Union of Chambers and Commodity Exchanges of Turkey

TOBB President M. Rifat Hisarcıklıoğlu told President Recep Tayyip Erdoğan, “With the historic support you provided, employment increase in 6 months reached a record 1.2 million, which is the result of confidence in the country and the economy.”

Hisarcıklıoğlu stated that participating investors have invested more than 150 billion dollars in Turkey and emphasized that investors provide production, employment and exports.

Recalling the meeting held on August 2^nd last year, Hisarcıklıoğlu said that they will not forget that Turkey has lived through in the last 1.5 years.

“The so-called unaffiliated terrorist organizations attacked at the same time. Moreover, we have experienced a vicious coup attempt by FETO, the likes of which world history has not seen. All this in just the last year; if any other country in the world lived, could not stand straight.”

Hisarcıklıoğlu expressed their profound gratitude as Turkey's private sector for President Erdoğan’s firm stance and leadership in the elimination of both the July 15^th treacherous coup attempt and the fight against the terrorist organization. He stated that the TOBB community was the first occupational organizations that took the first action against the coup attempt for Turkey's independence.

Hisarcıklıoğlu stated that they had acted immediately when they saw the coup declaration and went on:

“At 00.22, we said, ‘We do not recognize any will except the will of the people and democracy.’ This day is the day for democracy. Afterwards, we took action against the coup together with all our business in 81 provinces and 160 counties. We brought together the next day all of the private sector professional organizations and demonstrated our common stance against the coup. Chambers and exchanges also supported democracy watches in an active way. Launched under your patronage, we have provided the most contribution to the July 15^th Martyrs Solidarity Campaign as the Turkish business world. We have been vocal for the perception that we want to be formed of our country abroad.”

Hisarcıklıoğlu pointed out that throughout this process, the illegal, immoral, inhumane coup attempt and the Turkish people's ownership of democracy and national will were observed clearly and that they’ve related their counterparts in 6 continents, 98 countries and 25 global business associations.

“In those days it was our goal to re-establish and raise the confidence of investors. You provided leadership then, too. You met with the 300 largest international companies who fill this room today. Listening to what happened directly from you, restored confidence. We have worked with our Prime Minister and our ministers to heal the business and investment environment; and with your support, these changes, many of which are revolutionary, have come to pass and we have regained the trust of investors and markets.

- 1.2 million jobs in 6 months

Hisarcıklıoğlu pointed out that one of the best growth performances in the world was reached in the first quarter of the year and reminded them that they held the TOBB Turkish Economic Forum in February under the auspices of President Erdoğan.

Stating that President Erdoğan has been instrumental in the actualization of historic employment incentives, Hisarcıklıoğlu said, “With the support we receive from you, we launched an employment mobilization throughout Turkey. We promoted and followed up on it nationwide. We said we would do it and we did it despite what some so-called economists might have said. With the historic support you provided, employment increase in 6 months reached a record 1.2 million, which is the result of confidence in the country and the economy.”

The meeting was also attended by Prime Minister Nurettin Canikli, Minister of Economy Nihat Zeybekci, Minister of Science, Industry and Technology Faruk Özlü, Minister of Youth and Sports Akif Çağatay Kılıç, Minister of Family and Social Policy Fatma Betül Sayan Kaya.

- President Recep Tayyip Erdoğan

Participating in the International Investors Consultation Meeting held at TOBB, President Erdoğan said in his speech, “Please don’t compare Turkey with the countries surrounding her. Turkey is a very different and powerful country at this point. With thousands of years of state tradition, we are a different country with our ambitious goals for the future and our thousand-year presence in the region.

We met with you for the first time approximately two weeks after the dark coup attempt of July 15^th, 2016, on the 2^nd of August. I shared first details of the coup in this meeting, followed by developments in the economy in spite the coup attempt, that we have a future ahead of us.” Erdoğan reported that an 8.5% growth was observed in 2013 despite Gezi Protests and FETO’s 17-25 December attack.

Erdoğan reported that exports in the first six months of the year are at 8.2% and maintaining their upward trend, and that unemployment, in parallel with the improvement in the economy and thanks to the mobilization started with TOBB, is heading towards single digit figures.

