1. 1 132 Rue du Faubourg Saint Denis- 75010 Paris | F. +33 1 40 38 66 95 | ueroglu@fmdv.net

2. 2

3. 3  Great increase per Capital (US$ ) Economic Overview of Turkey

4. 4  Strong GDP Growth Rate Economic Overview of Turkey

5. 5  Greatly Reduced Inflation Economic Overview of Turkey

6. 6  BBB-Turkey is good within the investment grade category category Economic Overview of Turkey Kaynak: Fitch Ratings

7. 7  Domestic Savings Economic Overview of Turkey Kaynak: Fitch Ratings

8. 8 Current Account Deficit Economic Overview of Turkey Kaynak: Fitch Ratings

9. 9  Obligation of Strategic Planning for Local Governments ( According to 5393 Number Law of Municipality since 2009)  Total Consolidated Budget of Municipalities,2009 Revenue Expenditure Net Budget Deficit = 5.749.942.000 TL Financial Environment of Local Governments in Turkey Vergi Gelirleri3.776.080 Teşebbüs ve Mülkiyet Gelirleri10.558.298 Alınan Bağış ve Yardımlar5.860.460 Faizler Paylar ve cezalar19.885.113 Sermaye Gelirleri1.333.119 Alacaklardan Tahsilat1.064.107 Bütçe Gelirleri Hesabı 42.477.177 Personel Giderleri9.531.236 Sosyal Güvenlik Kurumlarına Devlet Primi Giderleri1.483.466 Mal ve Hizmet Alım Giderleri15.468.201 Faiz Giderleri1.453.888 Cari Transferler2.572.886 Sermaye Giderleri15.331.530 Sermaye Transferleri733.087 Borç verme1.652.825 Bütçe Giderleri Hesabı 48.227.119 Kaynak: Muhasebat Genel Müdürlüğü,2011 Bin TL

10. 10 I.The legal and reulatory framework governing local government and the capital markets in Turkey is sufficiently developed to permit the establishment of a sub sovereign bond market. Number 5393 th Municipal Law Number 5018 th Public Fiscal Management Law Number 4749 th Publi Finane & Debt Management Law Number 2499 th Capital Market Board Law Overiew of Financial Infrastructure

11. 11 II.Institutions essential to creation of a sub– soverign bond market are in place. III.The corporate bond market has begun to take off in response to series of financial reforms implemented by the government. IV.Development of an Istanbul International Financial Center which has the capaity to deal in sub-soverign bond is a high priority for the government. Overiew of Financial Infrastructure

12. 12 Getting the Local Economy to Finance the Local Development Technical, Financial, Institutional Capacity and sustainabilty analysis Implementation Funding X project Significant correlations between Local / Public needs and investment Evaluation

13. 13 132 Rue du Faubourg Saint Denis- 75010 Paris | F. +33 1 40 38 66 95 | contact@fmdv.net

14. 14 1. Technical assistance & financial engineering for projects Specifically based on city to city cooperation Currently working on environmentally friendly transportation, urban planning, risks management, urban infrastructure implementations in Antananarivo, Dakar, Guarulhos, Mexico, etc. 2. Dissemination of information on urban financing (technical workshops, publication, seminars) Publication on urban resilience, 4 technical seminars at Africités in Dakar, a speech given during high-level discussions with the United Nations 3. Specific programmes: “REsolutions to Fund Cities” Activities of FMDV

15. REsolutions promotes the World Urban CampaignWorld Urban Campaign REsolutions to Fund Cities Rethinking Economic Solutions to Sustainably Fund Local Development

16. 16 Thank you for your attention! www.fmdv.net Contact: ueroglu@fmdv.net