Turkey moves to create new defence industry investment fund

Turkey is moving to develop a new investment fund to build partnerships and provide support to companies in the defence sector, pro-government Daily Sabah reported on Sunday. 

Ismail Demir, the head of Turkey’s Presidency of Defence Industries (SSB), made the announcement during a meeting of industry officials in eastern Elazığ province. Demir explained the purpose of the fund as a vehicle to help entrepreneurs with financing and support.

"I hope we will announce this soon and we will support our entrepreneurs and investors as soon as possible," Daily Sabah cited Demir as saying.

"With our industrial efficiency support program, we will evaluate various companies and inform them about what needs to be done to improve themselves, and we will discuss various support approaches in this regard," he added.

The SSB, Demir said, annually provides $17.87 million in support to an array of firms and enterprises across the defence sector. He added that Turkey’s looking to increase its revenue from increased exports of military goods. 

This could be constrained however by sanctions from the United States that prevent exports of military equipment that use U.S-made components. These sanctions are a result of sanctions imposed for Turkey’s purchase of the S-400 missile system from Russia in July 2019.