Much information is available, depicting Turkey as one of the world’s most popular destinations to visit and relocate to. The country is among the top ten leaders in the world in this category, and there are many reasons why the country is so attractive to foreigners.
But, who are these migrants, how many of them are there, and which nationalities dominate the lists?
In this article, we will try to answer these questions and highlight the national composition of foreign nationals migrating to Turkey.
Content:
- Foreigners in Turkey: How many of them are there and how do they affect the country?
- Why visiting, relocating and Turkish citizenship are attractive
- Conclusion
Foreigners in Turkey: How many of them are there and how do they affect the country?
In 2021, gradually recovering from the devastation of the COVID-19 pandemic, Turkey received about 5.8 million people within the first six months. That was an increase of 27.07% since 2020 when 4.5 million foreigners visited the country.
Istanbul and Antalya were the arrival points of most of the visitors, being the largest cities in the country and the main tourist destinations.
47.49% of overseas nationals settled in Istanbul, which is about 2.8 million people. Next is the resort city of Antalya with 1.5 million people. The city of Edirne closes the top three with 611,306 people.
It makes sense to note that despite all the problems of recent years, the 2010s and the early 2020s are the years in which Turkey experienced the most visitors in its history.
So, if in the 2000s the increase in migrants was only 3.62%, then in the 5 years since 2010 their increase was 116.89% and this trend continues to this day.
In 2018, 3% of the population were foreigners. That equates to 2.3 million people (52% of which were women).
Let's analyze the national composition.
National composition: Who makes up the majority of visitors
Returning to the growth in the number of migrants in the first six months of 2021, 13.9% (772,437 people) were citizens of Ukraine, 13.04% (746,724 people) were citizens of Russia, and 9.02% (more than 510,000 people) were citizens of Germany.
If we go back to 2018, we will also see a large influx of migrants from Syria, Iraq, and Afghanistan. The geographical and geopolitical position of Turkey makes the country a major center for the influx of refugees from the Middle East. Syrians, Iraqis, and Afghans are the dominant nationalities in this segment of migrants.
35,000 people came from Afghanistan, 16,000 from Iraq, and 3,600 from Iran. These are the so-called "temporary migrants" who have found refuge in Turkey.
Since then, the number of Afghan citizens has declined by more than 20,000, but Syrians numbered 3.6 million by 2020. On the one hand, this situation transforms the sector and on the other, large remittances and loans from the European Union are a separate item of the country's income.
A sharp increase in the number of visitors from Turkmenistan amounted to 15,000 people. These are not refugees but visitors, tourists, and possible ex-pats.
Visitors from Uzbekistan play an important role, so for them, the Turkish government has extended the visa terms from 30 to 90 and even 180 days.
A large proportion of visitors are also residents of the Western Balkans (Serbs, citizens of Bosnia and Herzegovina).
In the history of Turkey, 2018-19 saw the largest influx of foreigners, not only tourists and refugees but also ex-pats, students, workers, and those looking for medical care.
The number of permanent foreign residents in Istanbul alone was 1,531,180. 50% of requests for residence permits came from the capital of the country, the other 50% from the remaining 80 provinces of Turkey.
As of 2021, 50.8% of residents were men, and 49.2% were women.
There has been an incline in the number of people who come to work and engage in scientific research and projects.
In general, the number of visitors from Austria, Denmark, Canada, Switzerland, and Britain has increased in the country. The number of Americans, Swedes, Norwegians, Italians, Belgians, and French has decreased, but not by much.
Tourists in Turkey
Turkey received over 10.88 million tourists in the first seven months of 2021. This amounted to an increase of 85.44% by 2020. 38.2% arrived in Istanbul.
15.41% were citizens of Russia, 12.5% were citizens of Germany, 11.08% were citizens of Ukraine, 4.85% were citizens of Bulgaria, and 4.3% were citizens of Iran.
In comparison, 12.7 million people arrived in Turkey in 2020 Itis worth noting the many visitors from the Netherlands, Belgium, and Slovakia.
Developers also indicate that they sell 90% of real estate to foreigners.
Investors and direct investments in the country's economy
Let's consider the number of investors who have arrived in the country and the volume of direct investments in the economy.
It is difficult to find data on the exact number of investors entering the country, but we can identify these foreigners by indirect data on the amount invested.
First, let’s take a closer look at the real estate market. By the end of the year, Turkey expects a total investment of $7.5 billion in its real estate. Then, the country will consolidate its position in the top 10 real estate markets worldwide.
A member of the board of Directors at the Real Estate International Promotion Association, Hakan Budzhak points out that citizens from 80 countries of the world, especially wealthy buyers from Russia, Iran, and Iraq, are interested in the country's real estate. Investors from America, Canada, and Britain also pay special attention to the market.
Last year, Turkey received 6 billion for the sale of more than 40,000 properties.
Buyers from Western countries are more active, accounting for 30,849 residential properties sold in the first 8 months of this year, an increase of 47.6% compared to last year.
The average price of a property to purchase is $150,000. 50,000 housing units are expected to be sold this year.
From January to August 2021, the number of properties purchased by foreigners grew by 47.6% compared to the same period in 2020. In August alone, 5,886 properties were sold, depicting a rise of 50.7% by August 2020.
