The decrease n the number of compan es w th fore gn cap tal cont nues

Dünya Executive - - BUSINESS -

The number of large-scale foreign capital companies, which mainly operate in the high value-added sectors, continues to decrease, amounting 115 in 2017. From 2004-2009, buoyed by the increase in direct foreign capital inflows, the figure had reached 153, its highest. In the last nine years until the end of 2017, the number of foreign-capital companies in the Top 500 decreased by 38. Of these, 23 companies have more than 50 percent or more of foreign capital share. Despite the decline in the number of companies, there is no significan­t change in the sales and exports share of foreign capital companies. The decrease in the share of the gross added-value created by these companies, at 2 to 3 points is, however, noteworthy. The low impact indicates that the decline especially affects mediumsize­d foreign-capital companies and is glossed over by the performanc­e of large-scale companies. Thus, although the number of companies with foreign capital in the Top 500 has decreased by 10 in the last three years, it is remarkable that the number of companies in the top 50 increased to 16 in 2017 from 15 in 2015 and 2016. The ISO study emphasizes that the decrease in the number of foreign companies “will have a negative effect on the performanc­e of the industry in the mid-term and should not be ignored.”

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