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In recent years, Turkey has undergone a remarkable economic transformation, driven by reforms in the banking and public sectors. This insight examines why Turkey has become an attractive destination for venture capitalists, highlighting factors like fiscal discipline, foreign direct investment, and the dynamic growth of its e-commerce sector. With inflation at single digits and public debt maintained at 40% of GDP, the landscape for investment is promising. The use of social networks and a rapidly engaged online audience further positions Turkey as a hotspot for innovative businesses, making it a compelling case for investment.
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OpportunityDiscovery From a Turkey-focused VentureCapitalist’sPerspective
Opportunity DiscoveryValue USD 8.32 USD 2.45
WhyTurkey?Thelastdecade • Economy transformed quite dramatically • Banking and public sectorsreformed • Single-party government • Fiscal discipline • Global liquidity and high risk appetitetowards EM • Foreign direct investment USD10.9bn in 1st nine months of 2011; USD1.8 bn more than in entire 2010
e-commerce market growing 2011E USD 13Bn 2010 USD 8.2Bn +50% YoY Source: The Interbank Card Center (BKM)
13th largestonlinemarket Source: comScore World Metrix, August 2011
3rd most engaged audience in Europe Source: comScore World Metrix, August 2011
Use of socialnetworks… Source: comScore World Metrix, August 2011
…and online media 12 Months ago Turkey was in 6thposition!!! Source: comScore World Metrix, August 2011
100Mostinnovativecompanies in 2011 Source: Thomson Reuters, November2011
“Bridgingthegapbetween an idea anditsbeneficialresultis thecrucial step in innovation… Successwilldemand a greaterabilitytoquicklyclosethegap.” Soumitra Dutta – Innovating at the Top
Geography Culture HDI Government Funding …
Only 28% of Turks believe they can influence thecourse oftheir lives • The lowest percentage of respondents in 30 countries considered in the study. • United States80% • Japan 60% Study on internationalcomparison of religiousinfluences on culturalattitudes byErsinKalaycioglu and Ali Carkoglu, Sabanci University, 2009
Geography Culture HDI Government Funding …
HumanDevelopmentIndex Source: UNDP - Measuringhealth, education, income, equality, poverty, gender, sustainabilityrelatedindicatos
Geography Culture HDI Government Funding