COMMISSION STAFF WORKING DOCUMENT TURKEY 2012 PROGRESS REPORT accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Enlargement Strategy and Main Challenges 2012-2013
Date: 2012-10-10
Institutions: European Commission
Subjects: Community acquis, Türkiye, accession criteria, economic reform, political reform

EUROPEAN 
COMMISSION 

Brussels, 10.10.2012  
SWD(2012) 336 final 

COMMISSION STAFF WORKING DOCUMENT 

TURKEY 
2012 PROGRESS REPORT 

accompanying the document 

COMMUNICATION FROM THE COMMISSION 
TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 

Enlargement Strategy and Main Challenges 2012-2013 

{COM(2012) 600 final}

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TABLE OF CONTENTS 

Introduction .................................................................................................................. 4 

Preface.......................................................................................................................... 4 

Context ......................................................................................................................... 4 

Relations between the EU and Turkey......................................................................... 4 

Political criteria and enhanced political dialogue ........................................................ 6 

Democracy and the rule of law .................................................................................... 7 

Human rights and the protection of minorities .......................................................... 18 

Regional issues and international obligations ............................................................ 35 

Economic criteria ....................................................................................................... 37 

The existence of a functioning market economy ....................................................... 37 

The capacity to cope with competitive pressure and market forces within the Union
.................................................................................................................................... 41 

Ability to take on the obligations of membership...................................................... 43 

Chapter 1: Free movement of goods .......................................................................... 43 

Chapter 2: Freedom of movement for workers .......................................................... 46 

Chapter 3: Right of establishment and freedom to provide services ......................... 46 

Chapter 4: Free movement of capital ......................................................................... 47 

Chapter 5: Public procurement................................................................................... 48 

Chapter 6: Company law............................................................................................ 50 

Chapter 7: Intellectual property law........................................................................... 50 

Chapter 8: Competition policy ................................................................................... 52 

Chapter 9: Financial services ..................................................................................... 52 

1. 

1.1. 

1.2. 

1.3. 

2. 

2.1. 

2.2. 

2.3. 

3. 

3.1. 

3.2. 

4. 

4.1. 

4.2. 

4.3. 

4.4. 

4.5. 

4.6. 

4.7. 

4.8. 

4.9. 

4.10.  Chapter 10: Information society and media ............................................................... 53 

4.11.  Chapter 11: Agriculture.............................................................................................. 55 

4.12.  Chapter 12: Food safety, veterinary and phytosanitary policy .................................. 56 

4.13.  Chapter 13: Fisheries.................................................................................................. 57 

4.14.  Chapter 14: Transport policy ..................................................................................... 58 

4.15.  Chapter 15: Energy .................................................................................................... 60 

4.16.  Chapter 16: Taxation.................................................................................................. 62 

4.17.  Chapter 17: Economic and monetary policy.............................................................. 63 

4.18.  Chapter 18: Statistics.................................................................................................. 64 

4.19.  Chapter 19: Social policy and employment ............................................................... 64 

4.20.  Chapter 20: Enterprise and industrial policy.............................................................. 67 

4.21.  Chapter 21: Trans European Networks ...................................................................... 68 

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4.22.  Chapter 22: Regional policy and coordination of structural instruments .................. 69 

4.23.  Chapter 23: Judiciary and fundamental rights ........................................................... 70 

4.24.  Chapter 24: Justice, freedom and security ................................................................. 75 

4.25.  Chapter 25: Science and research .............................................................................. 79 

4.26.  Chapter 26: Education and culture............................................................................. 80 

4.27.  Chapter 27: Environment and climate change ........................................................... 82 

4.28.  Chapter 28: Consumer and health protection............................................................. 84 

4.29.  Chapter 29: Customs Union ....................................................................................... 85 

4.30.  Chapter 30: External relations.................................................................................... 86 

4.31.  Chapter 31: Foreign, Security and Defence Policy.................................................... 87 

4.32.  Chapter 32: Financial control..................................................................................... 89 

4.33.  Chapter 33: Financial and budgetary provisions........................................................ 91 

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1. 

INTRODUCTION 

1.1. 

Preface 

Following  the  conclusions  of  the  Luxembourg  European  Council  in  December  1997,  the 
Commission has reported regularly to the Council and the Parliament. 

This report on progress made by Turkey in preparing for EU membership largely follows the 
same structure as in previous years. The report: 

briefly describes the relations between Turkey and the Union; 

analyses the situation in Turkey in terms of the political criteria for membership; 

analyses the situation in Turkey on the basis of the economic criteria for membership; 

reviews  Turkey’s  capacity  to  take  on  the  obligations  of  membership,  that  is  the  acquis 

expressed in the Treaties, the secondary legislation and the policies of the Union. 

This report covers the period from October 2011 to September 2012. Progress is measured on 
the  basis  of  decisions  taken,  legislation  adopted  and  measures  implemented.  As  a  rule, 
legislation or measures which are being prepared or awaiting parliamentary approval have not 
been taken into account. This approach ensures equal treatment across all reports and permits 
an objective assessment. 

The report is based on information gathered and analysed by the Commission. Many sources 
have  been  used,  including  contributions  from  the  government  of  Turkey,  the  EU  Member 
States,  European  Parliament  reports1  and  information  from  various  international  and  non-
governmental organisations. 

The Commission draws detailed conclusions regarding Turkey in its separate communication 
on enlargement2, based on the technical analysis contained in this report. 

1.2. 

Context 

The  Helsinki  European  Council  of  December  1999  granted  Turkey  the  status  of  candidate 
country. Accession negotiations with Turkey were opened in October 2005. 

The  Association  Agreement  between  Turkey  and  the  then  EEC  was  signed  in  1963  and 
entered into force in December 1964. Turkey and the EU formed a customs union in 1995. 

1.3. 

Relations between the EU and Turkey 

The  Positive  Agenda  endorsed  by  the  Council  in  December  2011  was  launched.  It  aims  to 
support  and  to  complement  the  accession  negotiations  through  enhanced  cooperation  in  a 
number  of  areas  of  joint  interest:  political  reforms,  alignment  with  the  acquis,  dialogue  on 
foreign  policy,  visas,  mobility  and  migration,  trade,  energy,  counter  terrorism  and 
participation in Community programs. Eight working groups aimed at encouraging alignment 
with  the  acquis  were  set  up  and  six  of  them  had  their  first  meeting.  The  Commission  will 
assess  whether  Turkey  has  met  the  benchmarks  and  inform  Turkey  and  the  Member  States 
accordingly.  

The Council invited the Commission to take steps towards visa liberalisation as a gradual and 
long-term  perspective,  in  parallel  with  the  signing  of  the  readmission  agreement  between 
Turkey  and  the  EU  which  was  initialled  in  June.  It  is  now  crucial  that  Turkey  signs  the 

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2 

The rapporteur for Turkey is Mrs Oomen-Ruijten. 
Enlargement Strategy and Main Challenges 2012-2013, COM(2012) 600. 

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readmission agreement to allow for a proper roadmap to be finalised, effectively starting the 
process.  

With a view to Turkey’s further development as a potential energy hub and given the common 
challenges it shares with the EU, Turkey and the Commission also decided to enhance their 
cooperation on a number of important energy issues.  

To prepare for accession negotiations, Turkey’s readiness to start negotiations on individual 
chapters was assessed on the basis of screening reports. Out of a total of 33 screening reports, 
nine are pending in the Council while one has yet to be delivered. 

So far, negotiations have been opened on 13 chapters (Science and research; Enterprise and 
industry;  Statistics;  Financial  control;  Trans-European  networks;  Consumer  and  health 
protection;  Intellectual  property  law;  Company  law;  Information  society  and  media;  Free 
movement of capital; Taxation; Environment; and Food safety, veterinary and phytosanitary 
policy), one of which (Science and research) was provisionally closed. The December 2006 
Council decision3 remains in force. 

The  enhanced  political  dialogue  between  the  EU  and  Turkey  has  continued.  Political 
dialogue  meetings  were  held  at  ministerial  level  in  March  and  June  2012  and  at  political 
directors’  level  in  February  2012.  These  meetings  focused  on  the  main  challenges  faced  by 
Turkey in terms of the Copenhagen political criteria and reviewed the progress made towards 
fulfilling  Accession  Partnership  priorities.  Foreign  policy  issues  relating  to  regions  of 
common  interest  to  the  EU  and  Turkey,  such  as  North  Africa,  the  Middle  East,  Western 
Balkans,  Afghanistan/Pakistan  and  the  Southern  Caucasus,  were  also  regularly  discussed. 
Turkey has become increasingly active in its wider neighbourhood and is a leading regional 
player.  The  Council  acknowledged  the  influential  regional  role  of  Turkey  in  supporting 
reform, including with regard to recent developments in North Africa. Turkey has also been 
vocal  on  Syria,  condemning  strongly  and  repeatedly  the  regime’s  violence  against  civilians 
and providing vital humanitarian assistance to nearly 100,000 Syrians who fled the country. A 
number of high-level visits to the European institutions took place during the reporting period. 

Turkey decided to freeze its relations with the Presidency of the Council of the EU during the 
second  half  of  2012  and  not  to  attend  meetings  chaired  by  the  Cyprus  EU  Presidency.  The 
European  Council  expressed  serious  concerns  with  regard  to  Turkish  statements  and  threats 
and  called  for  full  respect  for  the  role  of  the  Presidency  of  the  Council,  which  is  a 
fundamental institutional feature of the EU provided for in the Treaty. 

Progress on the reform priorities is encouraged and monitored by the bodies set up under the 
Association Agreement. The Association Committee met in April 2012 and the Association 
Council in June 2012. Eight sectoral sub-committee meetings have been held since November 
2011.  

The  multilateral  economic  dialogue  between  the  Commission,  EU  Member  States  and 
Candidate Countries in the context of pre-accession fiscal surveillance continued, including a 
meeting at ministerial level in May in Brussels.  

The  EU-Turkey  Customs  Union  continues  to  boost  bilateral  trade  between  the  EU  and 
Turkey, which totalled € 120 billion in 2011. Turkey is the EU’s sixth biggest trading partner 
while the EU is Turkey’s biggest. A bit less than half of Turkey’s total trade is with the EU 
and almost 75% of foreign direct investment flows in Turkey, with a strong high-technology 

3 

The  decision  stipulates  that  negotiations  will  not  be  opened  on  eight  chapters  relevant  to  Turkey’s 
restrictions  regarding  the  Republic  of  Cyprus  and  no  chapter  will  be  provisionally  closed  until  the 
Commission  confirms  that  Turkey  has  fully  implemented  the  Additional  Protocol  to  the  Association 
Agreement. 

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component,  comes  from  the  EU.  However,  Turkey  is  not  implementing  the  Customs  Union 
fully and maintains legislation that violates its commitments under the Customs Union. As a 
result,  several  trade  issues  remain  unresolved.  A  number  of  Turkey’s  commitments  on 
removing  technical  barriers  to  trade  remain  unfulfilled,  in  areas  such  as  import  licences, 
restrictions on imports of goods from third countries in free circulation in the EU, State aid, 
enforcement  of  intellectual  property  rights,  requirements  for  the  registration  of  new 
pharmaceutical  products  and  discriminatory  tax  treatment.  The  Commission  is  launching  an 
external  evaluation  to  assess  the  strengths  of  the  Customs  Union  as  implemented  so  far,  its 
weaknesses (or limitations) and the opportunities arising from its possible modernisation. The 
EU  urged  Turkey  to  remove  all  remaining  restrictions  on  the  free  movement  of  goods, 
including on means of transport regarding Cyprus, and to implement the Customs Union fully. 

As  regards  financial  assistance,  € 856  million  have  been  earmarked  for  Turkey  from  the 
Instrument  for  Pre-accession  Assistance  (IPA)  for  2012.  In  line  with  the  Multiannual 
Indicative  Planning  Document  (MIPD)  for  2011-2013  importance  has  been  given  to  further 
advance a sector-based approach which aims to better focus assistance on political priorities. 
Support is focused on institutions directly concerned by political reforms in the judiciary and 
law enforcement services, on adoption and implementation of the acquis in priority areas and 
on economic, social and rural development. In addition, Turkey is benefiting from a series of 
regional and horizontal programmes under IPA.  

IPA assistance is subject to decentralised management, which means that it is managed by the 
Turkish authorities following an accreditation process carried out by the Commission. In 2012 
progress  was  made  with  regard  to  strengthening  the  institutional  framework  for  IPA 
Components as the accreditation process has been finalised for the Operating Structures in the 
areas  of  Regional  Competitiveness  and  Human  Resources  Development  programmes. 
Nevertheless, delays in the implementation of IPA assistance continued to occur and Turkey 
needs to further strengthen its administrative capacity to address weaknesses in adopting the 
sector  approach  in  programming,  to  speed  up  the  implementation  process,  to  improve  the 
quality of programmes and projects and to avoid loss of funds. 

Support  to  civil  society  continues  with  the  implementation  of  previously  programmed  EU 
financial  assistance  for  civil  society  capacity  building  and  civil  society  dialogue  between 
Turkey  and  the  EU,  both  under  the  national  programme  and  the  Civil  Society  Facility.In 
parallel  an  impact  assessment  of  EU-Turkey  Civil  Society  Dialogue  was  launched  to  draw 
conclusions for future assistance in this area. 

Turkey  actively  participates  in  the  following  EU  Programmes  and  Agencies:  the  Seventh 
Research  Framework  Programme,  Customs  2013,  Fiscalis  2013,  the  European  Environment 
Agency,  the  Competitiveness  and  Innovation  Framework  Programme  (including  the 
Information  Communication 
Entrepreneurship  and 
Technologies  Policy  Support  Programme),  Progress,  Culture  2007,  Lifelong  Learning  and 
Youth in Action. IPA funds are used to meet part of the costs of participation in most of these 
programmes. Turkey has not yet completed ratification for the agreement on its participation 
in the European Monitoring Centre for Drugs and Drug Addiction. 

Innovation  Programme  and 

the 

2. 

POLITICAL CRITERIA AND ENHANCED POLITICAL DIALOGUE 

This  section  examines  progress  made  by  Turkey  towards  meeting  the  Copenhagen  political 
criteria, which require stability of institutions guaranteeing democracy, the rule of law, human 
rights  and  respect  for  and  protection  of  minorities.  It  also  monitors  compliance  with 
international  obligations,  regional  cooperation  and  good  neighbourly  relations  with 
enlargement countries and Member States. 

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2.1. 

Democracy and the rule of law  

Work  on  a  new  constitution  started  and  a  democratic  and  participatory  process  was  put  in 
place. The rest of political life was characterised by limited dialogue and frequent tensions.  

Trials  of  the  alleged  deep-state  criminal  network  Ergenekon  and  the  ‘Sledgehammer’  trial 
concerning an alleged coup plan continued. In the ‘Sledgehammer’ trial a first instance court 
on 21 September sentenced a total of 324 suspects (out of 365), including three former army 
commanders, to 13-20 years on charges of attempting to remove or prevent the functioning of 
the  government  through  force  and  violence.  The  Court  handed  down  mass  verdicts.  The 
judicial process is on-going. In the Ergenekon case, according to official data, the number of 
defendants has risen to 279, of whom 65 are under arrest. The landmark trial of the 1980 coup 
perpetrators, made possible by amendments to the constitution in 2010, began in April 2012. 
Investigations  into  military  intervention  in  politics,  including  the  28  February  ‘Postmodern 
Coup’ of 1997 followed. The armed forces’ former chief of staff was arrested in January 2012 
on  charges  of  attempting  to  overthrow  the  government  and  of  membership  of  a  terrorist 
organisation. 

Concerns persisted over the rights of the defence, lengthy pre-trial detention and excessively 
long  and  catch-all  indictments,  leading  to  significantly  enhanced  public  scrutiny  of  the 
legitimacy  of  these  trials.  Offering  a  chance  to  strengthen  confidence  in  the  proper 
functioning  of  Turkey’s  democratic  institutions  and  the  rule  of  law,  these  cases  have  been 
overshadowed  by  real  concerns  about  their  wide  scope  and  the  shortcomings  in  judicial 
proceedings. Moreover, they tend to contribute to the polarisation of Turkish politics. 

Judicial proceedings need to be speeded up to ensure the rights of the defence and to promote 
transparency  in  these  cases.  Investigations  tend  to  expand  rapidly;  the  judiciary  accepts 
mainly evidence collected by the police only, or supplied by secret witnesses.  

In  July  2012,  404  active-duty  military  personnel  were  involved  in  on-going  court  cases  as 
suspects, 207 of whom were in detention, among whom a former Chief of General Staff.  

The  Kurdish  issue  remains  a  key  challenge  for  Turkey’s  democracy.  A  meeting  was  held 
between the Prime Minister and the leader of the main opposition party CHP on the initiative 
of the latter, looking for opportunities to make progress on the Kurdish issue. There was no 
follow-up.  The  2009  democratic  opening,  aimed  at  addressing  amongst  others  the  Kurdish 
issue, was not followed through.  

Turkey suffered a significant increase in terrorist attacks by the PKK, which is on the EU list 
of terrorist organisations. The attacks were strongly condemned by the EU.  

The investigation into the Union of Communities of Kurdistan (KCK), the alleged urban wing 
of  the  PKK,  significantly  expanded.  Increasing  numbers  of  BDP-affiliated  Kurdish 
politicians,  locally  elected  mayors  and  members  of  municipal  councils  were  detained, 
adversely affecting regional and local democracy. 

The killing of 34 civilians in Uludere (Şırnak) in a military air strike in December 2011, and 
the absence of a transparent public inquiry into the events, also damaged confidence. There 
has been no discussion of political responsibility.  

Due attention needs to be paid to upholding the rule of law in the anti-KCK investigation and 
to  ensuring  that  an  effective  and  transparent  public  inquiry  into  the  Uludere  air  strike  takes 
place.  Revision  of  the  constitution  provides  an  opportunity  to  address  a  number  of  long-
standing problems in Turkey, in particular the Kurdish issue. 

