T.R.N.C: Foreign Investment Guideline


investment in northern cyprus

As according to the Northern Cyprus' State Planning Organization http://www.devplan.org/ prioritizing foreign investment is among the primary objectives of the Turkish Republic of Northern Cyprus' development policy.

Consequently, those wishing to invest on the island can be sure of a positive Government attitude. In accordance with its development policy, Northern Cyprus is giving preferential treatment to export-oriented industries.

Due to its small domestic market, the T.R.NC authorities focus on export of goods and services. Priority is given to those projects that facilitate transfer of modern technology, know-how, new management techniques into the TRNC and that provide highest value added. However, it should be mentioned that every project proposed by an investor will be considered on its own merits.

Co-operation between local and foreign firms in the form of joint ventures is actively promoted, and Northern Cyprus offers numerous advantages and incentives to the foreign investor including full protection of his property rights. Nationalization has never been part of government policy nor is it contemplated in the future. The Constitution of TRNC guarantees the right on private property while it does not discriminate between citizens and aliens. The fixed capital investments have been 1,814.13 million TL at current prices in 2016.

The public sector financed 12.6% of total fixed investments and the remaining 87.4% was financed by private sector. Public services with %35.2 and transportation-communication sector with %30.7 constituted the biggest shares of the public sector investments. On the other hand private sector investments have been concentrated mostly on dwelling with 45.7% and, business and private services 17.1%. Under the Incentive Law, 601 incentive certificates have been granted until the end of the year 2017. The total of fixed investments with incentive certificate amounted 9,620.28 million TL. Tourism sector has the highest share in fixed investments and this sector occupies 79.06%. Industry and education dorm investments follow it with 8.84% and 7.60% respectively. Read More [PDF]

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