Azernews.Az

The Türkiye Wealth Fund (TVF), which manages strategic partnerships of state-owned enterprises, has so far invested $13 billion. With 34 companies operating in strategic sectors such as finance, technology, telecommunications, transportation, logistics, energy, mining, food, and agriculture — along with 2 licenses and 46 properties under its umbrella — the Fund holds total assets worth 12.7 trillion Turkish lira. As Türkiye’s largest holding company and the biggest investor on Borsa İstanbul with its publicly listed companies valued at $25 billion, TVF is preparing to celebrate its 10th anniversary.

At a roundtable meeting in Istanbul, Türkiye Wealth Fund CEO Arda Ermut shared insights into the Fund’s contribution to the national economy, its ongoing projects, and its growing global profile. Joined by Deputy CEO Mahmut Kayacık, Ermut emphasized that TVF, with $360 billion in total assets, now ranks among the world’s top ten sovereign wealth funds.

“We have substantial cash reserves,” Ermut noted. “It’s gratifying to see that we’ve transitioned from being a fund that seeks investment opportunities to one that now receives investment offers. We’re getting many proposals from both domestic and international investors, and we are evaluating all of them carefully.”

Providing details on the operations of the Türkiye Technology Fund (TTF) — a venture capital initiative launched from scratch — Ermut said:

“Rather than investing directly in startups, TTF operates as a fund of funds, investing in venture capital and private equity funds. Its mission is to catalyze the development of Türkiye’s capital markets and deepen its entrepreneurship ecosystem. Over the past two years, TTF has committed over $100 million across more than ten funds. These include not only Türkiye-based funds but also well-established, internationally recognized ones.”

Ermut highlighted particular interest in petrochemical and mining investments, noting that Türkiye Maden currently holds 25 licenses.

“Drilling and geological studies totaling 300,000 meters have been completed across four priority sites,” he said. “In Balıkesir’s İvrindi district, we discovered gold reserves worth $2.5 billion, while in Kastamonu’s Taşköprü region, we found high-grade copper deposits. Our goal is to channel all of these resources into the national economy.”

Deputy CEO Mahmut Kayacık noted that the Fund’s equity grew by 16 percent last year, surpassing 2 trillion lira, while 2024 results included 548 billion lira in operating profit and 371 billion lira in net profit.

“Since 2024, TVF has secured $5.3 billion in financing,” Kayacık said. “More than $4.5 billion of this came from international markets, while $1.8 billion was raised through Islamic finance instruments.”

Arda Ermut also underlined efforts to produce domestically the core chemical and plastic raw materials that Türkiye currently imports.

“Türkiye’s average annual import bill for petrochemical products stands at around $25 billion, while domestic production meets less than 10 percent of demand,” he explained. “Land surveys have been completed, and discussions with both domestic and international strategic partners are ongoing.”

Within the framework of the Eastern Mediterranean Petrochemical Project, TVF plans to use approximately 4 million tons of naphtha and 1.3 million tons of LPG annually to produce 4.1 million tons of marketable petrochemical products.

“Once the project, which is planned to be established in the İskenderun Gulf region, is completed, we aim to reduce imports in these product categories by about 50 percent,” Ermut said.

Through these strategic investments, Türkiye Wealth Fund aims to strengthen national industry, reduce import dependency, and elevate Türkiye’s position as a global economic actor on the eve of its 10th anniversary.