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Constitution 

Work  on  a  new  constitution  started  with  the  setting  up  of  a  Constitution  Conciliation 
Committee, following inter-party agreement on equal representation and a decision to avoid 
setting  preconditions  for  the  substance  of  a  new  text.  The  committee  is  composed  of  three 
members from each of the four political groups in parliament. Its working principles reflect a 
commitment to inclusiveness and consultation and provide for unanimity in decision-making 
and termination of the committee’s mandate if any one party withdraws.  

The  Conciliation  Committee  held  public  consultations  with  a  broad  range  of  stakeholders 
between  November  2011  and  April  2012  to  receive  the  views  of  political  parties  not 
represented  in  parliament,  of  state  bodies,  professional  associations,  trade  unions  and  non-
governmental organisations. For the first time ever, representatives of non-Muslim minorities 
were  officially  received  by  parliament.  Members  of  the  committee  also  took  part  in  public 
events  around  Turkey  organised  by  civil  society  platforms.  A  website  was  set  up  to  gather 
written  opinions,  returning  over  25,000  contributions.  An  abundance  of  local  and  national 
civic initiatives also ensured lively debate among citizens and in the media.  

However,  it  is  unclear  what  the  follow-up  of  the  committee’s  work  will  be.  The  current 
Constitution (Article 175) only provides for amendment of the existing text. There are some 
limits on transparency, with submissions to the committee by civil society and others removed 
from or not published on the internet.  

Regarding the substance of the constitution, the key challenges to consensus include views on 
the  separation  of  powers,  state-society-religion  relations  and  the  Kurdish  issue  (citizenship, 
use of the mother-tongue, and decentralisation). The BDP was the only political party to take 
a  firm  position  when  it  presented  a  detailed  note  on  the  fundamental  rights  and  freedoms 
chapter  in  July.  The  possibility  of  introducing  a  presidential  or  semi-presidential  system  of 
government was debated.  

Further progress in implementing the 2010 constitutional amendments has been limited. The 
law  on  civil  servants’  trade  unions  was  amended  to  include  provisions  on  their  right  to 
collective  bargaining,  while  laws  on  collective  bargaining,  strikes  and  lockouts  for  private 
sector  employees  and  the  establishment  and  duties  of  the  Ministry  of  Justice,  Protection  of 
Personal Data and military justice are still pending.  

Overall, positive steps have been taken in terms of work on a new constitution. A democratic 
and participatory process has been put in place, albeit with some limitations on transparency. 
The new constitution should cement the stability of institutions guaranteeing democracy, the 
rule  of  law,  human  rights  and  respect  for  and  protection  of  minorities  and  address  long-
standing  problems,  in  particular  the  Kurdish  issue.  Maintaining  a  spirit  of  compromise  and 
ensuring  the  broadest  possible  consultation  remain  key  for  the  legitimacy  of  a  new 
constitution. Further progress in implementing the 2010 constitutional amendments has been 
limited.  

Parliament  

The  new  parliament  convened  on  1  October  2011  with  all  parties  represented,  following  a 
protracted oath-taking crisis over the courts’ refusal to release eight MPs-elect from pre-trial 
detention. Work on political reforms and the parliament’s ability to perform its key functions 
of law-making and oversight of the executive continues to be hampered by the persistent lack 
of dialogue and spirit of compromise among political parties.  

The  CHP  proposed  a  legislative  amendment  to  the  Code  on  Criminal  Procedures  to  set  the 
MPs-elect  free;  it  was  not  supported  by  the  majority.  An  initiative  of  the  Speaker  of  the 
parliament to seek consensus among the four political groups on a possible legal solution to 

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the issue did not produce results. Courts rejected the petition of the MP’s elect for release on 
probation pending trial, submitted further to the adoption of the third judicial reform package 
in July.  

The overall scope of parliamentary immunity remains wide, except in cases concerning MPs 
freedom of expression, which are subject to a restrictive interpretation of the Constitution (in 
particular  Article  14).  This  continues  to  be  an  issue  of  concern.  A  total  of  740  requests  by 
prosecutors for the lifting of parliamentary immunity are pending, concerning a total of 101 
members  of  parliament,  the  majority  concerning  the  BDP-bloc.  A  BDP-affiliated  MP-elect, 
whose conviction to two years imprisonment for a speech pronounced 6 years ago was upheld 
by the Court of Cassation, risks permanently losing his seat once the Parliament speaker sets 
in motion the applicable procedures following such a ruling.  

Insufficient  preparation  and  consultation  prior  to  the  adoption  of  key  legislation  triggered 
strong criticism. This included the new education law, a law on caesarean section deliveries, a 
law  granting  immunity  from  judicial  scrutiny  to  intelligence  officers  and  public  officials 
assigned specific tasks by the Prime Minister and the abolition of the Serious Crimes Courts.  

Regarding  the  legislative  framework,  a  law  to  facilitate  out-of-country  voting—  targeting 
around  2.5  million  Turkish  voters  residing  mainly  in  the  EU  —  was  adopted.  No  further 
important  changes  were  made  to  the  electoral  system.  The  10%  national  threshold  for 
obtaining  seats  in  parliament  remains  the  highest  among  Council  of  Europe  member  states. 
There has been no progress in aligning the law on the closure of political parties or laws on 
the financing of political parties and election campaigns with European standards.  

Concerning the functioning of parliament, the representation of all mainstream political views 
following the June 2011 elections and its lead role in work on a new constitution increased the 
profile of the parliament. An ad hoc committee was set up by consensus among the four main 
political groups to investigate all coups in the history of the Republic; further parliamentary 
committees were created to probe the 28 February ‘Postmodern Coup’ and the alleged state 
violence  in  Tunceli  (Dersim)  in  1937-38,  and  to  inquire  into  the  Uludere  incident  in 
December 2011.  

The  Human  Rights  Inquiry  Committee  heard  numerous  experts  including  prominent  Kurds 
while  examining  human  rights  violations  linked  to  terrorism  and  the  fight  against  terrorism 
(through the Sub-Committee on Investigating Violations of Right to Life within the Scope of 
Acts of Terrorism and Violence).  

Several important pieces of legislation were adopted, in particular laws on the protection of 
family  and  prevention  of  violence  against  women,  probation,  collective  bargaining  for  civil 
servants, the Ombudsman Institution and the national human rights institution. Nevertheless, 
in none of these cases did improvements fully bring the necessary alignment with the acquis 
or  with  European  standards.  The  EU  Harmonisation  Committee  remains  an  auxiliary 
committee with a limited mandate and ability to scrutinise legislation.  

The  parliament’s  role  in  addressing  key  policy  challenges  continues  to  be  limited.  Further 
efforts are needed to achieve systematic consultation with civil society and other stakeholders 
throughout  the  process.  There  was  no  progress  in  improving  the  parliament’s  capacity  to 
monitor performance and audit public expenditure, including defence expenditure, despite the 
improvement in the overall legal framework with the entry into force of the new Law on the 
Turkish Court of Accounts (TCA) in 2011.  

The  law  on  the  administrative  organisation  of  parliament  was  amended  in  December  2011, 
partly to transfer responsibility for the parliament’s security from the military to the police. A 
proposal to set up a parliamentary legislative academy to strengthen expertise was approved. 

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However, more comprehensive reform of the rules and procedures was abandoned, including 
key elements such as the introduction of planning for the legislative agenda and strengthening 
the  oversight  role  of  the  committee  system.  Few  of  the  capacity  concerns  identified  by  the 
2010 Parliament/SIGMA peer review have so far been addressed. 4 

Overall, the parliament’s involvement in addressing key policy challenges improved on a few 
selective topics. However, proper functioning of the parliament, including the parliamentary 
committees,  based  on  dialogue  among  all  parties,  has  yet  to  be  ensured.  Despite 
improvements,  capacity  constraints  remain,  in  particular  with  regard  to  public  financial 
management  of  military  expenditure.  Due  attention  needs  to  be  paid  to  reform  of  the 
legislative framework, particularly the laws on elections and political parties and parliament’s 
rules  and  procedures,  to  strengthen  parliament’s  ability  to  perform  its  key  tasks  including 
oversight of the executive. Consultation of civil society remains the exception rather than the 
rule.  

President  

The President stressed the need for a new constitution and expressed concern over the arrest 
of journalists, maintaining a conciliatory role across Turkey’s political spectrum in carrying 
out his functions.  

The January 2012 Law on Presidential Elections and the June Constitutional Court ruling on 
the  same  issue  ended  a  long-time  controversy  over  the  mandate  of  President  Gül. 
Accordingly, the incumbent president’s term in office is seven years and he is eligible for re-
election. The term of office of the new President — to be directly elected in 2014 — will be 
five years, renewable for one additional term.  

Government  

In its Annual Plan for 2012 and its Medium-Term Programme for 2012-2013 the government 
committed  itself  to  further  democratisation  and  political  reforms  through  work  on  a  new 
constitution  intended  ‘to  meet  the  aspirations  and  demands  of  a  modern  democracy  and 
represent  the  interests  of  all  citizens  of  Turkey’.  Judicial  reform  and  the  normalisation  of 
civilian-military relations remain priorities of the government.  

The  government  continued  to  reiterate  its  commitment  to  EU  accession  and  frequently 
criticised  the  political  stalemate  in  the  accession  negotiations.  The  ministerial  Reform 
Monitoring Group met twice.  

In a significant symbolic gesture in November 2011, the Prime Minister expressed readiness 
to  account  for  crimes  carried  out  by  the  state  in  the  predominantly  Kurdish  Alevi  region  of 
Tunceli (Dersim) in 1937-38.  

However,  there  has  been  no  discussion  of  political  responsibility  regarding  the  Uludere 
incident and  rhetoric on a new government strategy for the Kurdish issue has not translated 
into progress towards a political solution. (See Situation in the east and south-east)  

Key legislation was adopted with insufficient preparation and consultation, triggering strong 
criticism. 

Members  of  the  government  reacted  virulently  to  criticism  voiced  by  the  media  or  civil 
society,  and  brought  court  cases  on  a  number  of  occasions,  for  instance  when  criticised  for 
supposed nationalist tendencies. 

4 

http://www.tbmm.gov.tr/yayinlar/sigma_report_final_eng.pdf 

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There  was  little  progress  on  devolving  powers  to  local  government.  Administrative 
decentralisation has not been addressed; in fact, decree-laws issued in 2011 provide for the re-
centralisation of some powers, mainly in the fields of land use planning and urban renewal. 
City  councils,  designed  to  encourage  citizens’  participation  in  local  government,  functioned 
effectively in only a limited number of cities.  

There was no progress on removing administrative tutelage and allowing the use of languages 
other  than  Turkish  in  the  provision  of  public  services  as  recommended  by  the  Council  of 
Europe’s Congress of Local and Regional Authorities, and the courts ruled inconsistently on 
the use of more than one language by municipal authorities. Despite several non-prosecution 
and  acquittal  decisions,  judicial  proceedings  against  mayors  and  municipal  councils  for  the 
use of languages other than Turkish in the provision of services were reported. The Ministry 
of  the  Interior  provisionally  suspended  55  local  government  representatives,  including  the 
elected mayors of Van, Şırnak, Silopi, İdil, Uludere and Cizre, alongside several members of 
municipal and provincial assemblies detained in anti-KCK operations. In one case – Siirt – a 
mayor’s  dismissal  was  suspended  following  the  entry  into  force  of  the  third  judicial  reform 
package (See Situation in the east and south-east)  

Overall,  the  government  committed  itself  to  further  democratisation  and  political  reforms 
through work on a new constitution. However, key legislation was presented and adopted with 
insufficient preparation and consultation. In incidents such as the Uludere killings of civilians, 
calls on the authorities for effective and swift investigation and a transparent public inquiry 
have  not  been  met.  Local  government  in  the  south-east  suffered  from  the  detention  of 
numerous local politicians. Further efforts are needed on administrative decentralisation. 

Public administration  

After  consultation  with  the  European  and  other  Ombudsmen  the  Law  on  the  Ombudsman 
Institution  was  adopted  on  14  June.  The  law  provides  that  the  Institution  is  answerable  to 
parliament  and  that  no  one  shall  issue  instructions  to  it.  The  Ombudsman  Institution  has  a 
Head Ombudsman and a maximum of five Ombudsmen, a secretary general and staff, and a 
separate  budget.  Local  offices  throughout  the  country  can  be  established.  The  Head 
Ombudsman is elected by parliament in up to four rounds of voting; in the fourth, he or she is 
elected by simple majority. Implementation of this provision and, in particular, the choice of 
the  first  Head  Ombudsman  is  crucial  for  the  credibility  of  the  Institution.  The  Ombudsman 
Institution  examines  complaints  and  makes  suggestions  concerning  the  functioning  of  the 
administration with respect to the rule of law and human rights. However, it does not have the 
right to conduct inquiries on its own initiative. Its mandate covers administrative acts of the 
Turkish  Armed  Forces  and  excludes  their  military  acts.  Implementation  of  this  provision  is 
crucial:  This  relates  in  particular  to  who  decides  on  what  falls  under  the  Institution’s  remit, 
and on which basis. The law as it stands does not set out any decision-making process of the 
Ombudsman Institution, but leaves the matter to a regulation to be adopted by its Board. It is 
essential  for  the  authority  and  independence  of  the  institution  that  this  decision-making 
process leaves the final say with the Head Ombudsman. 

A  comprehensive  civil  service  reform  aiming  to  improve  public  human  resources 
management  and  ensuring  merit-based  advancement  is  still  needed.  A  decree  law  of  2011 
allows  temporary  and  contract  staff  to  be  granted  civil  service  status  at  a  similar  rank.  It 
carries  the  risk  of  circumventing  recruitment  procedures,  politicising  the  civil  service  and 
weakening  the  merit  system.  The  increased  ministerial  powers  introduced  in  August  2011 
over  the  independent  regulatory  authorities  remained,  and  in  at  least  one  instance  —  in 
relation to the Energy Directive — run counter to EU legislation.  

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Administrative  simplification  and  work  on  providing  basic  public  services  online  (e-
government) continued. A large number of regulations on administrative simplification were 
adopted  in  April  2012.  However,  no  progress  was  made  with  developing  regulatory  impact 
assessments  with  a  view  to  increasing  the  quality  of  legislation.  In  particular,  no  regulatory 
impact  assessment  was  conducted  prior  to  the  adoption  of  certain  key  legislation,  including 
the  education  reform  of  March  2012.  There  was  an  increasing  tendency  to  draft  and  adopt 
legislation without appropriate consultation of civil society and other stakeholders. 

Almost all implementing legislation relating to the revised Turkish Court of Accounts (TCA) 
Law  was  adopted.  This  strengthened  external  audit.  However,  further  efforts  are  needed  to 
implement  the  TCA  Law.  In  particular,  parliament  needs  to  ensure  follow-up  of  TCA  audit 
reports. The July 2012 amendments to the law on the TCA seriously curtailed the powers of 
the  TCA  and  jeopardize  the  independence  and  effectiveness  of  the  TCA  audit  and  control. 
Implementation of the Law on Public Financial Management and Control continued, with the 
introduction  of  strategic  planning  and  performance  budgeting.  All  line  ministries  and  major 
public agencies prepared performance programmes and accountability reports. However, such 
planning  activities  need  to  be  better  coordinated  with  the  budget.  Additional  efforts  are 
required to strengthen the capacity of strategy development units and to implement strategy 
documents. The internal audit system is not effective and continued to suffer from confusion 
between the objectives, roles and responsibilities of internal audit and inspectorate functions. 
Additional internal audit staff needs to be recruited.  

Overall, progress has been made in legislative reforms with regard to public administration. 
The establishment of an Ombudsman’s office is an important step in safeguarding the rights 
of  citizens  and  ensuring  that  public  administration  is  accountable.  External  audit  and  public 
financial management and control have been strengthened, but recent amendments to the TCA 
law raise serious concerns regarding the independence and effectiveness of the TCA audit and 
control.  Administrative  simplification  continued.  However,  comprehensive  civil  service 
reform will require greater political support.  

Civilian oversight of security forces  

There was further consolidation of civilian oversight of the security forces, and the General 
Staff  generally  abstained  from  exerting  direct  or  indirect  pressure  on  political  issues.  In 
January  2012,  the  national  security  course  given  by  military  officers  was  removed  from  the 
secondary school curriculum. Nonetheless, in January the Chief of General Staff criticised the 
use of the Kurdish language in public education.  

Implementation  of  the  law  providing  legal  remedies  to  earlier  dismissals  from  the  Armed 
Forces continued.  

Ending a lengthy trial process marred by disputes over jurisdiction, the Third High Criminal 
Court in Van sentenced two non-commissioned officers and a PKK informant to 40 years in 
prison in the ‘Şemdinli case’ relating to the bombing in 2005 of a bookstore allegedly owned 
by a former PKK member. 

The Counter-Terrorism Coordination Board established under the Undersecretariat of Public 
Order  and  Security  was  convened  twice.  An  Intelligence  Assessment  Centre  was  set  up  in 
March 2012 to strengthen intelligence sharing and cooperation between civilian and military 
security institutions. 

Progress was made regarding external audits of security institutions under the Turkish Court 
of Accounts Law, which provides for ex post auditing of military expenditure. A regulation 
adopted  in  August  made  publication  of  the  TCA  external  audit  reports  related  to  security, 
defence  and  intelligence  institutions  subject  to  parliamentary  approval.  The  regulation  also 

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introduces limitations for the publication of these reports on grounds of confidentiality. The 
Parliamentary Petition Commission requested a special commission of experts to inspect and 
audit the Turkish Armed Forces Assistance Centre. The General Staff periodically published 
figures on staffing in the armed forces.  

In  the  ‘Sledgehammer’  trial,  323  retired  and  active  duty  military  personnel,  including  three 
former army commanders, were found guilty by a first instance court of attempting to remove 
or  prevent  the  functioning  of  the  government  through  force  and  violence.  Judicial 
investigations  into  the  1980  coup  and  the  28  February  ‘Postmodern  Coup’  of  1997  were 
initiated. Eight political parties, including the AKP, CHP and MHP, as well as the Council of 
Ministers,  many  non-governmental  organisations  and  nearly  340  individuals  requested  to 
become co-plaintiffs in the 1980 coup case.  

However,  the  transparency  and  accountability  of  the  security  sector  remained  limited.  The 
defence budget was disclosed to the public in a highly aggregated manner with significant off-
budget military expenditure not detailed.  

