Japanese companies pronouncedly increasing their investments in Turkey

World Faizah Kamal 29-Jan-2020
Japan and Turkey
ID 156066534 © Ruletkka | Dreamstime.com

The direct investment of Japanese companies in Turkey has shown a significant increase in recent years while many other investors seek new investment opportunities in the country, not only for its domestic potential, but also for its status as a hub of regional trade.

Japanese companies are looking forward to the conclusion of the bilateral Economic Cooperation Agreement, which is still being negotiated between the two countries.

There are three main reasons behind the Japanese business world’s interest in Turkey, according to Kenichiro Yamanishi, the chair of the Japan-Turkey Economic Committee as well as the executive corporate adviser of Mitsubishi Electric Corporation.

“One of the reasons is that the population of Turkey is big, and the majority of its population is young generations. So, they have potential,” Yamanishi told the news agency Hürriyet Daily News in an interview.

The second reason is historical relations between Turkey and Japan, he noted, emphasising that people of both countries have sympathy towards each other. This feeling has a background that dates back to the Ertuğrul Gazi incident, as well as the evacuation of Japanese citizens from Iran by a Turkish Airlines aeroplane during the Iraq-Iran war, Yamanishi added.

“The third one and the biggest point is the geographic location of Turkey since it links between European countries and central Asian countries as well as the Middle East and African countries,”

“Turkey also has potential with its domestic market, but it can also function as a gateway for the European, African (and) Central Asian countries” he stated.