b) The registered share certificates
or provisional receipts bearing this guarantee will freely circulate among
persons of all nationalities, both within and outside Turkey. Prior to the
sale of these share certificates or provisional receipts to real persons or
legal entities in Turkey - whether or not new share certificates or
provisional receipts are issued to replace these - they must be submitted
to the Ministry of Finance for cancellation of the guarantees thereon.
Guarantees on Credit Loans
Article 6 - a) The
Ministry of Finance may, by a decision of the Council of Ministers, issue a
guarantee on the principal sum and interest of a foreign credit loan to be
contracted by an enterprise which meets the qualification requirements in
Article 1 of this Law, up to a ceiling of one billion Turkish Liras, and
against counter-guarantees or collateral.
b) Such guarantees shall
automatically be abolished for the repaid portion of the principal or
interest of the loan.
Employment of Foreigners
Article 7 - a) During the
survey, foundation and operation phases of an enterprise established
pursuant to this Law, the terms, conditions and restrictions imposed by
Laws No. 2007 and 2818 shall not apply to foreigners investing in such
enterprises, to foreigners acting as agents or representatives of such
investors, to experts, foremen and to other skilled personnel, for a period
of time which is considered necessary by the Committee tor the efficient
establishment, expansion or operation of the business or for it to be
restored for activity.
b) The above provision
shall also apply to foreign experts, foremen and other skilled or trained
personnel to be employed by domestic enterprises, provided that such
enterprises are accepted by the Committee as meeting the conditions set
forth in Article 1 of this Law.
c) Foreigners to be
employed in accordance with the terms and provisions of this Article may
for the purpose of providing subsistence to their immediate families or
accumulating normal and reasonable savings, transfer abroad such parts of
their earnings as shall be duly specified in their employment contracts, in
the currencies of their countries of origin and subject to conversion at
the current rates of exchange subject to obtaining in advance the Ministry
of Finance's approval.
Committee for the
Promotion of Foreign Investment
Article 8 - a) With the
aim of implementing the provisions of this Law, a Committee has been
established under the Chairmanship of the General Director of the Turkish
Central Bank. This Committee consists of the General Director of the
Treasury, General Director of Internal Trade, General Director of
Industrial Affairs, the head of the Research and Planning Department in the
Ministry of State Administration and the General Secretary of the Union of
Chambers of Commerce, Industry and Commodity Exchanges, in cases where it
is deemed necessary, the Committee may consult other ministries, as well as
the representatives of other institutions. The issues submitted to the
Committee shall be decided upon within 15 days from the date of submission
to the Committee.
The General Director of
Internal Trade shall act as the General Secretary of the Committee and in
cases when it is deemed necessary, the General Secretary may convene the
Committee for meetings.
The remuneration to be
paid to the Chairman and members of the Committee shall be determined by
the Council of Ministers.
b) Appeals to be raised
against the Committee's decision must be carried out within 30 days from the
date when the decision is announced to the parties concerned. Appeals must
also be directed to the Minister of Finance, the Minister of the Economy
and Commerce, and the Minister of State Administration. The decisions
issued by these officials are final.
Article 9 - a) The
Ministry of the Economy and Commerce is responsible for the implementation
of this Law.
b) Upon the decision to be
taken by the Committee, the Ministry of the Economy and Commerce shall
issue orders to the relevant Customs Office regarding the importation of
the real capital into the country.
Equal Treatment For
Domestic and Foreign Capital
Article 10 - All rights,
exemptions, privileges and facilities recognised for domestic capital and
enterprises shall be equally applicable to foreign capital and foreign
enterprises engaged in comparable fields of business.
Article 11 - a) All rights
granted to persons engaged in investment activities in accordance with
Article 31 of Decree No. 13 issued under the authority of Law No. 1567 and
Laws No. 5583 and 5821, are reserved.
b.) All investments
realized pursuant to Law No. 5821 in the period between 1 August 1951 and
the date when this law comes into force shall benefit from the provisions
granted by this Law.
Repeal of the Former Law
Article 12 - Law No. 5821
is hereby repealed.
Coming into Force
Article 13 - This law
shall come into force on the date of its publication.
Article 14 - The Council
of Ministers is entrusted with the enforcement of this law. Top