In August 2012, the Supreme Military Council decided that 40 officers currently under arrest 
as part of on-going investigations should retire.  

The  2012  amendments  to  the  Law  on  the  National  Intelligence  Organisation  introduced  a 
requirement  that  the  Prime  Minister  authorise  investigations  involving  members  of  the 
intelligence  services  and  public  officials  to  whom  the  Prime  Minister  has  assigned  ‘special 
tasks’.  This  provides  arbitrary  immunity  for  certain  public  officials,  is  open  to  inconsistent 
interpretation and excludes legal review.  

The Law on Provincial Administrations, used as the legal basis for military operations,  was 
not  amended  to  give  civilian  authorities  broader  oversight  of  military  operations.  Civilian 
oversight of the Gendarmerie’s law enforcement activities, in particular, was insufficient. An 
Independent  Law  Enforcement  Complaints  Agency  has  yet  to  be  set  up  to  investigate 
complaints  of  human  rights  abuses,  ill-treatment  and  wrongdoing  by  and  in  Turkish  law-
enforcement agencies.  

The  duality  between  the  civilian  and  military  court  systems  continued.  Military  judges  and 
prosecutors’  independence  was  limited  by  the  continued  authority  of  military  commanders 
over  them.  The  legal  provisions  on  the  composition  and  powers  of  the  Supreme  Military 
Council need to be reformed, particularly the legal basis for promotions, to ensure appropriate 
civilian  control.  The  Chief  of  the  General  Staff  continued  to  report  to  the  Prime  Minister 
rather than the Minister of Defence. No change was made to the Internal Service Law for the 
Turkish armed forces, which defines the duties of the military and contains an article leaving 
the military significant potential scope for intervention in politics.  

Overall,  there  was  further  consolidation  of  civilian  oversight  of  the  security  forces.  The 
introduction of parliamentary oversight of the defence budget was positive, although this, too, 
is  limited  in  practice.  The  General  Staff  generally  refrained  from  exerting  direct  or  indirect 
pressure  on  political  issues.  Several  symbolic  steps  have  been  taken  towards  further 
democratisation of civil-military relations. Further reforms, particularly of the military justice 
system and civilian oversight of the Gendarmerie, are needed.  

Judicial system (See also Chapter 23 – Judiciary and fundamental rights)  

There was some progress in the area of the judiciary. 

As  regards  the  independence  of  the  judiciary,  the  High  Council  of  Judges  and  Prosecutors 
established  its  Strategic  Plan  2012-2016.  It  also  continued  to  fully  carry  out  its  functions, 
publishing 34 circulars related to the work of judges and prosecutors, and organised in-service 

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training  and  meetings  with  stakeholders,  encouraging  their  participation  in  discussions  and 
workshops on the judiciary as a whole. 

However, criticisms of the legislation on the High Council, including of the role given to the 
Minister of Justice and to the Under-secretary of the Ministry, have not been addressed. There 
was  also  concern  that  decisions  to  suspend  prosecutors  in  the  Deniz  Feneri  case  reflected 
pressure from the executive.  

Yargi  Sen,  a  trade  union  of  judges  and  prosecutors  was  closed  in  a  case  launched  by  the 
Governorate  of  Ankara,  on  the  grounds  that  the  union  contravened  domestic  legislation. 
European  standards  provide  that  judges  should  be  free  to  form  and  join  professional 
organisations whose objectives are to safeguard their independence, protect their interests and 
promote the rule of law.  

With  regard  to  impartiality,  the  individual  application  procedure  introduced  by  the  2010 
constitutional amendments and the Law on the Constitutional Court of 2011 entered into force 
in September 2012. Anyone who claims that his or her fundamental rights have been violated 
can apply to the Constitutional Court if other domestic remedies have been exhausted. 

The  Ministry  of  Justice  is  drafting,  in  cooperation  with  the  Council  of  Europe,  a  Human 
Rights  Action  Plan,  based  on  the  case  law  of  the  European  Court  of  Human  Rights  and 
expected  to  address  issues  raised  in  judgements  of  the  Court  where  Turkey  was  found  to 
violate provisions of the European Convention on Human Rights. The Ministry and the High 
Council have also conducted, and plan to continue to deliver, human rights training for judges 
and prosecutors. 

However,  criticisms  of  existing  legislation  on  the  Constitutional  Court  have  not  been 
addressed.  There  are  still  legal  provisions  and  practical  arrangements  for  courthouses  and 
during trials regarding judges, prosecutors and the defence which do not guarantee ‘equality 
of arms’. In December, members of the Court of Cassation decided to bring a lawsuit against 
the  leader  of  the  main  opposition  party  for  his  critical  remarks  about  the  newly  elected 
members of the court being under the control of the executive. In April, the president of the 
Constitutional Court stated that the establishment of a new ‘pro-tutelary’ judiciary should not 
be allowed. 

Judges and prosecutors have failed to apply international human rights agreements when they 
conflict with domestic law, even though the Constitution clearly states that such agreements 
have precedence. This failure was criticised by the Presidents of the High Courts. In response, 
the  High  Council  established  new  criteria  for  assessing  judges  and  prosecutors  which  will 
reward  respect  for  the  provisions  of  the  European  Convention  on  Human  Rights  and  the 
European Court of Human Rights judgments.  

The  Regulation  on  the  Judicial  Police  adopted  in  2005  under  Article  167  of  the  Criminal 
Procedure  Code  has  not  yet  been  implemented  in  accordance  with  European  standards  and 
there  are  no  judicial  police  units  attached  to  prosecution  offices.  Prosecutors  rely  on  police 
units  working  for  the  Ministry  of  the  Interior  and  have  to  develop  their  capacity  to  guide 
police investigations effectively and keep strict control of police activity.  

Access to Court of Cassation decisions is limited, which hinders understanding and awareness 
of  case  law.  Spokespersons  have  been  appointed  at  fifteen  prosecution  offices  and  courts; 
however,  the  system  is  in  its  infancy  and  has  yet  to  reach  the  point  of  providing  adequate 
information to the public. 

With  regard  to  the  efficiency  of  the  judiciary,  amendments  to  the  Laws  on  the  Court  of 
Cassation and the Council of State aiming at tackling their backlog of cases started to generate 
positive  results,  although  the  backlog  is  still  considerable.  The  number  of  cases  before  the 

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Court  of  Cassation  was  roughly  0.88  million  in  July  2012,  down  from  1.12  million  in  July 
2011.  As  regards  the  Council  of  State,  the  number  of  pending  cases  in  June  2011  and  June 
2012  was  approximately  the  same;  however,  the  number  of  finalised  cases  increased 
considerably  during 
there  were 
approximately  1.34  million  criminal  cases  pending  at  the  end  of  2011,  down  from  1.40 
million at the end of 2010. Similarly, there were 1.11 million civil cases pending at the end of 
2011,  roughly  the  same  as  at  the  end  of  2010,  while  administrative  courts  had  roughly 
170,000 cases pending at the end of 2011, a decrease of 30,000 as compared to those at the 
end of 2010. 

the  same  period.  As  regards  first-instance  courts, 

A  third  judicial  reform  package  was  adopted  in  July  2012.  It  includes  amendments  to  a 
number  of  laws  and  aims  amongst  others  at  accelerating  judicial  procedures.  A  Law  on 
Mediation, which should ease the burden on the judiciary, entered into force in June 2012. 

The 2012 budget for the judiciary amounted to approximately € 2.69 billion, roughly 0.44% 
of Turkey’s GDP. The total number of judges and prosecutors at the end of 2011 was 9,4565. 
Women  constitute  approximately  24%  of  the  judiciary  and  are  underrepresented  in 
prosecutorial  and  managerial  positions.  The  number  of  judges  and  prosecutors  increased  to 
8.30  per  100,000  people,  up  from  7.66  in  1997.  Judges  seconded  to  the  Ministry  of  Justice 
have  been  appointed  to  the  Council  of  Europe,  the  European  Court  of  Human  Rights  and 
Turkey’s  permanent  representations  in  Strasbourg  and  Brussels  to  represent  the  Turkish 
authorities to these institutions. 

However, the Ministry and the High Council have yet to develop benchmarks to monitor and 
assess the performance of the courts, the length of court proceedings and the efficiency and 
effectiveness of the judicial system. 

The  third  judicial  reform  package  relates  also  to  the  Turkish  criminal  justice  system.  The 
specially  authorised  courts  established  under  (former)  Articles  250  –  252  of  the  Criminal 
Procedure  Code  were  abolished;  instead,  regional  serious  crimes  courts  were  set  up  under 
Article 10 of the Anti-Terror Law that will hear the same criminal cases. These courts have 
specialised  judges  whose  only  task  is  to  decide  on  preventive  measures  during  the 
investigation phase. 

Under the new legislation it will no longer be possible for courts to ban publications; put time 
limits on defendants and prosecutors in the context of judicial processes; expel the accused or 
the  defence  from  any  future  or  all  hearings  on  the  grounds  of  behaviour  deemed  to  disturb 
court  order  and  discipline;  limit  to  one  the  number  of  defence  lawyers  while  the  suspect’s 
statement is being taken or during custody; issue notifications through mass media depending 
on  the  urgency  of  the  case.  The  upper  three-year  limit  for  judicial  control  was  lifted:  under 
former  practice,  only  those  accused  for  crimes  carrying  a  maximum  prison  sentence  of  less 
than three years could be put under judicial control rather than prison before or during trial. 
New forms of judicial control were introduced. 

Article 101 of the Criminal Procedure Code now clearly provides that (a) a strong suspicion 
that  the  offence  has  been  committed;  (b)  the  existence  of  grounds  for  arrest6;  and  (c)  the 
proportionality of the arrest with a warrant must all be explicitly documented and explained to 
the  accused.  This  clarifies  the  general  obligation  of  judges  to  reason  their  opinion.  It  is  not 
clear,  however,  whether  these  provisions  apply  also  to  the  high-profile  cases  such  as 
Ergenekon, Sledgehammer, Cage, Oda TV etc., the bulk of which fall under Article 100 of the 
Criminal  Procedure  Code.  Finally,  investigations,  criminal  proceedings  and  execution  of 

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10,318 together with those in the administrative judiciary.  
I.e. to avoid that the person concerned absconds, commits a serious offence, interferes with the course of justice, or 
poses a serious threat to public order. 

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sentences  for  offences  committed  before  31  December  2011  are  postponed.  This  provision 
applies to offences carrying a maximum prison sentence of five years and relates to opinions 
expressed  publicly  provided  the  crime  is  not  repeated  in  three  years.  Overall,  these  are  all 
steps in the right direction of guaranteeing procedural rights. 

The  crimes  falling  under  the  scope  of  the  abolished  legislation  (former  Article  250  of  the 
Criminal  Procedure  Code),  were  broadly  investigated  and  tried  without  prior  permission, 
irrespective of the status of the accused as government official, ensuring thus equality before 
the law. Under the revised Article 10 of the Anti-terror Law, however, prior approval of the 
authorities  for  government  officials  is  now  needed  including  for  crimes  committed  in  the 
framework of an organisation to gain illegal economic advantage; launder money; or produce 
or traffic drugs. 

A  number  of  provisions  have  remained  the  same  in  the  third  judicial  reform  package.  This 
includes the permitted length of pre-trial detention, which remains ten years, an excessively 
long period in particular if pre-trial detention  covers  only  the period up to the first instance 
decision.  There  is  conflicting  interpretation  of  the  Turkish  Court  of  Cassation  on  this  issue, 
i.e.  whether  the  pre-trial  detention  covers  the  period  up  to  the  first  instance  decision  or  the 
final one, which needs to be addressed. 

Finally, and more importantly, the third package fails to sufficiently revise problematic areas 
related  to  the  administration  of  justice  and  protection  of  fundamental  rights;  it  does  not 
address issues related to definitions of criminal offences under either the Criminal Code or the 
Anti-terror Law that are at the source of a number of problems of the Turkish criminal justice 
system. 

In  practice,  concerns  have  been  expressed  as  regards  the  criminal  justice  system.  Some  of 
these concerns focused on the defence’s limited access to the prosecution file, which did not 
allow allegations against the accused to be challenged effectively. Other concerns related to 
decisions  to  arrest  or  continue  to  detain  suspects  on  grounds  which  were  almost  always 
considered  to  be  inadequate  because  they  only  repeated  the  wording  of  the  Criminal 
Procedure Code. Pre-trial detention was also longer than was strictly necessary in the public 
interest. Alternatives to pre-trial detention were not considered. Turkey lacks an effective and 
genuinely  adversarial  domestic  remedy  that  could  offer  applicants  the  opportunity  to 
challenge the lawfulness of their pre-trial detention with reasonable prospects of success. On 
many  occasions  there  has  been  criticism  of  the  quality  of  the  indictments  and  of  the 
indictment  process.  Leaks  of  information,  evidence  and  statements  continued  to  raise 
concerns. In some cases there were reports that cross-examination in criminal trials was not 
carried  out  properly.  Judges  and  prosecutors  have  been  given  no  training  in  cross-
examination. The practical impact of the third judicial reform package, including on pre-trial 
detention, needs to be further assessed. 

The  regional  courts  of  appeal  which,  by  law,  should  have  been  in  operation  by  June  2007 
have not been established yet.  

Revision  of  the  Justice  Ministry’s  2009  Judicial  Reform  Strategy,  whose  objectives  were 
achieved  to  a  large  extent,  continues,  with  the  participation  of  all  stakeholders,  the  Turkish 
legal community and civil society. 

Overall,  some  progress  has  been  made  in  the  area  of  the  judiciary.  Legislation  has  been 
amended to improve the efficiency of the judiciary and address the increasing backlog of the 
courts. The third judicial reform package, adopted in July, while failing to sufficiently address 
problematic  areas  in  the  administration  of  the  Turkish  criminal  justice  system,  constitutes  a 
step  in  the  right  direction.  The  2009  Judicial  Reform  Strategy  is  being  revised.  However, 

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further efforts are needed with regard to the independence, impartiality and efficiency of the 
judiciary,  including  the  criminal  justice  system  and  the  large  backlog  of  serious  criminal 
cases. The participation rate of women in the judiciary needs to be improved. 

Anti-corruption policy (See also Chapter 23 – Judiciary and fundamental rights) 

In  line  with  the  National  Anti-Corruption  Strategy,  the  Executive  Committee  for  Increasing 
Transparency  and  Fighting  Corruption  continued  to  work  on  proposals  to  revise  anti-
corruption rules. This contributed to changes in the area of incrimination and the financing of 
presidential  candidates.  However,  further  legislative  changes  are  needed  to  complete  the 
technical  work  of  the  Executive  Committee.  The  role  of  civil  society  also  needs  to  be 
strengthened.  

The third judicial reform package, adopted in June 2012, includes amendments to provisions 
on  corruption  in  the  Criminal  Code,  redefining  and  extending  the  scope  of  bribery  as  an 
offence,  in  line  with  certain  recommendations  of  the  Group  of  States  against  Corruption 
(GRECO)  on  ‘Incrimination’.  However,  other  recommendations  of  the  Third  Round 
Evaluation  Report  on  ‘Incrimination’  and  ‘Transparency  of  Party  Funding’  have  been 
implemented only partially or not at all. There has been no progress in limiting the immunity 
of Members of Parliament (MPs) and senior public officials in corruption-related cases, nor in 
establishing objective criteria for lifting their immunity.  

There has been some progress on political financing. The 2011 amendment to the law on the 
Constitutional  Court,  which  authorised  the  Court  of  Accounts  to  audit  technical  aspects  of 
political  parties’  finances  and  to  send  its  audit  reports  to  the  Constitutional  Court  for  final 
decision, reinforced auditing capacity with regard to political party financing. The two biggest 
parties  represented  in  Parliament  published  their  finances,  declaring  their  income  and 
expenditure in detail.  

The  Law  on  Presidential  Elections  adopted  in  January  2012  introduced  strict  rules  on 
transparency  of  financing  for  presidential  candidates  during  elections.  It  also  covers 
prohibited  funding  sources,  donation  ceilings,  and  candidates’  obligations  to  disclose  their 
assets  and  to  submit  specified  financial  information  during  the  campaign  period  to  the 
Supreme Election Board for examination within specified timeframes.  

However, remaining legal loopholes relating to political financing continued to be a concern. 
The auditing of political parties remained weak and there was no legal framework for auditing 
election  campaigns  or  the  financing  of  individual  candidates.  There  was  no  legislation  on 
campaign  financing  other  than  for  political  parties.  Political  party  candidates,  independent 
candidates  for  election  and  elected  representatives  were  not  subject  to  the  regulations  on 
financial transparency that apply to political parties. There were not enough checks on assets 
declared by political figures and public officials.  

3707  civil  servants  working  for  central  and  local  government  received  training  on  ethics 
between October 2011 and May 2012. However, no progress was made on extending codes of 
ethics to academics, military personnel or the judiciary. 

A track record of investigation, indictment and conviction in corruption cases has not yet been 
established.  

In April 2012, the Ankara Serious Crimes Court accepted an indictment against 20 suspects in 
a fraud case concerning the Deniz Feneri charity on charges of forgery, abuse of authority and 
the  participation  of  a  public  servant  in  forgery.  There  was  no  charge  of  major  organised 
criminal activity. The prosecutors removed from the investigation in August 2011 were put on 
trial, accused of forgery of official documents and misuse of authority. This raised concerns 
about judicial independence. 

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A corruption investigation involving 130 officials of the İzmir Metropolitan Municipality was 
started. In January 2012, the İzmir Specially Authorised Chief Public Prosecutor demanded a 
sentence  of  397  years  in  prison  for  İzmir’s  mayor  on  33  charges,  including  rigging  state 
tenders, abuse of office, bribery, forgery, and embezzlement. The indictment also accused the 
mayor  of  forming  and  leading  a  criminal  organisation,  covering  up  crimes  and  protecting 
criminals. Several other corruption cases against municipalities are ongoing. 

Overall,  limited  progress  was  made  on  fighting  corruption,  with  some  developments  on 
incrimination and transparency in the financing of political parties. Effective implementation 
of  the  National  Anti-Corruption  Strategy  requires  greater  political  engagement  and  broader 
civil society participation. Political financing needs to be more transparent. The broad scope 
of parliamentary immunity remains a shortcoming in this area. A track record of investigation, 
indictment and conviction in corruption cases has not yet been established. There are concerns 
about impartiality in the processing of anti-corruption cases.  