- “Please do not compare Turkey with the countries surrounding her”

Erdoğan stated that TOBB and YASED are very interested in investors and that he is making an effort to meet with representatives of companies that have investments in Turkey in their foreign travels.

Underlining that Turkey aiming to be one of the top 10 economies of the world, which constitutes the most important and assertive dimension of the country's 2023 targets, Erdoğan said to the international investor:

“I know the developments in our country lead to a variety of questions in the minds of international investors. However, take into account the following: Turkey, despite being at the world's most serious conflict zone never allowed its stability and confidence to be jeopardized. This is Turkey's greatest strength.

Please don’t compare Turkey with the countries surrounding her. Turkey is a very different and powerful country at this point. With thousands of years of state tradition, we are a different country with our ambitious goals for the future and our thousand-year presence in the region.

- Joint proclamation

A joint proclamation was made by TOBB and YASED after the meeting. It read:

“We once again condemn the treacherous coup attempt on this anniversary of July 15th against Turkey's stability, the economy and the rule of law, and we hope that similar initiatives will never be repeated. We are against any kind of intervention to remove the rule of law and the constitutional order.

So far, the measures taken rapidly by our government, legal-administrative regulations and incentives put into practice, ensuring healthy functioning of the business and investment environment by limiting the negative impact caused by the coup attempt has contributed significantly to the economy.

In line with the development of our country, in attaining our deserved position in the global competitive environment and the continuation of value-added sustainable investments, the presence of democracy, the rule of law, foreseeable legal and managerial arrangements, and the existence of a transparent and competitive free market economy is fundamental.

Under the leadership of President Mr. Erdoğan, the determination of your government and the distance covered in this direction will further increase the confidence of international direct investors in Turkey.

In the upcoming period, our targeted economic and structural reform should be focused more on our agenda, to increase our country's global competitive power and to be positioned as an investment attraction center. We, too, are ready to fulfill any duty that falls upon us in this direction.

As international investors, we believe in the future and potential of Turkey and continue to demonstrate this belief by preserving our long-term investment perspective. We take responsibility as ‘ambassadors’ in promoting the investment environment in Turkey abroad and in strengthening our perception.

We will continue to work closely with all parties as the business community, with the aim of increasing the interest of investors in the Turkish economy, increasing the efficiency of existing investments and thus boosting the prosperity of our country.

Our basic expectation in this process is further strengthening of all institutions of the democratic state with rule of law, our country is the continuation of increasing integration with the developed world sharing global values without interruption of reforms to improve the development process and the investment environment as it was until today.

Improving the investment climate is a continuous objective. The continuation of structural reforms, ensuring a sustainable improvement in our investment and business conditions will play an important role when we step forward internationally.

In this frame;

• Positioning our country as a regional center,

• Expansion of financing possibilities with the increase of the saving rate,

• The integration of SMEs into the global value chain,

• Prioritizing importance to training activities aimed at raising human resources for qualification,

• Developing a comprehensive employment strategy required by a production-oriented economic policy,

• Accelerating digital transformation in the industry,

• Facilitation of business processes and reduction of bureaucracy,

• Reducing the high tax rates that adversely affect the efficiency and competitive power of the tax legislation by harmonizing with the international legislation and constantly updating the incentive system in line with the needs of the day,

• Establishing a production capacity that produces and exports high value-added competitive products in our country, targeting a global market in this direction,

• The imposition of the import regime and safeguarding measures in this respect and the implementation of such practices in a way which will not cause unfair competition and not adversely affect the predictability of the business / investment environment will international competition will take us one step ahead.

It is of great importance to update the Customs Union Agreement in line with today's needs in the short term in the direction of Turkey's EU membership perspective. The reorganization of the Customs Union to allow Turkey to sign free trade agreements with third parties outside the EU will contribute to expanding our export markets.

We also think that Turkey's 'International Investment Strategic Plan’ will be useful for improving the investment environment. In this regard, we are ready to fulfill our duty as international direct investors.”