Foreign Direct Investment in Türkiye: Corporate and Regulatory Guide 2026

Executive Summary & Legal Framework

Türkiye offers a competitive, open foreign investment regime anchored in the Foreign Direct Investment Law No. 4875. Under this legislation, international corporate entities and foreign individual investors enjoy full national treatment, freedom to establish companies, and unrestricted repatriation of capital, profits, and royalties.

1. Principles of Foreign Direct Investment in Türkiye

The Turkish corporate ecosystem guarantees equal rights for domestic and foreign enterprises. International corporations can incorporate joint-stock companies (Anonim Şirket - A.Ş.) or limited liability companies (Limited Şirket - Ltd. Şti.) with 100% foreign shareholding without preliminary government concessions.

Our law office provides end-to-end legal counsel on corporate structuring, merger clearances, and compliance with the Turkish Commercial Code.

2. Key Corporate Structures: A.Ş. vs Ltd. Şti.

International corporate groups typically choose between two primary corporate vehicles:

• Joint Stock Company (Anonim Şirket): Ideal for institutional groups, holding entities, and operations requiring multiple investment rounds or public offering eligibility. Minimum capital is 250,000 TRY.
• Limited Liability Company (Limited Şirket): Suitable for specialized operational subsidiaries with fewer shareholders. Minimum capital is 50,000 TRY.

3. Investor Protection and International Arbitration

Türkiye is a signatory to over 85 Bilateral Investment Treaties (BITs) and the ICSID Convention. Foreign investors benefit from statutory guarantees against uncompensated expropriation and have access to international arbitration mechanisms such as ISTAC (Istanbul Arbitration Centre) and ICC arbitration.

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Sıkça Sorulan Sorular (SSS)

Konuya ilişkin en sık yöneltilen kurumsal sorular ve yanıtları:

Can foreign nationals own 100% of a Turkish company?

Yes. Under Foreign Direct Investment Law No. 4875, foreign investors are granted national treatment and can establish fully foreign-owned joint-stock (A.Ş.) or limited liability (Ltd. Şti.) companies without requiring a local Turkish partner.

Are profits and dividends freely transferable abroad?

Yes. Foreign investors can freely transfer their net profits, dividends, liquidation proceeds, and royalties abroad through Turkish banking institutions without exchange control restrictions.