2.2. 

Human rights and the protection of minorities (See also Chapter 23 – Judiciary 
and fundamental rights) 

Observance of international human rights law 

With  regard  to  international  human  rights  instruments  Turkey  ratified  the  Council  of 
Europe’s  Convention  on  preventing  and  combating  violence  against  women  and  domestic 
violence  on  14  March  2012.  Three  additional  Protocols  to  the  European  Convention  on 
Human Rights have not yet been ratified7. 

During  the  reporting  period,  the  European  Court  of  Human  Rights  (ECtHR)  delivered 
judgments  on  160  applications  finding  that  Turkey  had  violated  rights  guaranteed  by  the 
ECHR. The number of new applications to the ECtHR went up for the sixth consecutive year, 
with 8.010 new applications having been made since September 2011. Most concern the right 
to  a  fair  trial  and  protection  of  property  rights.  In  September  2012,  16.641  applications 
regarding  Turkey  were  pending.  Turkey  has  abided  by  the  majority  of  rulings,  but  has  not 
executed  all  the  judgments.  Based  on  the  Kaplan  v.  Turkey  ruling,  a  draft  law  setting  up  a 
commission on long trials has been submitted to the parliament. The draft law aims to provide 
a  domestic  remedy  for  cases  in  which  the  right  to  be  tried  within  a  reasonable  time  is 
breached. In some cases, rulings have been awaiting follow-up by Turkey for several years. 
The  EU  has  called  on  Turkey  to  enhance  its  efforts  to  implement  all  the  judgements  of  the 
ECtHR. 

In  the  Cyprus  v.  Turkey  case,  the  issues  of  missing  persons  and  restrictions  on  the  property 
rights  of  Greek  Cypriots  displaced  or  living  permanently  in  the  northern  part  of  Cyprus 
remain pending. In a number of other cases, including Xenides-Arestis v. Turkey, Demades v. 
Turkey,  and  Varnava  and  others  v.  Turkey,  Turkey  has  yet  to  fully  execute  the  decision, 
including  paying  the  ‘just  satisfaction’  awarded  by  the  ECtHR  to  the  applicants.  Following 
the  Grand  Chamber  Decision  of  5  March  2010  in  the  Demopoulos  v.  Turkey  case,  3275 
applications  from  Greek  Cypriot  owners  have  been  lodged  with  the  Immovable  Property 
Commission (IPC), 1776 of them during the reporting period. So far, around 270 cases have 
been  concluded,  mainly  with  friendly  settlements  and  the  IPC  paid  GBP  81,292,225  in 
compensation (€ 101,706,400). 

Regarding  promotion  and  enforcement  of  human  rights,  the  training  of  public  officials, 
judges, public prosecutors and police officers continued. The Department of Human Rights in 
the Ministry of Justice launched a website that provides translations of relevant judgments of 
the ECtHR. 

7 

Protocols 4, 7 and 12. 

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In line with its amended mandate the parliament’s Human Rights Inquiry Committee can now 
take the lead on certain draft laws, proposals and bylaws submitted to the parliament, such as 
the law on the National Human Rights Institution. Following this amendment to its mandate, 
23 legislative proposals were referred to the Committee. 

The  Committee  received  nearly  4000  petitions  in  the  reporting  period,  most  of  which 
concerned allegations of unfair trial or ill-treatment. It adopted ten reports.  

Legislation  on  an  Ombudsman  Institution  has  been  adopted  (See  Public  administration). 
Independent monitoring bodies have not yet been set up in line with the Optional Protocol to 
the Convention Against Torture. Legislation establishing an anti-discrimination and equality 
board has not been adopted. 

Parliament adopted a law setting up the Turkish National Human Rights Institution in June. 
The  law  does  not  fully  comply  with  the  UN  Paris  principles,  in  particular  as  regards  the 
independence of the proposed body. Moreover, the text was not discussed with stakeholders, 
nor  does  it  sufficiently  reflect  the  concerns  and  proposals  of  national  and  international 
experts.  

The  number  of  high-profile  cases,  individual  criminal  proceedings  and  investigations 
launched against human rights defenders went up, mostly under terrorism-related legislation. 
Serious  concerns  remain  as  regards  the  broad  definition  of  terrorism  under  the  Anti-Terror 
Law. (See Situation in the east and south-east and Freedom of expression)  

Overall,  some  progress  was  made  on  the  observance  of  international  human  rights  law, 
notably  through  the  efforts  of  the  Ministry  of  Justice  and  the  parliamentary  Human  Rights 
Inquiry  Committee.  However,  important  reforms  are  needed  to  strengthen  human  rights 
structures and the number of criminal proceedings brought against human rights defenders is a 
matter of concern.  

Civil and political rights 

The  government  pursued  its  efforts  to  ensure  compliance  with  legal  safeguards  for  the 
prevention of torture and ill-treatment. The downward trend in the incidence and severity 
of ill-treatment by law enforcement officials continued. Forensic doctors’ reports or reports by 
universities  or  independent  institutions  are  now  recognised  as  proof  by  some  courts,  in 
addition to the reports of the Forensic Medicine Council under the Ministry of Justice. 

However, excessive use of force during arrest and outside official detention places, as well as 
in  official  places  of  detention  and  prisons,  continues  to  be  a  matter  of  concern.  There  have 
been  several  reports  of  disproportionate  use  of  force  by  law  enforcement  bodies,  including 
fatal shootings.  

Turkey  has  ratified  the  Optional  Protocol  to  the  Convention  Against  Torture,  but  has  not 
established  a  National  Preventive  Mechanism  (NPM)  in  line  with  the  requirements  of  the 
Optional Protocol.  

Treatment of migrant detainees in detention centres needs to be further improved. 

Regarding  the  fight  against  impunity,  the  Council  of  State  confirmed  a  court  order  to  the 
Ministry  of  the  Interior  to  pay  reparations  to  16  youths  detained  in  Manisa  Province  on  26 
December 1995 and tortured in the Manisa Security Directorate.  

In  general,  efforts  to  fight  impunity  for  human  rights  violations  have  been  insufficient. 
Prompt, thorough, independent and effective investigation of allegations of torture committed 
by  security  and  law  enforcement  officers  is  often  lacking.  Moreover,  there  is  no  exception 
from the statute of limitations for torture cases.  

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Several trials are ongoing concerning allegations of ill-treatment of conscientious objectors in 
military prisons. The parliamentary Human Rights Inquiry Committee criticised practices in 
military  prisons  and  stated  that  the  punishment  of  soldiers  should  be  decided  by  an 
independent judicial authority and not by a senior military officer. An ECtHR judgement on 
this issue remains to be executed.  

Law enforcement bodies regularly launched counter-cases against people who alleged torture 
or ill-treatment. In many instances such cases were given priority by the courts. The absence 
of  prompt,  thorough,  independent  and  effective  investigations  by  courts  leads  to  extended 
trials.  Law  enforcement  officers  found  guilty  of  torture,  ill-treatment  or  fatal  shootings 
continued to receive short or suspended sentences.  

Politicians from all parties criticized the appointment of a police chief, who had faced charges 
of torture and rape in the past, to a key position in the anti-terror department in Istanbul. The 
public debate on this was extensive.  

The  lack  of  a  judicial  police  force  leads  to  administrative  investigations  into  allegations  of 
torture  or  ill-treatment  being  carried  out  by  fellow  police  officers,  putting  at  risk  the 
impartiality of the investigation.  

There  is  no  comprehensive  approach  to  missing  persons,  the  exhumation  of  mass  graves  or 
thorough and independent investigations into alleged cases of extrajudicial killings by security 
and  law  enforcement  officers.  Mass  graves  discovered  in  the  south-east  have  not  been 
adequately investigated. 

Overall, there has been a downward trend in torture and ill-treatment in places of detention; 
however, allegations of excessive use of force continue to be a matter of concern, and there 
has  been  little  progress  on  tackling  impunity.  There  is  a  significant  backlog  of  judicial 
proceedings,  with  priority  given  in  several  well-documented  cases  to  counter-allegations 
lodged by the security forces. 

Reform  of  the  prison  system  continued.  The  case  management  model  developed  by  the 
Ministry  of  Justice  to  improve  rehabilitation  services  is  in  operation  in  five  rehabilitation 
centres  for  convicts  and  detainees.  The  Ministry  of  Justice  started  an  investigation  into 
allegations  of  ill-treatment  in  the  Adana  Pozantı  juveniles’  prison.  Implementation  of  the 
tripartite  protocol  between  the  Ministries  of  Health,  Justice  and  the  Interior  began  in 
November 2011, to prevent law enforcement officers being present at medical examinations 
of prisoners. Its implementation needs to be monitored closely to ensure that it is in line with 
European standards. 

The number of judgments including probation sentences increased, and an amendment of the 
Law on Conditional Release resulted in a significant number of prisoners being released.  

Prison overcrowding remained a serious concern, with 41% of the prison population awaiting 
final  sentencing.  The  prison  system  does  not  have  adequate  resources.  Ill-treatment 
allegations continue to cause concern, including the tape-recording of prisoners, excessive use 
of solitary confinement, and excessive strip searches of inmates and visitors.  

The number and quality of juvenile correctional facilities remains insufficient. Following the 
allegations  of  ill-treatment  in  Adana  Pozantı  juveniles’  prison,  minors  were  transferred  to  a 
facility  in  Ankara  far  from  their  families.  Children,  especially  girls,  are  not  held  separately 
from adults in all prisons.  

The  standards  for  monitoring  national  prisons  are  not  in  line  with  those  of  the  UN.  Prison 
monitoring boards are not effective and various prisons have no dedicated boards. The boards 

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have neither the right nor the resources to monitor prisons effectively. Some provincial boards 
carried out random visits, but their reports have not led to changes in practice.  

A  general  statement  of  principles  on  prisoners’  rights,  incorporating  the  principles  of  the 
European Convention of Human Rights, is lacking. Excessive restrictions continued regarding 
the  availability  of  newspapers,  magazines  and  books  in  prisons.  The  practice  adopted  in 
relation  to  open  and  closed  visits  is  of  concern.  Reports  of  restrictions  on  the  use  of  the 
Kurdish language during visits and exchanges of letters persist. Practice varies between prison 
administrations.  A  complete  overhaul  of  the  complaints  system  in  prisons  to  make  it 
genuinely  available  to  all  prisoners  should  be  carried  out,  in  accordance  with  the  Optional 
Protocol to the Convention Against Torture. 

Many  sick  and  terminally  ill  convicts  lack  proper  medical  treatment.  Complaints  that 
conditions  in  F-type  high-security  prisons  cause  physiological  and  psychological  damage 
have been reported.  

Overall,  prison  overcrowding  remains  problematic,  with  a  serious  impact  on  sanitation  and 
other physical conditions. A reform of the complaints system in prisons is needed.  

There  has  been  limited  improvement  in  access  to  justice.  A  Ministry  of  Justice  webpage 
provides information on legal matters and brochures provide information on the procedures to 
follow.  Bar  associations  and  other  civil  society  organisations  also  contributed  to  citizens’ 
awareness of their rights in terms of access to justice. 

However, there is no overall strategy for legal aid. The financial resources allocated are not 
sufficient  and  the  low  fees  for  legal  aid  lawyers  are  not  comparable  with  fees  paid  by 
defendants  in  ordinary  cases.  This  can  lead  to  a  decrease  in  the  quality  of  the  services 
provided. Due to the low fees and the lack of effective monitoring, lawyers appointed by the 
bar  associations  do  not  always  provide  an  effective  defence  for  the  accused.  The  current 
system gives rise to concerns and needs to be revised.  

Public awareness of legal aid is limited in rural areas and among disadvantaged groups. Legal 
aid is not accessible for a large proportion of prison inmates, women and juveniles. Lack of 
effective  protection  still  prevents  victims  of  domestic  violence  from  obtaining  justice. 
Misguidedly, defendants continue to believe that requesting a lawyer implies guilt.  

Overall, limited progress has been made on access to justice. The scope and quality of legal 
aid  is  inadequate.  There  is  no  effective  monitoring  mechanism  that  would  remedy  long-
standing problems. 

As regards freedom of expression, a number of journalists were released pending trial after 
excessively  long  periods  spent  in  pre-trial  detention.  The  third  judicial  reform  package 
prohibits  the  seizure  of  written  work  before  publication.  It  also  eases  restrictions  on  media 
reporting  of  criminal  investigations.  There  continues  to  be  room  for  debating  some  topics 
perceived as sensitive, such as the Armenian issue or the role of the military, and opposition 
views are regularly expressed.  

However,  these  reforms  fall  short  of  a  significant  improvement  regarding  freedom  of 
expression.  The  increasing  incidence  of  violations  of  freedom  of  expression  raise  serious 
concerns,  and  freedom  of  the  media  continued  to  be  further  restricted  in  practice.  The 
increasing  tendency  to  imprison  journalists,  media  workers  and  distributers  fuelled  these 

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concerns.8  The  European  Court  of  Human  Rights  received  a  large  number  of  applications 
concerning violations of freedom of expression by Turkey. 

A large number of cases were brought against writers, academics and journalists writing and 
working  on  the  Kurdish  issue,  but  also  scholars  and  researchers.  Several  left-wing  and 
Kurdish journalists were arrested on charges of engaging in propaganda for terrorism, others 
remained in prison. (See Situation in the east and south-east) More than 2.800 students are in 
detention, mostly for terrorism related charges. The legal framework on organised crime and 
terrorism  is  still  imprecise  and  contains  definitions  which  are  open  to  abuse,  leading  to 
numerous indictments and convictions. Moreover, its interpretation by prosecutors and courts 
is uneven and is not in line with the European Convention on Human Rights or the case-law 
of the European Court of Human Rights. Turkey needs to amend its penal code and anti-terror 
legislation to make a clear distinction between the incitement to violence and the expression 
of nonviolent ideas. 

The application of Articles 6 and 7 of the Anti-Terror Law in combination with Articles 220 
and 314 of the Turkish Criminal Code leads to abuses; in short, writing an article or making a 
speech can still lead to a court case and a long prison sentence for membership or leadership 
of a terrorist organisation.  

High-level government and state officials and the military repeatedly turn publicly against the 
press  and  launch  court  cases.  On  a  number  of  occasions  journalists  have  been  fired  after 
signing articles openly critical of the government.  

All of this, combined with a high concentration of the media in industrial conglomerates with 
interests going far beyond the free circulation of information and ideas, has a chilling effect 
and  limits  freedom  of  expression  in  practice,  while  making  self-censorship  a  common 
phenomenon in the Turkish media. 

Though very few cases have been initiated on the basis of Article 301 of the Turkish Criminal 
Code, implementation of two ECtHR judgments on Article 301 are pending. 

Website  bans  of  disproportionate  scope  and  duration  continued.  Since  May  2009  the 
Telecommunications Communication Presidency (TİB) has published no statistics on banned 
sites.  Court  cases  are  ongoing  against  the  You  Tube  video-sharing  website  and  other  web 
portals.  The  Law  on  the  Internet,  which  limits  freedom  of  expression  and  restricts  citizens’ 
right  to  access  to  information,  needs  to  be  revised.  An  Information  Technologies  and 
Communication Board (ICTA) decision introducing optional internet filters entered into force. 
It is essential that it is implemented in line with European standards with regard to the right to 
receive and impart information and ideas without interference by public authorities.  

The Supreme Board of Radio and Television (RTÜK) issued warnings to television stations 
and  imposed  fines  on  them,  in  particular  for  representing  superstitious  beliefs,  denigrating 
morals  and  national  values  and  the  protection  of  the  family,  representing  obscenity  and 
praising terrorism. 

Overall,  the  increase  in  violations  of  freedom  of  expression  raises  serious  concerns,  and 
freedom  of  the  media  was  further  restricted  in  practice.  The  legal  framework,  especially  as 
regards  organised  crime  and  terrorism,  and  its  interpretation  by  the  courts,  leads  to  abuses. 
Together with pressure on the press by state officials and the firing of critical journalists, this 
situation has led to widespread self-censorship. Frequent website bans are a cause for serious 
concern and there is a need to revise the law on the internet.  

8 

According to the OSCE there were 95 journalists in prison in April 2012, compared to 57 in April 2011. 
20 of the journalists on the 2012 list have been released since, 10 of them as a consequence of the entry 
into force of the 3rd judicial reform package. 

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As regards freedom of assembly, 1 May demonstrations took place in a peaceful atmosphere 
throughout the country. Several activities including the ‘Armenian Genocide Commemoration 
Day’  organised  by  several  civil  society  groups  and  intellectuals  to  commemorate  the  1915 
events also proceeded peacefully.  

However, in general there was a shortfall in the implementation of the constitutional right to 
hold  demonstrations  and  meetings.  Excessive  administrative  restrictions  on  freedom  of 
assembly  persist,  such  as  substantial  prior  notification  requirements  for  demonstrations,  and 
sometimes  the  confinement  of  demonstrations  to  designated  sites  and  dates  that  are 
unsuitable. The Newroz (New Year) ceremonies in the South East were restricted to only one 
day.  On  several  occasions  there  were  scenes  of  violence,  disruption  of  demonstrations  and 
disproportionate use of force by security forces against demonstrators — especially in rallies 
related  to  the  Kurdish  issue,  students’  rights,  the  environment,  activities  of  the  Higher 
Education Board (YÖK) and trade union rights. Two students were sentenced to eight years in 
prison  for  displaying  a  banner  protesting  against  tuition  fees  during  a  rally  attended  by  the 
Prime Minister. 

In  some  provinces,  press  statements  by  non-governmental  organisations  and  human  rights 
defenders  were  subject  to  fines  for  violating  Law  No  2911  on  demonstrations.  Others  were 
fined repeatedly for disobeying orders under the Law on Misdemeanours.  

Allegations  that  members  of  the  security  forces  have  used  excessive  force  have  not  always 
been prosecuted or investigated thoroughly. (See section on impunity) Many court cases were 
launched against human rights defenders and civil society representatives who exercised their 
right  to  peaceful  assembly.  Human  rights  defenders  also  faced  prosecution  and  legal 
proceedings  on  charges  of  terrorist  propaganda  during  demonstrations  and  protest  meetings 
and following their attendance at press conferences.  

