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Foreign investment in Türkiye falls 31% to $4.2B in 2026's first half

Turkish flags are displayed in front of office towers in Istanbul, Türkiye. (Adobe Stock Photo)
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Turkish flags are displayed in front of office towers in Istanbul, Türkiye. (Adobe Stock Photo)
August 16, 2026 04:24 AM GMT+03:00

Türkiye attracted $4.2 billion in foreign direct investment (FDI) in the first half of 2026, down 31% from the same period a year earlier, the International Investors Association (YASED) reported based on central bank figures.

The country attracted $3.7 billion through investment capital, while debt instruments accounted for $1.7 billion and real estate sales to foreign nationals brought in $1.3 billion.

Investors unwinding existing investments dragged the total down by $2.4 billion, with much of the decline coming from a large liquidation in June, when just $210 million in FDI was recorded.

Trade, tech, finance attract most investment

Investment capital came to $3.7 billion in the first half, down 6% from $3.9 billion a year earlier. Net real estate investment totaled $1.3 billion, while the "other" category had a negative $726 million impact on the overall figure.

Wholesale and retail trade attracted the most investment, bringing in $847 million in the first six months, or 23% of total investment capital.

Information and communication came next with $471 million, accounting for 13%, followed by finance with $451 million, or 12%. Chemical manufacturing drew $317 million, or 9%, while electronics manufacturing attracted $241 million, or 7%.

Overall, services accounted for 63% of investment capital in the first half, meaning nearly two-thirds of the money went into service-related businesses. Industrial activities made up the remaining 37%, while agriculture received no investment capital.

Charts show the sectoral breakdown of investment capital in Türkiye in the first six months of 2026. (Chart via YASED)
Charts show the sectoral breakdown of investment capital in Türkiye in the first six months of 2026. (Chart via YASED)

Biggest foreign investors

The Netherlands was the biggest source of investment capital in Türkiye in the first half, accounting for 23% of the total, followed by Germany and the U.S. at 15% each, the UK at 11% and the United Arab Emirates at 10%.

EU member states made up 52% of investment capital in the first half, down from their 59% share over the 2003-2025 period. Other major sources included the Americas with 17%, other European countries with 14%, and the Middle East with 11%.

In dollar terms, Dutch investors brought in $852 million during the first six months, followed by Germany with $563 million, the U.S. with $562 million, the U.K. with $412 million, and the UAE with $371 million.

Overall, Türkiye's cumulative FDI inflows have exceeded $292 billion since 2003.

August 16, 2026 04:25 AM GMT+03:00
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