Tax breaks and loans for attracting investments in Turkish defence programs
ANKARA (Turkey), April 18, 2018, Author: Galina Zdravkova (Bm), Photo: Peter Macdiarmid/Getty Images
Turkey offers tax breaks, tax reductions, exemptions from import duties, as well as soft loans for the purposes of attracting investments in local defence programs. The goal of these incentives is the indigenous defence programs to be boosted, reported Defense News.
The program has shown immediate results. Only during the first two months of this year, thirteen defence investment projects were incorporated by the Government. The projects were submitted by 12 companies and the total amount of these investments is $350 million as of the moment.
Roketsan’s new production line is the largest investment program benefiting from the incentives till the end of February. The investment plan of the missile maker that is state-controlled is at the amount of $217 million.
The Turkey’s largest defence company – the military electronics specialist Aselsan – will be also supported under the incentives program for its new investment in electronic systems at $35 million and new investment in aerial and missile systems at $40 million.
Private defence investments will be also subsidized by government incentives this year. For example, the private company Most Makina has planned investment in steel equipment for defence systems at the amount of $385 million, for which it will receive government incentives.