Freedom of association legislation is broadly in line with EU standards. However, the need 
to change the legal framework with regard to political parties and trade unions was not met. 
There  were  examples  of  restrictive  interpretation  of  legislation  vis-à-vis  associations  and 
harassment  of  their  leaders9.  Freedom  of  association  for  trade  unions  is  compromised  in 
practice  by  police  raids,  as  happened  in  June  with  the  arrests  of  more  than  70  trade  union 
activists, including the President of KESK, a civil service confederation. 

Civil  society  organisations  (CSOs)  continued  to  face  fines,  closure  proceedings,  and 
administrative  obstacles  to  their  operation.  A  decree  adopted  in  November  2011  giving 
additional authority to the Ministry of Health and creating a Board of Health Professions was 
criticised  by  the  Turkish  Medical  Association  and  the  World  Medical  Association  for 
reducing  professional  autonomy.  Two  foreign  civil  society  organisations  were  refused  the 
right to establish in Turkey.  

The trade union for civilian staff working for the military, SIME-SEN, is facing a court action 
to close it down, as civil servants employed in the Ministry of Defence and Turkish Armed 
Forces are not allowed to create or join trade unions.  

Legislative and bureaucratic obstacles impeding the financial sustainability of CSOs persisted. 
The collection of domestic and international funds was difficult and bureaucratic procedures 

9 

The  Diyarbakir  Sarmaşik  Association,  the  Orhan  Dogan  Support  Houses  for  Education,  the  Dersim 
Alevi Faith and Culture Academy Association, and the cases of the executive members of the Socialist 
Democracy  Party  and  the  Social  Freedom  Platform,  the  Istanbul  branch  of  the  Human  Rights 
Association,  the  Research  and  Development  Association  for  Kurdish  Language  (Kurdi  Der)  İzmir 
Branch, the Board of Health Professions and the Turkish Medical Association are alleged examples of 
the government interfering disproportionately with freedom of association.  

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cumbersome.  There  are  numerous  complaints  of  discrimination  when  applying  for  public 
benefit status for associations and in getting permission to raise funds.  

Overall,  regarding  freedom  of  assembly  and  association,  the  picture  was  mixed.  Where 
demonstrations were not authorised there were cases of violence and disproportionate use of 
force  by  the  security  forces,  especially  but  not  only  in  relation  to  the  Kurdish  issue.  The 
constitutional right to freedom of assembly and association appears to be interpreted at times 
in  an  overly  restrictive  manner.  There  is  a  need  to  revise  the  law  on  demonstrations  and 
meetings,  to  investigate  allegations  against  members  of  the  security  forces  for  use  of 
excessive force and to prosecute where appropriate. Fundraising rules remains restrictive and 
discretionary. There were no developments regarding legislation on political parties.  

Concerning freedom of thought, conscience and religion, freedom of worship continues to 
be generally respected. Ecumenical Patriarch Bartholomew celebrated in August, for the third 
time  after  almost  nine  decades,  the  Divine  Liturgy  of  the  Dormition  of  Theotokos  at  the 
Sumela  Monastery  in  the  Black  Sea  province  of  Trabzon.  In  September  the  third  religious 
service since 1915 was held at the Armenian Holy Cross Church on the Akhdamar island in 
lake  Van.  A  number  of  crypto-Armenians  have  started  to  use  their  original  names  and 
religion.  Police  protection  has  been  provided  to  a  number  of  church  leaders  and  several 
churches  receive  police  protection  during  services.  According  to  the  Turkish  authorities  the 
Ecumenical  Patriarch  is  free  to  use  the  title  ‘Ecumenical’.  However,  the  Patriarchate  has 
received  no  indication  from  the  authorities  to  this  effect  and  still  uses  the  title  ‘Fener  Rum 
Patrikhanesi’ in its letterhead in Turkish. 

As  regards  conscientious  objection,  some  progress  was  made  on  addressing  repeated 
prosecution and conviction, and towards introducing a civilian alternative to military service 
under certain circumstances. Military courts started to issue rulings in line with judgments of 
the European Court of Human Rights.  

A court of first instance in Ankara rejected a request to ban an association which helped build 
cem  houses,  Alevi  places  of  worship.  However,  this  decision  was  reversed  in  June  by  the 
Court of Cassation. The case has been brought to justice by the Ministry of the Interior. New 
religious education textbooks containing information on the Alevi faith have been prepared by 
the Ministry of National Education for the academic year 2012-2013.  

Implementation  of  the  August  2011  decree  law  and  the  October  Regulation  amending  the 
February 2008 Law on Foundations continued. (See section on property rights). 

However, the 2007 Zengin v. Turkey ECtHR judgment on religious culture and ethics classes, 
which  remain  compulsory  in  primary  and  secondary  schools,  has  yet  to  be  implemented. 
Children  who  did  not  attend  were  subject,  in  several  instances,  to  discrimination.  No 
alternatives were provided for students exempted from these classes.  

Non-Muslim communities — as organised structures of religious groups — continued to face 
problems due to their lack of legal personality, with adverse effects on property rights, access 
to justice, the ability to obtain work, residence permits for foreign clergy and fundraising. The 
relevant  2010  Council  of  Europe  Venice  Commission  recommendations  have  yet  to  be 
implemented. 

Restrictions  on  the  training  of  clergy  remain.  Neither  the  Turkish  legislation  nor  the  public 
education  system  provide  for  private  higher  religious  education  for  individual  communities. 
Despite announcements by the authorities, the Halki (Heybeliada) Greek Orthodox seminary 
remained  closed.  The  Armenian  Patriarchate’s  proposal  to  open  a  university  department  for 
the  Armenian  language  and  clergy  remained  pending  for  a  fifth  year.  The  Syriac  Orthodox 
community can provide only informal training outside any officially established schools.  

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As  regards  participation  in  religious  elections,  in  contradiction  with  European  standards 
Turkish and foreign nationals are not treated equally in terms of their ability to exercise their 
right to freedom of religion by participating in the life of organised religious communities.  

Personal  documents  such  as  identity  cards  include  information  on  religion,  leading  to  some 
discriminatory practices or harassment by local officials of persons who converted from Islam 
to another religion and thereafter sought to amend their ID cards. The 2010 ECtHR ruling that 
indication of religious affiliation on identity cards is in breach of the Convention has yet to be 
implemented.  

Concrete follow-up of the opening made in 2009 to the Alevis is lacking. Cem houses were 
not  officially  recognised  and  Alevis  experienced  difficulties  in  establishing  new  places  of 
worship. Alevis were concerned by the marking of many houses of Alevi citizens in a number 
of  provinces  and  by  incidents  against  them.  Complaints  were  submitted  to  the  prosecutors’ 
offices  by  Alevi  associations;  judicial  and  administrative  investigations  are  continuing.  A 
demand to open a cem house in the parliament was rejected on the grounds that Alevi MPs 
could  go  to  the  mosque.  Several  commemoration  ceremonies  by  Alevis  were  prevented  by 
police,  some  through  the  use  of  force  as  was  a  demonstration  against  the  closure  of  the 
Madimak court case. Some Alevis encountered job discrimination in the civil service. 

religious  communities 

Non-Muslim 
frequent  discrimination,  administrative 
uncertainty  and  numerous  obstacles  to  establishing  or  continuing  to  use  their  places  of 
worship. Implementation of zoning legislation by local authorities was inconsistent, resulting 
in  arbitrary  refusals  to  issue  construction  and  renovation  permits  for  places  of  worship.  In 
November, the DG for Foundations declared the Hagia Sophia Museum in Iznik a mosque. 

reported 

Especially in south-eastern provinces, renewal of foreign clergy permits was denied, without 
adequate  explanation  and  in  an  inconsistent  manner.  Clear  criteria  for  refusals  to  renew 
residence and/or work permits need to be established.  

Alevis and non-Muslim religious communities have to pay electricity and water bills, whereas 
the State budget covers such expenses for mosques.  

Non-Muslim religious communities reported several instances of hate crimes. Anti-Semitism 
and hate speech in the media, including in TV series and films, has not been punished. There 
is  a  culture  of  intolerance  of  minorities.  The  court  case  concerning  the  killing  of  three 
Protestants  in  Malatya  in  April  2007  continued;  allegations  of  links  to  the  Ergenekon 
organisation are being reviewed  by the court following arrests in 2011. No clear conclusion 
has been reached yet regarding the killing of father Santoro, a Catholic priest, in Trabzon in 
2006. As regards the killing of bishop Padovese in Iskenderun in 2010, the case is continuing. 

Missionaries are widely perceived as a threat to the integrity of the country and to the Muslim 
religion.  A  classified  report  by  the  MIT  (National  Intelligence  Organisation)  on  missionary 
activities  in  east  and  south-east  Anatolia  focusing  on  citizens  of  Kurdish  origin,  using 
discriminatory  language  against  Christian  churches  and  missionaries,  was  revealed  in  the 
media  in  November.  A  Diyanet  five-year  strategy  plan  also  aims  to  follow  and  evaluate 
missionary activities inside and outside the country. 

Implementation of the May 2010 prime ministerial circular instructing all relevant authorities 
to  pay  due  attention  to  the  problems  of  non-Muslim  Turkish  citizens  was  not  always 
consistent. 

ECtHR  judgments  on  Turkey  regarding  conscientious  objectors  refusing  to  serve  in  the 
military on religious or other grounds have yet to be implemented. Turkey is the only country 
of  the  Council  of  Europe  that  does  not  recognise  the  right  to  conscientious  objection  for 
conscripts.  

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Overall, there was limited progress on freedom of thought, conscience and religion. There has 
been some progress on conscientious objection in terms of application of the case law of the 
European  Court  of  Human  Rights.  Dialogue  with  the  non-Muslim  religious  communities 
continued. However, people professing faith in minority religions or indeed no faith continued 
to be discriminated against, and were subject to threats from extremists. A legal framework in 
line  with  the  ECHR  has  yet  to  be  established  to  ensure  that  all  non-Muslim  religious 
communities and the Alevi community can function without undue constraints. 

Economic and social rights (See also Chapter 19 – Social policy and employment)  

Steps  have  been  taken  to  improve  legislation  regarding  respect  for  women’s  rights  and 
gender  equality.  The  Law  on  the  Protection  of  Family  and  Prevention  of  Violence  against 
Women adopted in March aims to protect family members and those in relationships outside 
marriage  from  violence.  The  procedures  for  urgent  cases  are  generally  positive,  as  was  the 
inclusive  consultation  exercise  undertaken  by  the  authorities  with  civil  society.  A  National 
Action Plan to combat Violence against Women (2012-2015) was adopted by the Ministry for 
Family and Social Policies. The plan focuses on five areas: legislation, awareness raising and 
change  of  attitudes,  empowerment  of  women  and  preventive  services,  health  care  and 
cooperation among stakeholders. 

The Ministry of Family and Social Policies and the Gendarmerie signed a protocol providing 
for Gendarmerie staff to be trained in the prevention of violence against women and gender 
equality  issues  with  a  view  to  supporting  victims  of  violence.  The  Capital  Markets  Board 
issued  a  statement  stipulating  that  at  least  one  board  member  of  publicly  traded  companies 
should  be  female.  The  Ministry  of  Family  and  Social  Policies  signed  a  protocol  with  the 
Ministry  of  Labour  and  Social  Security  aimed  at  increasing  female  employment  and  labour 
participation rates, including those of women subject to violence. 

The Parliamentary Committee on Equal Opportunities between Men and Women has issued 
20 opinions on draft legislation since being set up. 

However, there is still room for the Committee to be more involved in mainstreaming gender 
equality  via  the  legislative  process,  in  monitoring  the  implementation  of  laws  and  circulars 
issued  on  gender  equality  and  in  engaging  with  women’s  organisations.  Gender  equality, 
combating violence against women, including honour killings, and early and forced marriages 
remain major challenges for Turkey. 

Certain  last-minute  amendments  to  the  Law  on  the  Protection  of  Family  and  Prevention  of 
Violence against Women raised concern. Also, substantial efforts are needed to turn this new 
law,  and  earlier  legislation,  into  political,  social  and  economic  reality.  A  law  on  caesarean 
sections was adopted with insufficient preparation and consultation with civil society, and in 
particular  without  hearing  the  views  of  women’s  organisations.  In  the  debate  that  preceded 
this law and a similar debate on abortion, government statements neglected the overall need 
for increased respect for women’s rights in practical terms.  

Women’s  participation  in  the  labour  market  remains  low  overall,  although  it  has  increased 
slightly.  Women  are  mostly  employed  as  unpaid  family  workers  with  no  social  protection 
apart  from  that  afforded  by  other  family  members.  Provision  of  childcare  facilities  for 
working women remained an issue; work on a regulation on parental leave did not proceed. 
Efforts to increase labour market flexibility do not take into account the need to avoid gender-
based labour market segmentation. 

The  number  of  women  in  politics  and  at  senior  level  in  the  administration  remained  very 
small.  Women  were  underrepresented  in  the  management  of  trade  unions.  Several  female 
trade union activists were detained and arrested prior to international women’s day.  

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The government did not respond to demands by the women’s movement to revise the Law on 
Political  Parties  and  the  Law  on  Elections  so  as  to  make  the  inclusion  of  women  legally 
binding on political parties. 

Women’s negative portrayal in the media and a male-dominated discourse continued to be a 
concern.  

Detailed  statistics  on  incidents  of  violence  against  women,  including  murder,  are  not 
available.  Certain  court  judgments  in  cases  of  violence  against  women  raised  concern:  the 
rulings  attempted  to  justify  violence  inflicted  on  women  and  sometimes  on  juveniles  with 
reference to the victim’s family background and attitude.  

In  some  cases,  police  officers  tried  to  convince  domestic  violence  victims  to  return  to  their 
alleged abusers rather than help them pursue their complaints. There were a number of cases 
in which the victim of violence sought help in vain from the authorities and ended up being 
killed.  Awareness-raising  and  training  for  members  of  the  judiciary  and  law  enforcement 
officers  on  new  legislation  is  needed.  The  capacity  of  family  courts  has  not  increased.  As 
regards  domestic  violence,  the  ECtHR  judgment  in  the  Opuz  v.  Turkey  case  was  not 
implemented. The issue of early and forced marriages remains a serious concern. 

The government needs to proactively promote changes in stereotypes and in the perception of 
gender  roles  in  all  spheres.  The  sustainability  of  actions,  policies  and  circulars  on  women’s 
rights and gender equality supported through national and international resources is critical.  

Overall,  steps  have  been  taken  to  improve  legislation  regarding  respect  for  women’s  rights 
and gender equality. The Law on the Protection of Family and Prevention of Violence against 
Women is an improvement on previous legislation, protecting family members and those in 
relationships outside marriage from violence. The procedures for urgent cases are particularly 
positive,  as  was  the  inclusive  consultation  exercise  undertaken  by  the  authorities  with  civil 
society,  even  if  NGOs  are  critical  of  certain  last-minute  amendments  to  the  text.  However, 
substantial efforts are needed to turn this new law, and earlier legislation, into political, social 
and  economic  reality.  Legislation  needs  to  be  implemented  consistently  across  the  country. 
There  is  a  need  for  greater  involvement  of  and  participation  by  women  in  employment, 
policy-making and politics. The issue of early and forced marriages remains a concern. 

With  respect  to  children’s  rights,  the  ratio  of  children  enrolled  in  pre-school  education 
reached 44% for the 4-5 years age group, up 1% on the previous reporting period. Efforts to 
develop  a  national  model  for  pre-school  education services,  with  relevant  quality  standards, 
continued. The number of pre-school teachers increased by around 15%.  

Primary and secondary school enrolment rates increased for the 2011-2012 educational year. 
The  net  school  enrolment  rate  for  the  6-13  years  age  group  was  99.3%.  Secondary  school 
enrolment rates reached 67.4%, with the difference between enrolment rates for girls and boys 
falling  to  2.5%.  Mobile  education  services  for  girls  were  provided  in  several  provinces, 
although coverage was limited. Optional courses are offered to secondary education students 
on  living  languages  and  dialects  spoken  in  Turkey  as  of  the  academic  year  2012-2013.  The 
tendency  towards  de-institutionalisation  of  care  services  for  children  continued,  with  the 
introduction of a support scheme for family-based care.  

The Ministry of Labour and Social Security has taken steps to combat child labour, especially 
in seasonal migrant agricultural work and hazelnut collection. An evaluation of the impact of 
such measures and an updated survey of the situation of child labour is needed. 

However, regional disparities in school enrolment rates persisted, with low enrolment levels 
in certain provinces in the east of the country. Drop-out and absenteeism rates continued to be 
high  among  the  children  of  seasonal  agricultural  migrant  families  and  Roma  families.  An 

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effective  monitoring  and  inspection  mechanism,  covering  all  types  of  pre-school  education 
and care services, has yet to be established. 

Efforts  to  fight  violence  against  children  do  not  include  an  effective  mechanism  for 
monitoring  and  prevention.  Awareness-raising  efforts  on  the  de-institutionalisation  of  care 
services  for  children  were  limited.  The  conditions  and  administrative  capacity  of  child  care 
institutions need to be improved.  

There  are  little  quantitative  and  qualitative  data  on  child  labour.  Child  labour  in  seasonal 
agricultural migrant families persisted despite efforts to improve the situation. There is a need 
to strengthen administrative capacity in this field and put in place an effective monitoring and 
inspection system covering the whole of the country.  

Despite  the  June  2010  amendments  to  the  Anti-Terror  Law  and  other  criminal  legal 
provisions, juveniles were arrested in many instances on charges of membership of a terrorist 
organisation, facing heavy penalties. This happened in particular when juveniles resisted law 
enforcement officials or participated in demonstrations. Ill-treatment during questioning and 
admission to prisons was reported.  

At the end of the reporting period, the total number of serious crimes courts for juveniles was 
19, of which nine were operational. The total number of juvenile courts was 86, of which 67 
were operational, despite the requirement of the Child Protection Law that courts should be 
established  in  all  81  provinces.  In  provinces  where  such  courts  do  not  exist,  children  were 
tried in serious crimes courts for adults.  

