report by FIAS

• The interviewes conducted by a range of foreign and domestic investors from different countries and various sectors,
• The interviews conducted by the representatives of foreign investors such as foreign attaches, chambers of commerce and foreign investors associations, as well as accounting and law firms that work with existing and potential investors and
• The discussions with government officials in many different ministries and agencies.

Major findings of the Report was that Turkey has a strong potential for FDI because of its geographic and domestic advantages. Geographically; it is located between Europe, Middle East and Central Asia Domestically it has a large domestic market with a population of more than 60 million people, it has skilled and cost effective labor and strong domestic companies. However, the other finding of the report was that Turkey has low FDI inflows compared to its potential.

After the Diagnostic Study of Foreign Direct Investment Environment of Turkey, FIAS experts conducted more detailed analysis in Turkey in order to identify the problematic areas that lead to low FDI inflows in comparison with the high potential. And as a result of these analyses the Admimistrative Barriers Report was published. This report provided some recommendations to overcome the obstacles in the business environment of Turkey. These recommendations were mainly in 12 areas;

1. Personnel Entry
2. Local Labor
3. Setting up a Company
4. Sectorel Licensing (Food and Tourism)
5. Land Acquisition
6. Site Development and Environmental Clearance
7. Taxation System
8. Importing and Exporting
9. Site Inspections
10. Intellectual Property Rights
11. FDI Regime and the Draft FDI Law
12. Investment Promotion