Turkey's economy beats in Istanbul

The world’s only city based on two continents, Istanbul is the heart of the Turkish economy, providing a substantial proportion of Turkey’s trade volume, several indicators reveal. Besides being a center of culture, arts and history, the city draws attention of investors with its demographic characteristics as well as its location

ISTANBUL – Anatolia News Agency

   Istanbul, which has a crucial status since it connects two continents, Asia and Europe, is the heart of Turkey in many areas particularly in terms of the economy, various figures reveal.
     As the world's only city situated on two continents, Istanbul has recently developed particular activities to turn the city into a finance center under the leadership of the Banks Association of Turkey (TBB). The city, more crowded than several European countries with a population of over 12 million, is drawing attention with foreign investments it has attracted in recent years.
  The Istanbul Stock Exchange (IMKB) reached a transaction volume of YTL 387.8 billion as of December 2007, while the IMKB National 100 Index ranked 11th among 60 world bourses, with an annual gain of 42 percent.

Key city for trade

  “Istanbul is the heart of the economy today, handling almost 60 percent of Turkey's aggregate exports and imports,” said Tanıl Küçük, chairman of the Istanbul Chamber of Industry (ISO). “Almost 25 percent of Turkey's gross national product is of Istanbul origin. Istanbul, which has been the center of the manufacturing industry since the 1950s, creates over 30 percent of the added value of Turkey's manufacturing industry.” The ISO had 13,950 members, as of the end of March, said Küçük. In 2006, there were 216 ISO member enterprises among the top 500 companies, he added.
  Istanbul more than deserves to be a global center with the values it has, said Küçük. “However, this should not mean ignoring industry. It is not realistic to think that Istanbul, which hosts 38 percent of industrial enterprises in Turkey, which creates over 30 percent of total added value of the manufacturing industry, and whose 32 percent employment is related to industry, will give up industry easily and gain a service-focused structure.” Among incentive-dependent investments in Istanbul between 2002 and 2006, the manufacturing industry ranked first with 53 percent, said Küçük. “This reveals Istanbul has not given up industry, and that industry will stay in the city at any rate.” 

Second-largest city 

  Istanbul, which is one of the world's top 20 largest cities, is the second-largest city in Europe after Moscow, said Murat Yalçıntaş with the Istanbul Chamber of Commerce (ITO). In the distribution of economic activities in Istanbul, trade ranks first, with a 34.1 percent share, and is followed by industry, with 23.9 percent, construction, with 17.1 percent, and transportation and communication, with a 7.2 percent share, he said.
  Istanbul constitutes 1 percent of agriculture, 28 percent of industry, 21.2 percent of construction, 24.6 percent of trade and 23 percent of transportation and communication in Turkey, Yalçıntaş said. The city holds 46 banks among a total of 50, 42 percent of bank deposits and 48 percent of bank loans, he added.
  Istanbul's daily economic production size exceeds YTL 500 million, Yalçıntaş said, and added that there are 26,091 export and 34,722 import firms in the city. Istanbul is ahead of many European Union countries, and all Balkan countries, in export figures he said. Almost one-third of all commercial enterprises in Turkey operate in Istanbul, which produces 45 percent of Turkey's wholesale trade and 55 percent of aggregate trade volume, he added.
  Istanbul, is the world's 27th most expensive city, according to a list published by Swiss bank UBS, is considered one of the hottest real estate markets in Europe, according to a joint survey by the Urban Land Institute and PricewaterhouseCoopers. Selected as the cultural capital of Europe for 2010, Istanbul also features historic districts listed as World Heritage Sites by the United Nations Educational, Scientific and Cultural Organization (UNECSO) in 1985. 

Source: http://www.turkishdailynews.com.tr/article.php?enewsid=101172
Tuesday, April 8, 2008