As  of  end-July,  1,830  children  aged  between  12  and  18  were  in  prison.  Of  these,  190  were 
convicted  whereas  the  rest  were  detained  pending,  or  during  trial.  There  were  serious 
allegations of ill-treatment and sexual assault in Pozanti juvenile prison in Adana, which led 
to the move of all detainees to Ankara Sincan prison. 

Overall, efforts are needed in all areas, including education, combating child labour, health, 
administrative  capacity  and  coordination.  In  general,  more  preventive  and  rehabilitative 
measures need to be taken for juveniles. Children are not held in appropriate conditions and 
additional juvenile courts need to be created in line with current legislation. 

Regarding  the  socially vulnerable and/or  persons  with  disabilities,  implementation  of  the 
Strategy  Paper  on  Accessibility  and  the  National  Action  Plan  remained  limited.  A  national 
monitoring mechanism in line with the UN Convention on the Rights of Disabled Persons and 
the  corresponding  optional  protocol  is  still  not  in  place.  The  principle  of  positive 
discrimination for the disabled is not properly reflected in concrete policy measures. 

Home-based  care  services  for  the  disabled  and  the  elderly  were  expanded.  A  protocol  was 
signed  to  promote  entrepreneurship  for  people  with  disabilities.  Efforts  to  increase 
employment  in  the  public  sector  continued.  However,  the  employability  of  people  with 
disabilities in both the public and private sectors needs to be further promoted together with 
alternative  employment  methods  and  incentives  for  employers,  and  their  access  to  finance 
needs to be increased.  

Official and reliable data and research on persons with disabilities and mentally ill persons is 
lacking,  which  impedes  informed  policy-making.  Difficulties  in  access  to  education,  health, 
social  and  public  services  continued.  Physical  barriers  to  access  to  public  buildings  and  all 
relevant facilities still exist. There is no comprehensive investment strategy to overcome this 
problem.  Deadlines  for  mandatory  compliance  for  public  institutions  to  provide  accessible 
services have been extended and postponed. Inclusive education practices need to increase in 
coverage  and  quality,  in  line  with  legislation.  Private  special  education  and  rehabilitation 
centres  have  an  important  role  in  the  current  system,  but  there  are  deficiencies  in  the 

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inspection, monitoring and evaluation system, raising doubts as to the centres’ effectiveness. 
In almost all centres, many children are enrolled (in order to receive government support), but 
do not actually attend the course. Inspections lack depth and do not cover the content of the 
services  provided.  Public  awareness  needs  to  be  increased  to  fight  prejudice  against  people 
with disabilities. 

There is still no independent body to monitor and inspect mental health institutions. 

Overall, services were expanded for the disabled and the elderly, but important efforts are still 
needed to protect socially vulnerable persons and persons with disabilities. 

Comprehensive  anti-discrimination  legislation,  including  on  the  establishment  of  an  anti-
discrimination and equality board, is still lacking. A draft law is before the parliament. The 
relevant  parliamentary  committee  amended  the  draft  to  remove  references  to  discrimination 
on grounds of sexual identity or sexual orientation. The current legal framework is not in line 
with the EU acquis. There is discrimination against individuals along ethnic, religious, sexual 
identity and other lines.  

Homosexuality  is  not  a  criminal  offence  in  Turkey.  However  lesbian,  gay,  bisexual  and 
transgender  (LGBT)  persons  continued  to  suffer  discrimination,  intimidation  and  were  the 
victims of violent crime. LGBT employees and civil servants have been fired on the grounds 
of  sexual  orientation.  Other  reported  spheres  of  discrimination  against  LGBT  individuals 
include  access  to  housing  and  to  health  services  (especially  in  the  case  of  transgender 
persons). A number of court cases and judicial proceedings are in progress.  

Violations of the right to life, torture, ill-treatment and cases of sexual assault that occurred 
against LGBTs in Turkey during 2011 have been reported. Shortcomings in the investigation 
and prosecution of crimes against people with a different sexual orientation or gender identity 
led to impunity for the perpetrators.  

Articles of the Turkish Criminal Code on ‘public exhibitionism’ and ‘offences against public 
morality’  and  also  articles  of  the  Law  on  Misdemeanours  were  widely  used  to  discriminate 
against  and  to  impose  fines  on  LGBT  people.  The  repeated  application  of  the  principle  of 
‘unjust provocation’ in favour of perpetrators of crimes against transsexuals and transvestites 
is a major concern. Court cases have been brought against LGBT human rights defenders who 
accused the police of arbitrary arrests and violence.  

High-profile public figures repeatedly used negative stereotyping against LGBT persons. The 
internal  rules  of  the  Turkish  armed  forces  continue  to  define  homosexuality  as  a 
‘psychosexual’ illness and to declare homosexuals unfit for military service.  

Substantial  government  efforts  are  still  needed  to  effectively  protect  vulnerable  groups, 
including  women,  children,  and  lesbian,  gay,  bisexual  and  transgender  individuals  from 
societal abuse, discrimination and violence. 

As  regards  labour  and  trade  unions  rights,  legislation  on  trade  unions  and  collective 
bargaining by civil servants was amended, leading to the first collective bargaining exercise in 
this  sector.  However,  the  new  legislation  is  not  fully  in  line  with  the  EU  acquis  and 
International Labour Organisation conventions, especially with regard to the right to strike for 
public  servants,  the  process  of  collective  bargaining  and  dispute  settlement,  as  well  as 
restrictions on large categories of public servants to form and join trade unions. The draft law 
on collective labour  relations,  amending the legal framework for trade unions in the private 
sector, has not been adopted. In May the Law on Strikes was amended to prohibit strikes in 
the aviation sector. This takes Turkey’s labour legislation further from EU and ILO standards. 

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The  limited  labour  rights  granted  by  existing  legislation  have  not  always  been  available  to 
employees, with several cases of dismissal apparently linked to union membership. There was 
continued state interference in unions’ internal affairs. Industrial action and demonstrations by 
trade  unions  were  regularly  restricted  and  on  occasion  broken  up  by  the  security  services 
using  force.  Many  unions  and  union  activists  faced  police  raids,  criminal  charges  and 
imprisonment on allegations of ‘terrorist activity’.  

Overall,  there  was  limited  progress  in  the  areas  of  labour  and  trade  union  rights.  The 
legislation on civil servants’ trade unions rights has been amended but is still not in line with 
EU and ILO standards. Collective actions by trade unions suffer numerous restrictions. 

As  regards  property  rights,  the  implementing  regulation  for  the  decree  law  revising  the 
provisional  Article  11  of  the  Foundations  Law  was  published  in  October  201110.  The 
regulation  sets  out  the  conditions  for  applications  for  properties  to  be  registered  and  the 
conditions for payment of compensation. The deadline for applications to register property in 
the name of the community foundation together with all rights and obligations was 27 August 
2012. According to official information, 108 community foundations applied by the deadline 
for the return of 1,568 properties. By 18 September 2012, the Foundations Council approved 
the return of 58 properties, the payment of compensation for eight (8) properties, decided that 
53  applications  were  not  eligible  and  continues  the  processing  of  the  remaining  1,449 
applications.  

The Izmir Jewish community, the Greek primary girls’ school in Istanbul and the Armenian 
Tibrevank Lycée in Istanbul were granted foundation status by administrative decisions. 

However,  the  Syriac  community  continued  to  face  difficulties  with  property  and  land 
registration, especially in the south-east. A number of court cases continued, concerning both 
individuals  and  religious  institutions.  The  Mor  Gabriel  Syriac  Orthodox  monastery  court 
cases  regarding  land  ownership  continued.  The  Court  of  Cassation,  in  a  much  criticised 
decision, reversed a local court’s decision in favour of the monastery. A forestry case against 
the monastery, which had been finalised at the Court of Cassation, is now before the ECtHR 
pending  a  decision  on  admissibility.  These  cases  have  been  brought  to  justice  against  the 
monastery by State bodies. 

A large number of properties of the Latin Catholic Church remain confiscated  by  the  State. 
The  Catholic  Church,  like  the  other  non-Muslim  religious  communities,  has  no  legal 
personality.  

There was no progress in implementing the March 2010 recommendations of the Council of 
Europe  Venice  Commission  on  the  protection  of  property  rights.  Council  of  Europe 
Resolution  1625  (2008)  on  Gökçeada  (Imvros)  and  Bozcaada  (Tenedos)  still  needs  to  be 
implemented. 

Problems encountered by Greek nationals in inheriting and registering property are still being 
reported,  in  particular  following  the  application  by  the  Turkish  authorities  of  the  amended 
Land Registry Law, including the authorities’ interpretation of provisions on reciprocity. As 
regards reciprocity, the European Court of Human Rights held that there had been a violation 
of Article 1 of Protocol 1 (peaceful enjoyment of possessions) to the European Convention on 
Human  Rights  and  ordered  either  the  return  of  property  or  financial  compensation  by  the 
applicants. 

10 

The  2008  Foundations  Law  (No 5737)  was  amended  by  decree  law  on  27  August  2011.  The 
implementing  regulation  for  the  August  decree  was  published  in  the  Official  Gazette  on  1  October 
2011.  

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Overall, there has been progress with the adoption of legislation amending the 2008 Law on 
Foundations.  Implementation  continues.  However,  the  legislation  still  does  not  cover  fused 
foundations (i.e. those whose management has been taken over by the Directorate General for 
Foundations) or properties confiscated from Alevi foundations. The ongoing cases against the 
Mor Gabriel Syriac Orthodox monastery raise concerns. Turkey needs to ensure full respect 
for the property rights of all non-Muslim religious communities and others.  

Respect for and protection of minorities, cultural rights 

Dialogue between the government and representatives of minorities continued.  

For  the  first  time,  representatives  of  minorities,  beyond  those  minorities  recognised  by 
Turkey, were invited to parliament – to express their views on a new Constitution.  

The  Ministry  of  National  Education  approved  a  new  regulation  allowing  children  from 
Armenian,  Greek  and  Jewish  minorities  who  are  not  Turkish  citizens  to  be  educated  in 
minority  schools.  However,  children  who  are  not  Turkish  citizens  do  not  receive  official 
graduation papers.  

A  legislative  change  enabling  newspapers  run  by  non-Muslim  minorities  to  publish  official 
notices was published in the Official Gazette on 28 February. Minority newspapers will have 
to apply in writing to be able to publish official announcements.  

However, Turkey’s overall approach to minorities remained restrictive. Turkey maintained its 
reservations to the UN International Covenant on civil and political rights regarding the rights 
of  minorities  and  to  the  UN  Covenant  on  economic,  social  and  cultural  rights  regarding  the 
right to education, which remained a cause for concern. Turkey has not signed the Framework 
Convention for the Protection of National Minorities or the Charter for Regional and Minority 
Languages.  

No  mechanisms  or  specific  body  has  been  established  to  combat  racism,  xenophobia,  anti-
Semitism  and  intolerance.  There  is  no  legal  framework  or  legislation  that  addresses 
discrimination issues; references in the constitution to the principle of non-discrimination are 
often interpreted in a restrictive manner by the courts.  

There is no effective prosecution of incitement to hatred, including by the media: Turkey has 
not  made  progress  to  introduce  legislation  regarding  hate  speech  and  hate  crimes  as 
recommended by the Council of Europe.  

The situation of the Greek minority has not changed. It continues to encounter problems with 
access  to  education  and  property  rights,  including  on  the  islands  of  Gökçeada  (Imvros)  and 
Bozcaada (Tenedos). The decision to reopen a school in Gökçeada (Imvros) is pending.  
The  five-year  court  case  on  the  murder  of  Armenian  journalist  Hrant  Dink11  ended  on 
17 January 2012. One person was convicted for incitement to murder, but all defendants were 
acquitted of charges of links to a terrorist organisation; the family of Hrant Dink demanded a 
new investigation into the conduct of various members of the police force and Gendarmerie 
who  seemed  to  be  implicated  in  the  crime  according  to  an  inquiry  conducted  by  the 
Presidential  State  Inspection  Board  (DDK).  Full  execution  of  the  ECtHR  judgment  of 
14 September 2010 on the Dink case is crucial for Turkey in order to fight impunity and to 
hold all involved accountable before the law. 

11 

Hrant  Dink,  editor-in-chief  of  the  Armenian  Agos  newspaper  at  the  time,  was  killed  in  front  of  his  office  on  19 
January 2007. 

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The commemoration of the twentieth anniversary of the Khojaly massacre (in Azerbaijan) on 
26 February in Istanbul’s Taksim square was marred by racist and anti-Armenian slogans and 
degenerated into an attempted march on the Armenian Agos newspaper.  

Rhetoric against missionaries or minorities remains in a number of compulsory schoolbooks. 

Several  important  buildings  in  the  Armenian  cemetery  in  Malatya  were  demolished  by  the 
Malatya municipality on 2 February.  

Overall,  dialogue  between  the  government  and  minorities  continued.  Representatives  of 
minorities  presented  their  views  on  a  new  constitution  to  the  Parliamentary  Conciliation 
Committee.  However,  Turkey’s  approach to minorities  remained restrictive.  Full  respect  for 
and  protection  of  language,  culture  and  fundamental  rights  in  accordance  with  European 
standards have yet to be achieved. A comprehensive approach and further efforts are needed 
to enhance tolerance, security and promote inclusiveness vis-à-vis minorities. There is a need 
for  revision  of  existing  legislation,  the  introduction  of  comprehensive  legislation  to  combat 
discrimination  and  the  introduction  of  protection  mechanisms  or  specific  bodies  to  combat 
racism,  xenophobia,  anti-Semitism  and  intolerance.  Relevant  Covenants  and  Conventions 
should be applied. 

As regards cultural rights, debates on mother-tongue education continued. Diverse Kurdish 
groups,  other  linguistic  groups  and  civil  society  organisations  submitted  requests  to  the 
Parliamentary  Conciliation  Committee  working  on  a  new  constitution,  including  requests  to 
lift all restrictions on use of the mother tongue.  

In  December  the  Council  of  Higher  Education  (YOK)  approved  an  application  by  Tunceli 
University  for  the  foundation  of  a  Department  of  Eastern  Languages  and  Literatures, 
including  Zaza  and  Kurmanjî  Kurdish.  Recruitment  of  further  academic  staff  is  needed  to 
make the department fully operational.  

In  June,  the  Ministry  of  National  Education  issued  a  new  curriculum  for  primary  schools, 
including the obligation for a school to add a course on living languages such as Kurdish or 
Circassian and dialects if at least 10 pupils apply for it. 

Mardin Artuklu University continued post-graduate education in Zaza and Kurmanjî Kurdish. 
The Kurdish Language and Literature Department in Muş Alparslan University continued its 
undergraduate elective Kurdish language course. No postgraduate course was offered due to a 
lack of teaching staff. 

The first Syriac monthly newspaper in Turkey started publication in March. 

The parliament’s Human Rights Inquiry Committee reported fewer restrictions on the use of 
Kurdish  in  prisons  during  visits  and  exchanges  of  letters.  However,  some  legislation  still 
restricts the use of languages other than Turkish, including the Constitution and the Law on 
Political Parties. In a number of court cases against politicians and human rights defenders the 
use of other languages than Turkish was not allowed.  

The  Council  of  Europe  Congress  of  Local  and  Regional  Authorities’  Recommendation  229 
(2007) to permit municipal councils to use languages other than Turkish in the provision of 
public  services  when  appropriate  and  to  reform  the  Municipality  Law  accordingly  has  not 
been implemented. 

Court cases regarding the demolition of the statue of humanity devoted to Turkish-Armenian 
reconciliation  in  Kars  have  ended  at  the  administrative  courts.  The  case  was  declared 
admissible by the ECtHR in February.  

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Overall, Turkey has made some progress on cultural rights, and fewer restrictions on the use 
of  Kurdish  in  prisons  during  visits  and  exchanges  of  letters  were  reported.  However,  some 
legislation  still  restricts  the  use  of  languages  other  than  Turkish,  including  the  Constitution 
and the Law on Political Parties. Also, the judiciary took a number of restrictive decisions on 
the  use  of  languages  other  than  Turkish,  including  the  use  of  Kurdish  in  court  cases 
concerning Kurdish politicians and human rights defenders.  

Some  progress  was  made  regarding  Roma.  Ad  hoc  contacts  between  Roma  NGOs  and 
relevant  ministries  have  taken  place.  There  have  been  efforts  by  the  Labour  Ministry  and 
İŞKUR to promote the employment of Roma in temporary jobs of public benefit. Vocational 
training has also been provided.  

An  administrative  court  annulled  the  preliminary  project  to  transform  the  historical  Roma 
Sulukule district in Istanbul. Legal procedures are continuing before the Council of State. 

However, there was criticism of the temporary nature of the courses and employment offered 
and  the  lack  of  information  about  the  programme.  Medium-  and  long-term  planning  to 
increase the employability of Roma citizens is needed. The Roma population had little access 
to regular, recorded jobs and continued to be subject to prejudice and discrimination.  

Roma  children  were  reported  to  have  high  drop-out  and  absenteeism  rates  even  in  primary 
school.  

Teachers  working  in  schools  attended  mainly  by  Roma  children  appear  to  be  frequently 
transferred  and  assigned  to  other  duties,  which  may  have  an  impact  on  the  quality  of 
education.  

Roma  continued  to  have  difficulties  with  access  to  health  services  and  problems  of  poor 
housing conditions, in some cases because they did not have identity cards.  

Urban renewal needs to be managed in a transparent manner and wherever possible without 
displacing communities; it should go hand in hand with employment efforts. 

Overall,  there  has  been  some  progress  but  a  systematic  approach  is  needed  to  tackle  the 
problems of Roma. A comprehensive strategy needs to be established and the issue needs to 
be reflected and mainstreamed in main policy areas. There is lack of quantitative data on the 
situation of Roma, which prevents informed policy-making.  

Situation in the east and south-east 

An  incentives  package  was  announced  in  April  2012,  focusing  partly  on  increasing 
investment  in  the  least  developed  regions  and  reducing  regional  disparities.  The  South-East 
Anatolia Project (GAP), aimed at improving the socio-economic development of the region, 
has  been  extended  for  another  five  years.  Dam  projects  continued,  but  were  criticised  for 
threatening  sustainable  development  by  destroying  the  living  conditions  of  the  local 
population, including historical heritage, natural habitats, species and agricultural land. 

