The effects of foreign direct investments on Turkish bankingsector after 2000

In order to establish a strong and competitive banking sector, various regulations have been implemented after 2000 year, In this study, foreign owned banks in Turkish Banking System and effects of their penetrations to the Turkish Banking system will be discussed. The study consists of four parts. In the first part; had been investigated of foreign capital definitions, historical development and reasons for coming to the country. In the second part; had been investigated of types of foreign investment, foreign investment in the banking sector and Turkey's foreign banks. In the third part, has been investigated of the effects of foreign direct ınvestments on Turkish banking sector. In the fourth part, are discussed as part of the results. Key Words: Foreign Capital Investments, Foreign Banks, Turkish Banking Sector, The Effects of Foreign Banks.