Turkey’s emerging economy presents a need for infrastructure investments in various sectors. The main industries include, but are not limited to, construction, residential and non-residential buildings, transportation and energy.
Regarding the infrastructure sector, the government has allocated USD 26 billion in 2013. 30% of this budget is for the transportation sector.
Tremendous government incentives created a pipeline of projects as well as capital for new investments and opportunities for investors.
Turkey also has ambitious targets in the sub-sectors of the infrastructure industry. For example, for the transportation sector, the government plans to increase the length of high speed railway lines to 10,000 km in 2023 from 888 in 2012 km at a CAGR of 25%. For the same time period, highways are expected to reach 7,500 km from 2,236 km.
Project volume: -
With over TL 7 billion spending in 2012, the Istanbul Metropolitan Municipality is one of the largest infrastructure investors in Turkey. Their aim is to maintain the growth of the city, gradually turning it into one of the biggest metropolises in the world. Some upcoming projects include new metro lines, tunnels and other urban renewal projects.
Istanbul Mayor Kadir Topbaş announced on April 20 that eight new metro lines along with a pedestrian sub-sea tunnel are planned to be built in his third term, which he described as his “master term.”
“We have allocated a great part of our investments into transportation and we gave priority to the metro,” said Topbaş, adding that the preparations for eight separate rail systems totaling 100 kilometers in length had been completed and that they would go out to tender in a month.
According to the project, rail systems routes will include: Yenіdoğan-Çekmeköy-Sultanbeylі; Pendіk-Kaynarca-Tuzla; Bağcılar-Kіrazlı-Halkalı; Göztepe-Ataşehіr-Ümranіye; Emіnönü-Alіbeyköy; Sefaköy-Başakşehіr; Başakşehіr-Kayaşehіr and Mahmutbey-Esenyurt, along with Beşіktaş-Sarıyer; Üsküdar-Beykoz and Ayazağa-İstіnye lines.
“With funicular, we are going from Etiler to the Asian sea-side. Istanbul is going towards 1000 kilometers of metro in the future,” said Topbaş, who also talked about the Ataköy-İkіtellі and Bostancı-Dudullu metro lines, which are currently under construction.
Topbaş also touched upon the sub-sea tunnel planned to be laid under the Bosporus Straight between Üsküdar and Kabataş.
Turkey aspires to achieve ambitious goals in its infrastructure sector by 2023.