Türkiye attracts investors following credit rating upgrade

Türkiye has emerged as a favorite among investors following its economic initiatives and credit rating upgrades by international agencies. According to the bulletin released by the International Investors Association (YASED), direct investments in Türkiye reached $1.18 billion in July 2024.

Foreign investment statistics

YASED published its “International Direct Investments Bulletin” following the announcement of Türkiye’s Central Bank (TCMB) Balance of Payments Statistics.

According to the latest official data, direct foreign investments in Türkiye amounted to $1.18 billion in July 2024, while cumulative foreign direct investment in the first seven months of the year totaled $5.9 billion.

Sector breakdown

In July 2024, $587 million in investment capital inflows were recorded, with $168 million directed toward the “manufacture of chemicals, chemical products and basic pharmaceutical products and materials,” representing 29% of the total.

Other sectors receiving substantial investments included computer, electrical-electronic, and optical products manufacturing (20%), wholesale and retail trade (14%) and construction (12%).

Geographic distribution of investments

European Union (EU-27) countries, which accounted for 59% of total investments between 2002 and 2023, increased their share to 70% in July 2024.

Countries from the Americas contributed 12% of the investments, making them the second-largest investing region that month.

In July 2024, Germany led with a 39% share of total investments, followed by the Netherlands (24%), the United States (12%), Switzerland (5%) and the United Kingdom (4%).

For the first seven months of 2024, the top three investing countries were the Netherlands (20%), Germany (15%) and the United States (13%).