1. MINISTRY OF DEVELOPMENT TURKEY
JANUARY 2015

2. RURAL DEVELOPMENT – RURAL INDUSTRIES
CONTENTS OF PRESENTATION
1- Overview
2- Main goal
3- Policy documents
4- An alternative approach to rural infrastructure
5- Rural industries

8. Relatively poor and less-educated
GENERAL SITUATION
34,000 villages
47,000 sub-villages
Total: 81,000 settlements
11.8 million people
Relatively poor and less-educated

9. MAIN GOAL Develop rural society’s working and living conditions
Improve quality of life in rural areas - reach country averages

10. NATIONAL RURAL DEVELOPMENT STRATEGY (2014-2020)
MAJOR AXES
Rural Economy
(Agricultural-Nonagricultural)
Rural Environment
(Landscape)
Rural Society
(Social Policy)
Rural Settlements
(Infrastructure)
Rural Development Capacity

11. DECENTRALIZED APPROACH TO INFRASTRUCTURE BUILDING
Components
Drinking water
Roads
Small scale irrigation and sewerage

12. District-based annual programming by local authorities (Special Provincial Administrations / Village Service Unions)

13. Total funding allocated for 2005-2014
9,2 billion TL (3.25 billion €)

14. Drinking water projects: 51.405
Safe access to water (by settlements): % %
Road (km)
Constructed: km
Repaired: km
Irrigation (agricultural land – ha):

15. ORGANIZED INDUSTRIAL ZONES and SMALL INDUSTRIAL SITES
Existing
Still in Construction
OIS
Priority Provinces 79 48
Turkey
155 82
SIS
230 9
453 42

16. GENERAL INCENTIVES SYSTEM
Steadily increasing levels of tax cuts and other supports
6 classes of provinces
Socio-economic composite index
(Principal component analysis)
Lesson: Works best for lower level provinces if (!) physically close to traditional industrial centers

17. AGRICULTURE BASED INDUSTRIAL GRANTS

18. LESSONS Infrastructure matters
Industry should be allowed to self-organize at times
General incentives work best for lower level provinces if (!) physically close to traditional industrial centers
Project based cash grants are sometimes the only way

19. Thank you... ibrahim.kuzu@kalkınma.gov.tr ibrahimkuzu@post.harvard.edu