Siemens Turkey, Chairman and CEO Hüseyin Gelis, stating that they are in Turkey 163 years, "We are in the normal period of 1 year, 5-year plan that we do, we are now passing through each of our 3 month plan. Sometimes we revise it every month. ” Gelis said, "If I say 2019 will go well, it is very optimistic.
Siemens Turkey, Chairman and CEO Hüseyin Gelis, Cumhuriyetanswered the questions of Şehriban Kıraç from.
Siemens Turkey Chairman of the Board and chief executive officer (CEO) and the International Investors Association (YASED) Vice President Hüseyin Gelis, "Any company or investors' today is going super everything in Turkey from you, there is a problem. Everyone in trouble see it, "he said.
They were trying to bring more investment in this process, but investors expect that the period that it also creates a domino effect that vugula Development, problems when it is expressed that Turkey should be told out better.
Kıraç's questions and Gelis's responses to them are as follows:
Financing difficulties
How do you see the light of recent economic developments in Turkey?
Any company or investor is going to get super everything in Turkey today, there is a problem. Turkey's potential did not change anything. It still has young population, entrepreneurship. But today everyone is in trouble. The most important distress is finance. It's got to look good on the details, not just Turkey's problem because most issues. In recent years, the interest rates are very low in abroad, so everyone should let us borrow credit, let's invest in projects. After that, the picture began to change. Interest rates are increasing. They also include country risks. In recent years, companies have been able to pay interest on loans. Then the bankruptcies increased significantly. We need to understand this. Need to go into details, why is it, seasonal?
Most of our clients say they are now focusing more on overseas projects. This is nice. But you are looking at Germany's growth rate will be 0.6 this year. The Brexit process ... This is a very serious thing, because if Europe's strongest economy is not growing, our companies focusing abroad will be affected. I think we can go through the global recession. It is necessary to worry more.
Domino effect
Does Turkey have a serious impact on the global recession?
- We don't live on an island. Turkey is part of the global market. Therefore, if there is a serious problem abroad, it will also affect us. If Turkey is heading towards a global recession in 2019-2020 affected, of course. Turkey's economy will shrink this yıl1.5 said. Zero or 2 percent growth for Turkey, although the recession. so we're talking more investment to bring in Turkey as an investor in this process. Global investors are being careful. They say let's be careful let's wait. This is actually like the domino effect. Everyone is waiting.
We need to talk more
During the crisis, what do you think the government did not anticipate?
- In Turkey, so we had many crises. If there is a risk, it is very important to accept it and communicate accordingly. They do it too. We need to talk more about this issue seriously. Trust is very important. We can get out of this crisis, we've been out before. I see these too. In fact, everyone has to prepare himself. In English, there is such a thing as "best case scenario, worst case scenario". We have to do our planning according to him. Investors are at the waiting stage. Some big projects are running with great courage and they are happening, they are fine.
But I see more investments in the market in this period, more maintenance, service, savings, energy saving projects.
Every month plan
When the investor said in the waiting process, it will take up how long it will wait. What kind of uncertainties do you see when planning for the future?
- We are operating in Turkey since 163 years. We saw the potential of Turkey for her all the time. If we plan 1 year and 5 years in normal periods, now we go over our plans every 3 months. Sometimes it happens every month. There is such a nice aspect of digitalization. You can check the data every day. We make our plans in a shorter period of time, we take action accordingly. We are more careful.
Reflex decisions should not be taken
The concern of investors in Germany in the previous years was security, and now what has it replaced?
- Relations between Turkey and Germany is actually a love. Friends speak honestly, telling the truth. All of the problems between Germany and Turkey Have Solved? No. We still need to talk about it. On some issues, we need to find the solution together. But communication has improved and is improving. Today tourists are coming back to Turkey. More tourists who spend money we want to see in Turkey. Trust is very important, communication is very important. It is very important to give honest information.
