Evaluation of foreign direct investment incentives policies applied in Turkey

Although countries have different socio-economic structures, economic growth is among their main targets. One of the most important factors in a country's economic growth and development is investments in the country. Developing countries and underdeveloped countries implement certain policies in order to ensure economic development. Foreign direct investments, along with the changing world, have had an important share in the economies of countries. Developing countries have tended to seek solutions through foreign investments for the capital inadequacy, which is one of the leading economic problems. In this case, international investments have accelerated the development of the economies of developing countries. A number of studies have been made after 1980 in the World, which consists of an intensely competitive environment in the area of foreign direct investment in order to strengthen Turkey's investment environment. Turkey, inspired by the world of liberal tendencies after 1980, has adopted the free market economy. Then some regulations have been made for the improvement of the investment environment and encouraging foreign direct investment in Turkey. As of the 2000s, strategies have been developed to increase FDI. Within this strategic approach, sectoral and regional priorities are determined, a new investment incentive system is established and active policies are implemented. Turkey has a large content of an investment incentive schemes for foreign direct investment for that purpose. This investment incentive program, which has been implemented, both supports investments that will start from scratch and aims to reduce the start-up costs to the lowest levels for growth-oriented investments. With these incentive policies, it is aimed to accelerate FDI returns. In this thesis, incentive policies to attract foreign direct investment in Turkey will be examined. At the end of this study, it is aimed to contribute to the completion of future studies with experiments in social sciences. In the first part of the thesis, the scope, basics and classification of the concept of foreign direct investment will be discussed. In addition, the distribution of FDI by country and sector in the world will be examined. In the second part, direct investments in Turkey will take place. In the third part of the thesis, incentive policies related with FDI in Turkey will be discussed in terms of legal, fiscal and economic financial incentives areas, together with their types and elements. This part will also examine the advantages for foreign direct investments. A general evaluation will be made in the fourth chapter.