Turkey Country Profile

Snapshot of the Turkey Country Profile


Turkey's dynamic economy is a combination of modern industry and commerce and a traditional agricultural sector, which accounts for 30% of employment. Turkey has a strong and rapidly growing private sector, yet the state remains a dominant actor in basic industry, banking, transport, and communication. In recent years, the Turkish government has been implementing a comprehensive programme of reforms, simplifying company establishment procedures, reducing permit requirements, and creating a single company registration form. However, foreign investors and companies continue to cite corruption as one of the major impediments for business growth in Turkey.

Positive developments in relation to corruption and investment:

  • Turkey's anti-corruption strategy has led to the exposure of a number of public officials, who have been dismissed on charges of bribery and corruption.
  • One-stop shops have been established for citizens and companies in order to reduce red tape and propensity for corruption, as meetings between civil servants and companies decrease. In addition, dozens of governmental internet portals have been launched to make the regulatory processes more transparent and to involve citizens in the decision making process.
  • Moreover, a Code of Ethics for civil servants was adopted in 2005, and training has been undertaken to raise awareness among public officials about corruption. However, foreign investors and companies continue to cite corruption as a major impediment for business growth in Turkey.

Risks of corruption:

  • Corruption in Turkey permeates through all regulatory bodies, in particular, the public procurement.
  • Foreign companies in Turkey encounter excessive bureaucracy, a slow judicial system, high taxes, weaknesses in corporate governance, unpredictable decisions made at the local government level, and frequent changes in the legal and regulatory environment.