Turkey to receive Qatari capital worth $5B


Turkey's Azure Group and one of the five biggest Qatari families have agreed to jointly establish a new company and investment fund, Azure Group Chairman Erkan Gül announced yesterday.

The new company, which will be based in Doha and carry out operations under the name of AzureMana, is expected to attract new Qatari capital to Turkey.

"Through this fund that boasts almost $5 billion in Qatari capital, we have initiated a very intensive trade association between Turkey and Qatar," Gül said.

In a statement Azure Group underlined the fact that there has been an extraordinary increase in demands to invest in Turkey, especially following President Recep Tayyip Erdoğan's talks.

Emphasizing that future investments in Turkey will continue to grow in different sectors, from the purchase of real estate and companies to food and construction materials trade, Gül said Azure Group enables Western construction, logistics, and cargo companies to maintain their presence in Middle Eastern countries like Iraq and Syria.

He stressed that the civil war and wave of terrorism that have hit Turkey's neighbors have dealt a blow to regional trade.

"Many western companies have stopped trade and transportation to countries like Syria, Iraq, and Afghanistan because of terrorism. Azure Group, which serves in 16 countries, has become a lifesaver for many Turkish and Western companies. It has enabled continued trade in Iraq and Syria by making deliveries in regions that cannot be entered because of war and terrorism," he said.

Turkey seventh in Qatari investments

As Qatar invests across the globe in different sectors, Turkey has become the seventh biggest destination of funds from the tiny Gulf nation.

Qatar entered the Turkish banking sector in 2013 when Commercial Bank of Qatar acquired a 71-percent stake in Turkey's Abank for $460 million. At the end of 2016, the bank paid another $224 million to acquire the remaining shares.

Also in 2016, Qatar National Bank (QNB) acquired 99.81 percent of Finansbank for 2.75 billion euros while Qatari broadcast giant beIN Media Group bought Turkish satellite provider Digitürk for $1.4 billion.

In April 2015, Qatari investment fund Mayhoola for Investments LLC bought a 30.7 percent stake in Turkish retailer Boyner Perakende for TL 885 million ($257.24 million). In March, Boyner Holding A.Ş. signed a contract to sell 12 percent of Boyner Perakende's issued capital to Qatari Investment fund Mayhoola for TL 173.1 million.

In April, Vice Chairman of Qatar's Chamber of Commerce and Industry said that the total amount of Qatari investment in Turkey currently stood at around $18 billion.