Data from the Astons research agency indicate that 13,325 people have applied for a resident visa for investments.
Unfortunately, it is difficult to find information on the exact number of investors in the country, as we mentioned above, according to the available data, we can talk about several tens of thousands.
There is an imbalance in Turkey, as a large proportion of investors are Turkish citizens. Given the data on citizenship received for investments since 2017 (which we will discuss below), the number of foreign investors will not exceed sixty thousand.
The aggregate investment data for the last 17 years can tell us more about the national composition. The Investment Bureau under the President of Turkey indicates that the main countries where foreign nationals invest in Turkey are the following:
- Netherlands — 15.9%;
- USA — 7.8%;
- United Kingdom — 7.0%;
- Gulf Countries — 7.0%;
- Austria — 6.4%;
- Germany — 6.2%;
- Luxembourg — 6.0%;
- Spain — 5.8%;
- Belgium — 5.3%;
- France — 4.6%;
- Azerbaijan — 4.3%;
- Greece — 4.1%;
- The remainder is 19.5%.
Russia is a recent addition, with some of its citizens investing in Turkey, so it is included in the "Remainder" column. The coming years will show what role it will play in the investment market of this country.
Foreigners who have become citizens
It is worth considering how many foreigners have become Turkish citizens over the past 3 years. The Citizenship by Investment program was launched in 2017-2018 and you can now see the results.
Since the end of 2017, about 30,000 people have received citizenship for investments. The growth is exponential, as only 70 people received citizenship for investment in the first year of the program.
This growth is associated with a decrease in the minimum investment from $ 1,000,000 to $250,000. From September 2018 to December 2020, 7,242 people from 93 countries have become citizens.
As we can see, most of the new citizen investors came to Turkey in 2021.
Iran, Afghanistan, Iraq, the United States of America, Canada, the United Kingdom of Great Britain, and Russia are the leading countries in terms of investors in Turkey.
Over 7,300 people have received citizenship for real estate investments since 2017.
Why visiting, relocating and Turkish citizenship are attractive
Let's briefly analyze why Turkey receives so many visitors and investors.
The most obvious reason is related to tourism. Turkey is a large country located on the border between Europe and Asia, with different terrain, climates, resorts, and tourist destinations.
For cultural recreation and attractions, tourists can visit Istanbul. Antalya is another large city that combines the above with many beaches for the summer holidays.
Along the coast to the west from Antalya to Kusadasi, there are a variety of resorts, large and small.
In the Asian part of the country, Anatolia, there are many mountain resorts.
The country has low prices for resort holidays and favorable rental rates for hotels and apartments. The country is equidistant from both the CIS region, Europe, and the Middle East.
Turkey is attractive to investors because it has a young economy. Many of its sectors, including the real estate sector, are actively developing. This means that if economic growth is taken into account, investments in Turkey can expect to see rapid growth in three to six years.
The situation is also facilitated by a young working-age population. Most are between the ages of 25 and 35.
Also, housing is affordable. High-quality one-bedroom apartments or a house can be purchased for $60,000 and the maintenance of such real estate is also low. For example, you will spend no more than $10 on water per month.
The country's infrastructure is developed by the IT sector.
The interest on loans is not the lowest, but borrowers are compensated by a lot of benefits and special programs provided by banks.
It is easy to obtain citizenship or long-term residence in the country. There are minimum requirements for meeting the conditions and obtaining the necessary documentation. Any investor can become a citizen of the country without even visiting it, by doing everything remotely or through a trusted person (company).
Having obtained citizenship in Turkey, you can enjoy visa-free travel to 111 countries of the world, as well as a special E-2 investor visa allowing entry to the United States for 5 years.
Listing the advantages of this situation would take time, but it can be summarized by two points:
- Turkey is a young country with a young and actively growing economy, favorable geographical location, and growth potential.
- The Turkish government understands this and makes every effort to create an attractive investment climate with favorable loans, simplified procedures for opening or transferring business, migration of capital and labor resources, and simple procedures for obtaining the necessary documents, permits, and licenses, including citizenship.
Conclusion
Having read up to this point, you may have the question… why is this information beneficial to you?
First of all, we wanted to mention the national composition of foreigners in Turkey. Who they are, where they come from and why.
We encourage you to pay more attention to this issue by contacting specialists, such as lawyers, business consultants, or real estate agents (depending on your goals).
The knowledge that the national composition of visitors to Turkey has many useful consequences. Firstly, each nation has its culture, preferences, and worldview. If you are an investor and want to make money by providing rentals to tourists, you should know who the majority of your buyers will be comprised of.
Visitors from Iran, the Gulf States, Russia, or the UK are different categories of the population, with their preferences for the types of real estate that they will rent, their location and configuration, types of recreation and resorts that suit them, concepts of what is expensive and what is cheap.
If you are going to make money on flipping or opening a business, you should pay attention to Istanbul, as this city is popular with foreigners who come to the country not only for sightseeing and recreation but often to invest.
If you are an ex-pat, it may be important for you to ask how many of your compatriots you will meet in this country (or not).
It is useful for you to study not only the residents of the country you are moving to but also the residents of those countries who are moving to the country with you.