TURKEY SHOULD ENCOURAGE ITS SMES TO GO TO AFRICA

Turkey should lead the way to Turkish firms with right inspection mechanisms and coordinately on export and investment to Africa

Africa is in the center of exploitation and internal conflicts as well as being the oldest known continent. This is because of economic and commercial reasons. When the historical background of Turkey with the African continent, it is known that they have a deep-rooted history. However, despite all of these historical connections, it is not possible to say that Turkey has developed commercial relations with the continent countries until the 2000s.

Therefore, Turkey needs some regulations in order to reach 2023 goals in terms of commercial relations with Africa. In line with these regulations, Turkey should lead the way to Turkish firms and especially SMEs with right inspection mechanisms and coordinately on export and investment to Africa. Today, countries like Germany, Russia, and China have a say in commercial activities in the African continent as well as old colonist countries France, Belgium, England, and Portugal. Therefore, Turkish firms should act together with the mentioned companies in their acts specific to the continent. Because trade in Africa still not run within transparent rules.

Therefore, the relevant institutions in Turkey should provide this process either with the bank loans for their SMEs or tax deduction in products, also they have to follow and control every step of inspection of the export or investment to Africa. In order to improve foreign trade with Africa, support to SMEs is highly important. Another important factor is legal regulations towards SMEs and concession agreements with the governments of the African countries. Otherwise, financial losses and security concerns will become to be the biggest drawback of the firms that will make foreign trade.

Academician Dr. Asena Boztaş