In  January  the  case  of  the  2005  bombing  of  a  bookstore  in  the  south-eastern  district  of 
Şemdinli came to an end after a lengthy trial marred by disputes over jurisdiction. The Court 
handed down nearly 40-year sentences to each of the three defendants. 

The clearance of landmines continues.  

The  Kurdish  issue  and  options  for  a  solution  were  widely  discussed;  however,  the  2009 
democratic opening aimed at addressing amongst others the Kurdish issue was not followed 
through.  

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Terrorist attacks by the PKK, which is on the EU list of terrorist organisations, multiplied and 
intensified and claimed many victims. The attacks were strongly condemned by the EU.  

There  has  been  a  worrying  increase  in  kidnappings  of  security  personnel  and  civilians, 
including elected politicians.  

The high number of arrests and detentions in the context of operations against the Union of 
Communities of Kurdistan (KCK), the alleged urban wing of the PKK, led to serious tension.  

The government announced that the state had abandoned confidential talks with the PKK, but 
expressed  the  intention  to  continue  dialogue  with  political  parties  not  associated  with  the 
PKK.  

Anti-KCK operations widened, not only targeting Kurdish politicians, locally elected mayors 
and members of municipal councils, but also media representatives, human rights defenders, 
trade unionists, prominent academics and lawyers,. According to official statistics, 31 mayors 
and  226  local  representatives  are  currently  detained  in  connection  with  the  anti-KCK  case. 
The  situation  seriously  affects  local  government  and  administration.  Democratic  Society 
Congress (DTK) Co-Chair and Van MP Aysel Tuğluk was sentenced to 14.5 years in prison 
on  charges  of  ‘spreading  propaganda  for  a  terrorist  organisation’  and  ‘committing  crime  on 
behalf  of  an  illegal  organisation  despite  not  being  a  member  of  it’  following  speeches  she 
made. The trial of defendants for alleged membership of the KCK continued before the Sixth 
Serious  Crimes  Court  in  Diyarbakır.  There  were  several  similar  anti-KCK  cases  in  other 
provinces. 

The  JİTEM  (the  Gendarmerie’s  intelligence  organisation)  and  Colonel  Temizöz  cases 
regarding  extrajudicial  killings  and  persons  missing  since  the  1990s  continued  before  the 
Diyarbakır  Serious  Crimes  Court.  Numerous  files  on  missing  persons  and  extrajudicial 
killings dating from the 1990s are approaching the statute of limitations.  

34  civilians  were  killed  in  Uludere  by  the  Turkish  armed  forces  on  28  December.  The 
authorities prevented a number of NGOs from visiting the site of the airstrike. In February, a 
sub-committee of the parliamentary Human Rights Inquiry Committee was set up to inquire 
into  the  killing  of  Uludere  villagers.  Judicial  and  administrative  investigations  are  ongoing. 
However,  there  are  concerns  about  their  transparency  and  effectiveness.  Allegations  of 
intelligence  failure  and  operational  negligence  have  not  been  cleared  up.  At  the  end  of 
February,  the  Şırnak  Prosecutor  sent  the  file  on  Uludere  to  the  Diyarbakır  Prosecutor  with 
Special Authority noting that the incident did not fall within their competence. There has been 
no direct apology, from either the military or civilian authorities.  

Newroz  (New  Year)  ceremonies  were  restricted  to  only  one  day.  In  many  provinces,  there 
were violent incidents and clashes with security forces. (See Freedom of assembly)  

No steps were taken to dismantle the village guard system, a paramilitary force of more than 
45,000 paid and armed by the state, and there is no comprehensive plan to do so.  

Overall,  there  was  no  progress  towards  a  solution  as  regards  the  Kurdish  issue.  Terrorist 
attacks intensified, as did military operations. The detention of elected politicians and human 
rights  defenders  gives  rise  to  serious  concerns.  In  incidents  such  as  the  Uludere  killings  of 
civilians, calls on the authorities for effective and swift investigation and a transparent public 
inquiry have not been met. The truth about extra-judicial killings and torture in the south-east 
in the 1980s and 1990s has yet to be established following the due process of law. The statute 
of  limitations  deadline  will  soon  bring  an  end  to  judicial  investigations  on  past  crimes, 
without result. Landmines and the village guard system are still causes for concern. 

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Refugees and internally displaced persons (IDPs) 

The period of implementation of the law on compensation of losses resulting from terrorism 
and  the  fight  against  terrorism  has  been  extended  by  one  year  in  April.  Up  to  September, 
361,391  applications  were  submitted  to  the  Damage  Assessment  Commissions.  Of  these, 
305,758  were  assessed,  with  compensation  paid  in  166,158  cases  and  139,600  applications 
rejected.  By  September,  the  Damage  Assessment  Commissions  had  awarded  compensation 
totalling  almost  € 1,230,000,000  to  claimants  who  signed  negotiated/amicable  settlements. 
However,  delays  in  payments  have  continued.  Various  claims  were  rejected  by  the 
administrative  courts.  Several  cases  are  pending  before  the  ECtHR.  There  is  a  need  to 
thoroughly assess the effectiveness of legislation and the process of granting compensation.  

The  number  of  internally  displaced  persons  (IDPs)  has  increased  as  a  result  of  two 
earthquakes in Van in October and November 2011. The Tuzla IDP camp in Mersin, which 
has  been  in  place  for  15  years,  needs  upgrading  in  terms  of  service  provision  and 
accommodation.  IDPs  often  live  in  sub-standard  conditions,  in  camps  and  elsewhere.  Many 
still  find  it  difficult  to  return  to  their  previous  place  of  residence  mainly  for  reasons  of 
security,  the  continuing  village  guard  system,  the  presence  of  landmines,  a  lack  of  basic 
infrastructure and  capital, and limited  job opportunities. The authorities have not yet shared 
information on the urban reconstruction and redevelopment plan for Van.  

Concerning  refugees  and  asylum-seekers,  law  enforcement  officials  and  central  and  local 
administrations  have  improved  their  practices.  There  were  improvements  in  treatment  and 
detention  conditions  in  the  removal  centres.  Turkey  maintained  an  open  border  policy  with 
Syria.  Turkey  is  providing  humanitarian  assistance  to  nearly  100,000  Syrians  who  fled  the 
country, hosted in camps located in four southern provinces. General living conditions in the 
camps have been praised by international observers. (See also Chapter 24 – Justice, freedom 
and security) However, pending the adoption and implementation of the Law on Foreigners 
and  International  Protection,  gaps  in  legislation  and  in  immigration-related  detention  and 
deportation practices remained a concern. Unaccompanied minors found themselves at risk of 
detention  together  with  adults  and  without  access  to  State  child  protection  services.  There 
were  reported  cases  of  access  to  UNHCR  services  and  asylum  procedures  being  blocked. 
Individuals going through asylum procedures experienced difficulties with access to adequate 
accommodation,  work,  health  services,  education  and  integration  support.  Asylum-seekers 
who  did  not  qualify  for  contribution-free  general  health  insurance  under  the  new  Social 
Security  Law  were  charged  monthly  contribution  fees  which  were  unaffordable  for  those 
without employment.  

Overall, the process of compensating IDPs has continued but the effectiveness of the system 
has  to  be  assessed.  Some  improvements  were  made  to  detention  conditions  in  the  removal 
centres.  Turkey  has  successfully  provided  humanitarian  assistance  to  the  Syrian  refugees. 
However,  there  is  still  no  national  strategy  to  address  IDPs’  needs  better  and  no 
comprehensive  legal  framework  for  refugees  and  asylum-seekers.  Further  improvements  in 
detention and deportation practices are needed.  

2.3. 

Regional issues and international obligations 

Cyprus 

Turkey  continued  to  express  public  support  for  the  negotiations  between  the  leaders  of  the 
two  communities  under  the  Good  Offices  of  the  UN  Secretary-General  aimed  at  a  fair, 
comprehensive  and  viable  solution  to  the  Cyprus  problem.  This  support  was  reiterated  on 
several  occasions  by  the  authorities  in  the  context  of  the  Greentree  Conferences  in  October 
2011  and  January  2012,  and  during  the  EU-Turkey  Association  Council  in  June.  The  UN 

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Secretary-General indicated in his latest report on the UN operation in Cyprus of June 2012 
that  until  the  sides  reach  an  agreement  on  how  to  proceed  with  the  substantive  settlement 
negotiations,  the  focus  will  be  on  continuing  the  work  of  the  bi-communal  technical 
committees.  

As emphasised in the negotiating framework and in Council declarations, Turkey is expected 
to  actively  support  the  negotiations  aimed  at  a  fair,  comprehensive  and  viable  settlement  of 
the  Cyprus  issue  within  the  UN  framework,  in  accordance  with  the  relevant  UN  Security 
Council  resolutions  and  in  line  with  the  principles  on  which  the  EU  is  founded.  Turkey’s 
commitment and contribution in concrete terms to such a comprehensive settlement is crucial. 
Regrettably, on several occasions, statements at senior political level spoke of alternatives to a 
comprehensive settlement under UN auspices. 

Turkey  continued  to  issue  statements  objecting  to  drilling  operations  carried  out  by  the 
Republic of Cyprus and threatening retaliation against oil companies that would participate in 
Cypriot exploration, following Cyprus’s announcement that it would launch a second round of 
off-shore  exploratory  licences.  The  EU  stressed  the  sovereign  rights  of  EU  Member  States 
which include, inter alia, entering into bilateral agreements, and to explore and exploit their 
natural resources in accordance with the EU acquis and international law, including the UN 
Convention  on  the  Law  of  the  Sea.  Turkey  and  representatives  of  the  Turkish  Cypriot 
Community signed a ‘Continental shelf delimitation agreement’ and Turkish company TPAO 
supported on-shore exploratory drilling activities in an area near Famagusta. 

Despite repeated calls by the Council and the Commission, Turkey has still not complied with 
its  obligations  as  outlined  in  the  declaration  by  the  European  Community  and  its  Member 
States of 21 September 2005 and in Council conclusions, including those of December 2006 
and  December  2011.  It  has  not  met  its  obligation  to  ensure  full,  non-discriminatory 
implementation of the Additional Protocol to the Association Agreement and has not removed 
all  obstacles  to  the  free  movement  of  goods  with  Cyprus,  including  restrictions  on  direct 
transport links. There was no progress on normalising bilateral relations with the Republic of 
Cyprus. Moreover, Turkey stated that it would not attend any meeting chaired by the Cyprus 
EU Council Presidency. A government circular instructed all Turkish civil servants to abstain 
from  meetings  and  contacts  with  the  Cypriot  Presidency  of  the  Council  of  the  EU.  The 
European  Council  expressed  serious  concerns  with  regard  to  Turkish  statements  and  threats 
and  called  for  full  respect  for  the  role  of  the  Presidency  of  the  Council,  which  is  a 
fundamental institutional feature of the EU provided for in the Treaty. 

Turkey has not lifted its veto of Cyprus’s membership of several international organisations. 

Peaceful settlement of border disputes 

After  the  last  round  of  exploratory  talks  in  July  2011,  discussions  are  on-going  between 
Greece and Turkey to set a date for the next round. 

In  April,  Greece  strongly  objected  to  Turkey’s  launch  of  a  tender  for  offshore  oil  and  gas 
exploration including part of the continental shelf off the Greek island of Castellorizo.  

The threat of casus belli in response to the possible extension of Greek territorial waters made 
in the 1995 resolution of the Turkish Grand National Assembly still stands. In line with the 
negotiating  framework,  the  Council  has  underlined  that  ‘Turkey  needs  to  commit  itself 
unequivocally  to  good  neighbourly  relations  and  to  the  peaceful  settlement  of  disputes  in 
accordance with the United Nations Charter, having recourse, if necessary, to the international 
Court  of  Justice.  In  this  context,  the  Union  expresses  serious  concerns  and  urges  the 
avoidance  of  any  kind  of  threat,  source  of  friction  or  action  which  could  damage  good 
neighbourly  relations  and  the  peaceful  settlement  of  disputes.’  Greece  and  Cyprus  made 

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formal  complaints  about  violations  of  their  territorial  waters  and  airspace  by  Turkey, 
including flights over Greek islands. 

Regional cooperation 

Turkey  remains  involved  in  regional  initiatives,  including  the  South-East  European 
Cooperation Process (SEECP) and the Regional Cooperation Council (RCC). Turkey supports 
the European integration of all countries in the region.  

The  enhanced  political  dialogue  on  foreign  policy  stemming  from  the  positive  agenda 
provides an ideal platform to exchange views and to fine-tune positions.  

High-level  bilateral  meetings  were  held  with  all  countries  in  the  region,  reflecting  Turkey’s 
firm  commitment  to  promoting  peace  and  stability.  Turkey  increased  its  presence  in  the 
region  also  in  terms  of  financial  and  technical  assistance,  by  delivering  projects  through  its 
development agency TIKA. 

Within  the  framework  of  the  common  security  and  defence  policy,  Turkey  is  continuing  to 
contribute to the EU-led military mission in Bosnia and Herzegovina (EUFOR/ALTHEA). It 
is also contributing to the EU-led police mission in Bosnia and Herzegovina (EUPM) and to 
the EULEX mission in Kosovo∗. 

Relations  with  Bulgaria  remained  positive.  The  Bulgarian  Prime  Minister  visited  Turkey  in 
March. 

As  regards  the  International  Criminal  Court  (ICC),  see  Chapter  31  –  Common  foreign  and 
security policy. 

3. 

ECONOMIC CRITERIA 

In examining economic developments in Turkey, the Commission’s approach was guided by 
the  conclusions  of  the  European  Council  in  Copenhagen  in  June  1993,  which  stated  that 
membership  of  the  Union  requires  the  existence  of  a  functioning  market  economy  and  the 
capacity to cope with competitive pressure and market forces within the Union.  

3.1. 

The existence of a functioning market economy 

Economic policy essentials 

The  Pre-Accession  Economic  Programme  (PEP)  submitted  to  the  Commission  in  January 
2012  reflects  commitments  to  a  rebalancing  process  away  from  debt  fuelling  consumption 
towards exports. Although such adjustment process is positive for economic stability, Turkey 
has  large  external  imbalances,  and  remains  vulnerable  to  further  global  financial  shocks,  in 
particular  capital  flow  reversals.  As  more  ministries  and  governing  structures  have  been 
created,  the  fragmentation  of  responsibilities  between  government  bodies  appears  to  be 
increasingly  complicating  coordination  for  budgeting  and  medium-term  economic  policy 
making. Decisions are sometimes taken on an ad hoc basis and impact assessments are either 
lacking  or  based  on  partial  information.  However,  there  have  been  no  major  instances  of 
internal conflicts and tensions in economic policies in recent times. Overall, the consensus on 
economic policy essentials has been preserved.  

Macroeconomic stability 

In 2011, the Turkish economy grew by 8.5%, only slightly down from 9.2% in 2010. Growth 
was  largely  driven  by  the  private  sector,  with  consumer  spending  up  7.7%  on  the  year  and 
private sector investment up 22.8%. The strength of domestic demand led to import volumes 

∗ 

This designation is without prejudice to positions on status, and is in line with UNSCR 1244/99 and the 
ICJ Opinion on the Kosovo declaration of independence. 

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increasing  10.6%  on  the  year,  while  the  level  of  export  volumes  was  6.5%  higher  than  in 
2010, partly as a result of the depreciation of the Turkish lira (by 20% vis-à-vis the euro in 
2011). Since mid-2011, however, the pace of growth has been slowing down gradually in line 
with  the  slowdown  in  domestic  demand,  accompanied  by  an  improvement  in  the  trade  and 
current account balances. A major growth deceleration was observed in the first half of 2012, 
to 3.1% year-on-year. Private domestic consumption (residents households), which accounts 
for over 70% of GDP, was down by 0.2% year-on-year in the first six months of 2012, while 
fixed  investment  decreased  by  3.2%,  compared  with  a  18.3%  increase  in  2011.  The  only 
that  posted  above-average  growth  was  government 
domestic  demand  component 
consumption, which increased by 4.9%. A further deceleration is already being witnessed to 
some  extent  in  leading  indicator  data.  Surveys  of  manufacturing  business  confidence  and 
capacity utilisation have recently fallen back to their weakest levels in two years. However, 
industrial  production  and  credit  growth  accelerated  in  mid-2012  after  a  couple  of  weak 
quarters. In 2011, the per capita GDP of Turkey (PPP adjusted) amounted to 52% of the EU 
average.  Overall,  economic  growth  is  slowing  down,  from  high  levels,  due  to  weaker 
domestic demand. 

The current account deficit rose from 6.6% of GDP in 2010 to 10% in 2011. The increase was 
entirely due to the deterioration of the merchandise trade deficit. In 2012, Turkey continued to 
run a large current account deficit, which leaves the Turkish currency vulnerable to a sudden 
loss of investor confidence. However, the deficit has been narrowing, to about 8.5% of GDP 
by mid-2012, mainly as a result of an improvement in the merchandise trade deficit owing to 
weaker domestic demand, lower oil prices and strong export growth. Given the slowing of the 
economy  and  falling  energy  and  food  prices,  the  current  account  deficit  is  expected  to  fall 
further  in  the  months  ahead,  although  an  expected  deterioration  in  external  economic 
conditions  may  make  the  increase  in  export  earnings  difficult  to  sustain.  Capital  inflows 
(including  net  foreign  direct  investment,  foreign  purchases  of  government  bonds  in  the 
international and local markets and foreign lending to Turkish banks and companies) largely 
offset  the  current  account  deficit  during  2011  and  the  first  half  year  of  2012,  although  they 
were significantly lower than a year earlier. In 2011, a large positive balance was recorded for 
the  net  errors  and  omissions  item  of  the  balance  of  payments,  which  is  thought  to  reflect 
informal  repatriation  of  funds  held  abroad.  At  the  same  time,  foreign  direct  investment 
remains  low  proportionally  to  the  size  of  the  current  account  deficit,  at  only  13%  of  total 
capital inflows over the first six months of 2012. Turkey’s large dependence on shorter-term 
capital  makes  it  highly  susceptible  to  the  current  global  uncertainties.  The  Central  Bank’s 
official reserves decreased from € 61 billion in 2010 to € 56 billion in 2011, but these losses 
have  already  been  mitigated  by  mid-2012.  At  the  same  time,  gross  external  debt  decreased 
from 39.9% of GDP to 39.7% of GDP. In early May 2012, the parliament passed a bill easing 
restrictions on property purchases by foreigners, which is likely to increase capital inflows for 
this purpose. Overall, the external imbalances have remained significant. 