The dollar's exchange rate rises abroad when a decision was related to the return to Turkey. 32 decision on the protection of the value of Turkish currency. We, as domestic and foreign investors, have said that we understand the problem, but suddenly everyone is shocked when such a decision is made. We are always afraid of reflex decisions. We want to get together when there are problems. When you suddenly make a decision, even if you fix it later, everyone remains a perception. Just in case something might come off. That's risky. We need to talk more.
Then our government immediately understood the seriousness of this issue. There have been meetings, they wanted to know how to clarify the subject. These are very important to me.
You had thought of producing high-speed train in Turkey, there will be current investment environment?
- We never see ourselves as a foreign company Siemens in Turkey. We see it as a Turkish company of German origin. Over the years, companies operating in Turkey are well aware of Turkey do not see a problem here. But there is a problem in Turkey is more aware of SMEs. They can suddenly change their strategy. We recently saw this in the supply chain, they moved to other countries. We have to bring them back. The important thing here is communication. Turkey needs to tell it better. When there are problems, we need to explain it correctly. Trust is essential.
Fast trains will be produced in Turkey. But the third tender must be done for him. If we take this step, our plan is ready.
We're looking at five years, not one year
You are active in areas such as infrastructure, energy, health, which area do you experience the most in this period?
- In 16 percent of the installed power in the energy sector in Turkey,
- 2018 was bad, what are you predicting this year?
- 2018 was the best year history of Siemens in Turkey. There are two reasons for this. We completed some long-term infrastructure projects in 2018. Secondly, we have secured (Hedging) all the investments we made in foreign currency. But if I say 2019 will go well, it will be a very optimistic thing. We need to be careful every quarter of 2019. It can be a great success if we can keep it at the same level as last year.
-YASED vice president, what steps should be taken to attract investment again?
- We need to listen more to the fact that investors have concerns in Turkey, what are the challenges we can learn. We also raise these issues with working groups with different ministries. We see that our ministers are very keen on this issue. We, as foreign investors, need to understand not only negative sides but also positive sides.
Siemens products and solutions are used in the 30 of total electricity generation. In our energy projects, we have to divide the big, small gas turbines. There are wind projects. In large gas turbines not just in Turkey, we are seeing a reduction from global to. it's high time we look at Turkey's renewable energy potential, but there are also our customers are behaving a little more careful. The reason is always the same financing.
Is there a lack of funding in energy?
- Yes, I see it in energy. Of course we should not stop. We re-evaluate financing opportunities. How can we find financing? Is Turkey's economic situation really so bad? We are discussing it more abroad. It was positive that our President visited Berlin last year. Financing issues were also discussed there. They also analyzed the course they are both risks and opportunities of watching Turkey. These activities should continue. I think the most important thing is to come together and talk, we need to talk about where we are, what problems we have, so that we don't lose that trust.
Which sectors in Turkey will focus on during this period?
- Our healthcare industry is doing well. Siemens Healthineers Turkey, Ankara Hospital founded Europe's largest hospital laboratory. We have the operation of the laboratory. These will continue. The issue of digitalization is increasing. We have 700 engineers in Turkey. We will work for more efficiency projects.
We also focus on transportation projects. In other words, it is the culture of our company. We are not just a year, but the future 5 deals with what the opportunities can be.
2019 will be difficult
2018 was bad, what do you foresee for this year?
- 2018 was the best year history of Siemens in Turkey. There are two reasons for this. We completed some long-term infrastructure projects in 2018. Secondly, we have secured (Hedging) all the investments we made in foreign currency. But if I say 2019 will go well, it will be very optimistic. We need to be careful every quarter of 2019. It can be a great success if we can keep it at the same level as last year.
YASED vice president, what steps should be taken to attract investment again?
- We need to listen more to the fact that investors have concerns in Turkey, what are the challenges we can learn. We also raise these issues with working groups with different ministries. We see that our ministers are very keen on this issue. We, as foreign investors, need to understand not only negative sides but also positive sides.
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