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Mazaya Monthly Real Estate Report -
Week 2 - November 2015
Al-Mazaya Report points to Turkey as
an example of what political stability
and a well run economy can achieve in
terms of attracting large-scale foreign
investment over the short, medium
and long-term. When investors look at
Turkey, they see a government doing all
it can to create an environment that is
conducive to investment, for example by
reducing bureaucracy to facilitate trans-
border currency flows. Investors see that
the possibility is there for strong returns
on investment, and the investment flow
becomes self-sustaining. Investment
begets investment, benefitting the
Turkish
economy
exponentially.
Political stability is the most important
concern to any potential overseas
investor. More and more, countries -
either developed or developing - that
can demonstrate a track record of
political stability are able to unlock
vast streams of liquidity with which to
execute government or private sector
projects. No sector benefits from these
streams of liquidity like the real estate
sector, with the possible exception of
the industrial sector. Real estate offers
investors an easy way to access the
economic success story of a country,
with the option to make an easy exit.
Turkey, too, is able to distinguish
itself in the eyes of investors from
neighbouring countries by dint of
its social welfare programs that are
effective means of ensuring domestic
stability, regardless of external
factors. The results of the country’s
most recent elections will have also
gone a considerable way towards
reassuring investors that Turkey is
ready and open for business, and
capable of overcoming challenges.
Al-Mazaya Report believes the Turkish
economy is efficient and capable of
responding quickly to negative and
positive stimuli, regardless of the
prevailing global economic winds. The
Turkish lira for example, subsequent
to elections and reports that a stable
cabinet coalition would be formed,
has recently strengthened against the
US dollar by 1.5 percent. The signs
are good and the outlook positive.