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Paul Vanfrachem President of TBBC : ü How do you see the Turkish economy in the future? ü As I said before, the Turkish economy is certainly a growing economy. The growth potential is much higher than in our own mature markets like Belgium, France or Luxembourg. Recently, and especially since last year, we can feel very clearly that the economy is improving. One of the reasons is that the authorities finally have taken the necessary measures to improve the econo-mic climate. I refer to the reduced inflation digits, the strict budget, the privatisations etc. In brief, all these measures that Turkey was obliged to adopt after the financial crisis. I do not have any political preference, but at least we can say that this government does what it has to do. ü Within a few months, the European Union will decide whether to start accession negotiations with Turkey. Considering the existing agreements to avoid double taxation and open borders, how do you think this will effect Turkish economy? ü When starting membership negotiations, Turkey will become part of the European Area. This means that European funds will be released to help in developing certain regions. We have seen the same thing in the past for Portugal and Spain for example. Besides, I believe that the membership will considerably increase the flux of businesses between Turkey and the other member states. In the long run, it means that Turkey will apply the same laws and the same rules. Especially for businessmen, such a common set of rules is important. It will facilitate contacts both ways. However, being realistic, I think this process will take time, which I estimate between 5 to 10 years. Implementing the so-called 'acquis communautaire' is a big burden. There are more or less 10,000 pages of legislation to incorporate and implement! In any case, I wish good luck to Turkey. I have loved this country a long time before I did business with it. I have been there several times on holidays. Also, Turks are hard-working, very welcoming and friendly people. It was not very difficult for me to defend our investment project in Turkey and to convince the other members of the CBR board. I hope also that the EU decision will be positive, not only for boosting economic relations, but also for the sake of the Turks. With the help of the EU, I hope they will soon be provided the higher living standards that they do deserve. Turkish Industrialists’ and Businessmen’s Association “a long and gradual perspective” By Ömer Sabancı Chairmain of the Board of TÜSİAD Turkey's membership to the European Union may be a long and gradual perspective. This is a process whose aims are to transform Turkey's potential into political, economic, social and cultural assets for Europe's future, to solve today's problems and to set, if still necessary, transitional periods for some aspects of the membership. Today, the challenge for both the EU and Turkey is to start, as soon as possible, the accession negotiations and to assure their progress on the basis of the common European values, principles, and interests. Economy : Turkey will greatly contribute to the EU's economic power on the global scene. With a population of 69 million, a GNP level of 460 billion euros (PPP), an export oriented economy and a rapidly developing information society, Turkey's accession will increase the size and competitiveness of the European internal market. Growth : Growth in Turkey will have a positive effect on the EU economy. Turkey's young, dynamic and entrepreneurial population and economy are large enough to generate growth both in Turkey and in an enlarged EU.
Consumers : Turkey's large economy and potentials will be beneficial to European consumers. Elimination of technical and non-technical barriers to trade and adoption by Turkey of the EU legislation and standards are increasing the competitiveness and the product quality in an enlarged Union. Business : In addition to the existing customs union in industrial goods, liberalisation of services and public procurement markets will provide invaluable opportunities for European companies. With a services sector constituting 65% of its GDP and a public procurement market of over 30 billion euros, Turkey offers high potentials for European companies in development projects. Investment : After accession, European companies will benefit from higher rates of return on their foreign direct investment in Turkey. Given the country's qualified labour force, high absorption capacity, tourism potentials and its location at the crossroads of Eurasian markets and energy networks, EU membership will boost the economy by attracting even more investments. Global Politics : Turkey's membership will be an invaluable asset for the EU in its global aspirations. Turkey's geographical position, relations with the neighbouring countries and connection to the Islamic world, Russia and the Central Asia will endow the EU with greater saying in the international arena. Multiculturalism : Turkey's membership will strengthen the EU's multicultural society. It will be a solid confirmation refuting 'clash of civilisations' scenario and proving the essence of the EU, namely a union built upon and through common values. Stability : Improvements in the Greco-Turkish relations resulting from Turkey's membership will provide further stability in the Aegean region and the Balkans. Greater stability and cooperation in the region have countless potentials for trade, energy, transport and environment projects. Peace : Turkey's membership will promote and defend common European interests. As an EU member, Turkey will contribute further to democracy, peace and stability, as well as economic development, in the Mediterranean region, Balkans, Caucasus and Middle East. Security : As a reliable NATO ally, Turkey's membership will consolidate both the military and the civilian aspects of the Common Foreign and Security Policy. A European Union including Turkey will be more efficient in tackling political problems and crises among which threats from undemocratic regimes, terrorism, illegal immigration and trafficking in drugs, arms and human beings. Message of Jürgen Strube, President of the Union of Industrial and Employers' Confederations of Europe (UNICE) to the European Council on June 2004: "UNICE welcomes Turkey's promising reform process, which it should sustain, and urges Members States to open up negotiations with this country as soon as it has completed the remaining tasks with regard to Copenhagen political criteria stated in the Commission's report. This would offer EU and Turkish companies a more coherent and sustainable framework in which to conduct their economic activities." Oğuz Satıcı (President of TİM, Turkish Exporters Assembly) “the most important step...” I strongly believe that Turkey has definitely entered the final stage regarding her EU membership. I do think that when the occasion demands us to be together in the year 2005, Turkey will be a country which has started the negotiation process that is aiming her full membership. Those with such a vision do know that Turkey's relations with EU have a very deep cultural, historical, political, and economic dimensions. Such relations cannot be defined which one side is a demander of what the other party is willing to give but, as a rich and mutually beneficial partnership that is beneficial for all. For Turkey, EU membership is the most important step towards the goal of integration with "modern civilization" shown by the founder of our Republic and modern Turkey, Mustafa Kemal Atatürk. The Turkish Exporters have long been supporters of this process and shouldered all burdens associated with it willingly. We believe that, now it is the EU's turn to respond to the determination Turkey has been showing and, start the final phase that will end with the full membersip of Turkey to the European Union.