Unemployment  was  9.8%  in  2011,  down  from  11.9%  in  2010.  In  the  half  year  of  2012, 
unemployment fell further to 8.9%. The employment rate stood at 45.3% in the first semester 
of 2012, up from the  44.9% observed in December 2011 and 43% in 2010, while non-farm 
unemployment  fell  to  10.1%  in  May  2012  from  11.6%  the  year  before.  While  the  labour 
participation rate is 71.4% for men, it is as low as 30% for women, in spite of an increase of 
more than 4 percentage points from a year earlier. Despite the low proportion of the female 
population  actively  looking  for  work,  the  female  unemployment  rate  is  slightly  higher  than 
the  male  unemployment  rate.  In  addition,  about  one  third  of  women  who  are  considered  as 
employed are unpaid family workers in the agricultural sector. This reduces the percentage of 
women of working age who are employed and receive an income to less than 15% of the total. 
Lack of affordable child care is among key barriers for women’s entry into the labour market. 

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The labour market needs to absorb the unemployed and about one million new entrants every 
year.  Overly  strict  employment  protection  laws  discourage  employers  from  hiring.  The 
prevalence  of  undeclared  work  remains  a  major  challenge.  Overall,  robust  economic 
development allowed strong employment growth and a drop in unemployment.  

Inflation  was  10.5%  in  2011,  almost  doubling  from  6.4%  in  2010  and  the  official  target  of 
5.5%. Annual core inflation amounted to 9.8% in 2011. By August 2012, however, consumer 
prices have dropped, in spite of highly volatile energy and food prices, to 8.9% year-on-year. 
Core  inflation  amounted  to  7.8%  in  August.  Partly  in  view  of  the  recent  increase  in  food 
prices,  the  Central  Bank’s  year-end  inflation  target  of  5%,  with  a  2  percentage  points 
tolerance  band,  appears  to  be  within  reach,  helped  by  favourable  base  effects.  By  end-
September 2012, market expectations amounted to 6.8%. Overall, inflation has been high, but 
came down in mid-2012 in spite of rapidly rising food prices. 

Concerns about the level of inflation and the vulnerability of the lira to heightened global risk 
aversion,  owing  to  Turkey’s  still  large  current  account  deficit,  have  continued  to  pose 
obstacles  to  a  significant  easing  of  monetary  policy.  Since  late  2011,  the  Central  Bank  has 
operated  rather  complex  policies,  based  on  an  interest  rate  corridor  and  various  targeted 
macro-prudential measures, which have allowed it to adjust banks’ funding costs on a day-to-
day basis. The Central Bank has been compelled to sustain a tightening bias over the past half 
year, in spite of some softening in recent months. Since July 2012, the average bank funding 
rate fell from about 10% to below 7%, still more than two percentage points higher than the 
one week repo rate  of 5.75%.  Given  the  inflation volatility and the  current  weakness of  the 
lira (alongside most emerging market currencies) on the back of renewed financial stresses in 
the  eurozone,  tight  monetary  policy  needs  to  persist  in  order  to  safeguard  Turkish  financial 
stability. The tightening appears to be increasingly successful in shifting the drivers of growth 
away from domestic demand. However, more support from the fiscal side, besides the specific 
and  targeted  macro-prudential  measures  that  are  put  in  place,  including  by  the  banking 
regulator,  may  help  engineer  a  rebalancing  and  soft  landing  of  the  economy  and  ease  the 
burden placed on monetary policy. Overall, monetary policy has been increasingly successful, 
as it was able to curb the growth of credit and contribute to easing the current account deficit 
at the same time.  

The budget performed better than expected in 2011, especially due to the robust recovery in 
domestic  demand,  which  provided  significant  support  to  indirect  tax  revenues.  The  primary 
surplus  rose  from  0.5%  of  GDP  in  2010  to  1.3%  of  GDP  in  2011,  and  the  overall  central 
government budget deficit fell from 3.6% of GDP in 2010 to 1.2% of GDP in 2011, compared 
with a budget target of 1% of GDP. The social security deficit decreased from 2.4% of GDP 
in 2010 to 1.3% of GDP in 2011. The recent public receivables restructuring programme had 
a  positive  impact  on  the  social  security  system  balances,  generating  extra  revenues  of  € 3.3 
billion,  or  0.6%  of  GDP.  In  the  first  half  of  2012,  weaker  demand  adversely  affected  the 
budget  performance,  and  real  tax  revenues  were  roughly  at  the  same  level  as  in  2011,  as 
indirect taxes — which make up two thirds of the total — were curtailed by the slowdown in 
consumer  and  import  demand.  According  to  the  medium-term  fiscal  plan,  the  government 
expects  a  budget  deficit  of  1%  of  GDP  in  2012.  This  target  has  not  been  adjusted  for 
economic  growth  and  revenues  that  were  higher  than  anticipated  in  2011.  Therefore,  fiscal 
policy may have more scope to support the monetary policy efforts aimed at curbing domestic 
demand and thus the current account deficit. The public debt stock fell further in 2011, and it 
amounted to 39.4% of GDP by the end of 2011. Overall, fiscal performance was satisfactory. 

Four years after the adoption of the Public Financial Management Law, some components are 
still missing, in particular measures to enhance the accountability, efficiency and transparency 
to 
the  budgeting  process.  Consolidated  general  government  accounts  according 
of 

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international accounting standards are still not regularly published. This makes it difficult for 
citizens  to  hold  the  government  accountable  for  its  management  of  public  money.  Full 
implementation of the new Law on State Aid has been postponed. The unification of all tax 
administration functions under the Revenue Administration has been announced. The aim of 
this unification was to strengthen the audit capacity and facilitate greater use of standard risk-
based  audit  techniques,  thereby  enhancing  transparency.  Overall,  no  efforts  were  made  to 
increase fiscal transparency.  

Turkey’s fiscal and monetary policy mix proved relatively successful in the aftermath of the 
crisis.  The  earlier  fiscal  consolidation  and  structural  reforms  have  contributed  to  robust 
growth. However, making more progress with fiscal transparency, adjusting the fiscal policy 
stance, doing more to target inflation and preserving financial stability will be important ways 
to  engineer  a  soft  landing  of  the  economy  and  ensure  sustainable  growth.  In  particular,  a 
sudden reduction or reversal of capital flows could put pressure on the lira, resulting in higher 
inflation. The adoption of a strong fiscal rule may not only enhance fiscal transparency, but 
also  provide  a  strong  fiscal  anchor  and  enhance  credibility.  Overall,  the  soft  landing  of  the 
Turkish  economy  remains  vulnerable  to  bouts  of  financial  uncertainty  and  the  global  risk 
sentiment and more could be done to better coordinate and optimise the policy mix.  

Interplay of market forces 

The share of administered prices in the Consumer Price Index (CPI) basket remained at only 
4.5%. At the same time, food and alcohol prices – more than 25% of the consumer basket are 
highly sensible to policy and administrative decisions. Regulatory and surveillance agencies 
are in place in all major sectors. Automatic pricing mechanisms are operational in the natural 
gas  and  electricity  sectors,  where  end-user  prices  are  officially  linked  to  a  cost-based 
methodology. However, the government increasingly interferes and independently sets prices, 
thereby suspending automatic mechanisms including in the transport sector.  

There  has  been  limited  progress  in  the  restructuring  and  transparency  of  state-owned 
enterprises.  The  pace  of  privatisation  slowed  down  significantly,  chiefly  due  to  investors’ 
difficulties  in  gaining  access  to  long-term  external  financing.  As  a  result,  tenders  for  two 
electricity  distribution  companies  remained  inconclusive.  Deadlines  and  procedures  for 
various tenders, including the natural gas tender, were extended. Total privatisation receipts 
decreased from € 2.2 billion in 2010 (0.4% of GDP) to € 971 million (0.2% of GDP) in 2011. 
Major  deals  completed  in  2011  were  the  port  of  İskenderun  (€ 266  million)  and  the  Trakya 
electricity  distribution  company  (€ 411  million).  Planned  privatisations  for  2012  include 
major electricity generation assets, highways and bridges, and several ports. Remaining shares 
in Turkish Airlines, Turk Telekom, Petkim, and state-owned banks Halkbank and Vakıfbank 
may  also  be  the  subject  of  new  privatisation  deals.  There  is  no  plan  for  the  privatisation  of 
Ziraatbank  and  the  national  lottery  yet.  Overall,  the  government  has  been  increasingly 
interfering  in  the  price-setting  mechanism  and  difficulties  in  gaining  access  to  external 
financing have slowed down privatisation. 

Market entry and exit 

In  2011,  the  implementation  of  the  business  registration  process  was  fine-tuned.  However, 
starting a business in Turkey remains costly and corresponds to 11.2% of per capita income. 
Some fees are still not transparent, such as those for the official registration of a company’s 
articles  and  accounts.  Trade  registry  fees  are  significant.  Progress  in  removing  exit  barriers 
remains  weak.  Closing  a  business  is  still  expensive  and  time-consuming.  Insolvency 
procedures take about 3.3 years and recovery rates — at 22% on average — remain very low. 
Registering a property in Turkey costs 3.3% of its value, requires six separate procedures and 
takes six days. Obtaining a construction permit is expensive and time-consuming: on average, 

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it  takes  24  procedures  and  189  days.  Costs  correspond  to  almost  200%  of  the  average  per 
capita  income.  Overall,  market  entry  is  satisfactory,  while  market  exit  remains  costly  and 
long, and insolvency proceedings are still heavy and inefficient.  

Legal system 

A reasonably well functioning legal system, including in the area of property rights, has been 
in  place  for  several  years.  Enforcement  of  commercial  contracts  is  still  a  rather  lengthy 
process, involving 36 procedures and taking an average of 420 days. Commercial court judges 
lack specialisation, which results in lengthy court proceedings. The expert witness system still 
operates as a parallel judicial system, but does not improve the overall quality. Out-of-court 
dispute  settlement  mechanisms  are  seldom  used.  The  judicial  system  and  administrative 
capacity  can  be  further  improved.  Overall,  the  legal  system  continues  to  function  relatively 
well, but no progress has been observed.  

Financial sector development 

In  2011,  the  financial  sector  continued  to  perform  well,  and  total  financial  sector  assets 
increased  by  almost  a  third.  Risk  ratios  in  the  financial  sector  remained  robust.  Banks 
continued to dominate the sector, as their share of total financial sector assets remained about 
80%. Banking assets values are about 100% of GDP. The share of state-owned banks in total 
banking  sector  assets  decreased  from  30%  in  2010  to  26%  in  2011,  while  domestic  private 
banks had a 32% share. Foreign banks’ share reached 21.9% (41.6%, if ownership through the 
stock  exchange  is  also  included).  There  was  no  progress  in  the  privatisation  of  state-owned 
banks  planned  a  long  time  ago.  The  share  of  the  insurance  sector  remained  small  and 
underdeveloped,  with  3%  of  the  total  financial  sector.  Largely  in  tandem  with  the  growth 
performance, credit expansion slowed down gradually, from about 40% year-on-year in mid-
2010, to about 12% by mid-2012. Both the banking sector loan stock and its deposits’ stock 
amounted to about 50% of GDP by mid-2012. The loans to deposits’ ratio increased gradually 
from  83%  in  2010  to  99%  in  the  second  quarter  of  2012.  The  value  of  outstanding  debt 
instruments  traded  in  the  bond  market  amounted  to  about  40%  of  GDP.  Private  debt  issues 
increased  significantly,  from  1.3%  of  the  total  equity  market  in  2011  to  4.1%  in  mid-2012. 
The share of non-performing loans in total banking sector loans decreased from 3.7 in 2010 to 
2.7%  by  the  end  of  2011.  The  capital  adequacy  ratio  decreased  further,  from  19%  in 
December  2010  to  16.5%  in  June  2012,  still  significantly  above  the  statutory  minimum  of 
12%. The authorities established a financial stability committee under the chairmanship of the 
deputy  prime  minister  in  charge  of  the  economy.  The  committee  aims  to  monitor  systemic 
risks and their management and identifies policy measures to be undertaken. The committee 
met  eight  times  since  its  establishment  in  June  2011.  Overall,  the  financial  sector  has 
continued to show dynamism and strength thanks to earlier in-depth reforms. 

3.2. 

The  capacity  to  cope  with  competitive  pressure  and  market  forces  within  the 
Union 

Existence of a functioning market economy 

Turkey’s  robust  growth  in  a  context  of  major  global  volatility  confirms  the  economy’s 
improved fundamentals and enhanced resilience to shocks. However, the rapid expansion of 
the current account deficit and strong inflationary pressures point to the return of significant 
imbalances  in  the  Turkish  economy.  Overall,  the  functioning  of  market  mechanisms  has 
remained intact. 

Human and physical capital  

The educational reform programme, which is a key component of the National Development 
Plan 2007-2013,  is  coming  to an  end.  It sets  two  key priorities for  education modernisation 

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and reform: namely increasing the responsiveness of education to demand and enhancing the 
quality of the education system. By 2011, some progress has been made. Illiteracy rates for 
the population aged 15 or above decreased from 7% in 2010 to 5.7% in 2011 and from 11.4% 
to  9.4%  for  women.  The  ratio  of  university  graduates  in  the  population  aged  15  or  above 
increased from 9.2% in 2010 to 10.8% in 2011. The net schooling ratio in primary education 
(eight-year cycle) increased slightly, while the net schooling ratio in secondary education also 
increased significantly, from 65% to 69% during the same period. However, challenges have 
remained substantial. Participation in higher education remains low by international standards 
and,  although  there  has  been  some  progress  and  the  top  students  in  Turkey  are  performing 
well, the vast majority of Turkish students display low proficiency levels in basic skills and 
problem-solving.  As  from  the  school  year  2012-2013,  compulsory  education  has  been 
extended from 8 to 12 years. This decision has been taken without proper impact-assessment. 
It  may  imply  a  significant  fiscal  cost  and  affect  the  overall  education  quality.  Turkey 
increased funds for active labour market policy significantly. Overall, reforms and increased 
spending on education have so far generated a positive impact on educational attainment and 
schooling rates, but significant problems remain with regard to the quality of education.  

Investment  rose  from  18.9%  of  GDP  in  2010  to  21.9%  in  2011,  entirely  thanks  to  private 
sector investments, which increased from 15% of GDP to 18.1% of GDP. Gross FDI inflows 
to  Turkey  increased  from  € 6.8  billion  to  € 9  billion.  Although  the  official  aim  of  the 
government is to increase expenditures on research and development to meet the target of 2% 
of GDP, the actual outcomes remain much lower, given that R&D expenditure amounted to 
just  0.84%  of  GDP  in  2010  (latest  available  data).  Growth  in  gross  electricity  consumption 
has averaged around 6% in each of the past five years, and no extra power generating capacity 
has  been  built.  Modest  progress  was  made  in  the  upgrading  of  infrastructure.  Overall, 
improvements in the country’s physical capital have been modest. 

Sectoral and enterprise structure 

The  share  in  employment  of  agriculture  and  construction  stabilised  at  25.5%  and  7% 
respectively in 2011. Fewer jobs were created in services and industry, whose share in total 
employment went down to 48% and 19.5% respectively in 2011. Growth has been particularly 
job-rich as overall employment grew by 6.7% in 2011, slightly up from 6.2% in 2010. At the 
same time, the relative output of the service sector fell by one percentage point to about 63%, 
while  the  share  of  agriculture  and  industry  went  up  marginally  to  8%  and  26%  of  GDP 
respectively in 2011.  

Progress  in  liberalising  the  utilities  sectors  has  been  uneven.  The  draft  Electricity  Market 
Law,  which  is  to  repeal  the  existing  one,  was  discussed  with  stakeholders  and  sent  for  the 
approval of the Prime Ministry. However, no tangible progress can be reported on reducing 
BOTAS’  (gas)  monopolistic  market  share  while  attempts  to  replace  the  terminated  contract 
with  the  Russian  Federation  by  contracts  with  the  private  sector  remained  unsuccessful. 
Regarding  the  telecommunications  market,  steps  to  increase  the  level  of  competition  in  the 
market  continued.  The  wholesale  line  rental  (WLR)  implementations  which  started  in 
February  2012  further  enhanced  competition,  in  particular  in  the  broadband  and  fixed 
telephony markets. Overall, the liberalisation of network industries gathered pace.  

State influence on competitiveness 

Only very limited progress was made in the area of State aid. The legislation implementing 
the  State  Aid  Law  was  originally  scheduled  to  be  enacted  by  the  end  of  September  2011. 
However,  a  decree-law  issued  in  November  2011  stipulated  that  this  legislation  would  only 
enter into force by the end of June 2013. The implementing legislation concerning the State 
Aid Authority is not in place yet. However, a significant incentives package, superseding the 

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2009  stimulus  package,  was  presented  by  the  Turkish  authorities  in  early  April  2012  and 
adopted  in  June  2012.  The  State  Aid  Authority  is  still  expected  to  formally  establish  a 
comprehensive State aid inventory and an action plan for aligning all State aid schemes with 
the  acquis.  The  legal  framework  for  public  procurement  continued  to  comprise  various 
exemptions  and  is  still not  in  line  with  the  EU  acquis.  Overall,  there  has  been  very  limited 
progress in enhancing the transparency of State aid. 

Economic integration with the EU 

The openness of the economy as measured by the value of exports and imports of goods and 
services as a percentage of GDP increased significantly from 48% in 2010 to 56.5% in 2011. 
At  the  same  time,  the  EU’s  share  of  Turkey’s  total  trade  decreased  from  41.7%  in  2010  to 
40.8% in 2011. Between 2010 and 2011, the EU share of Turkey’s exports remained stable at 
46%, while its import share decreased from 42.6% to 41.7%. However, first half of 2012 data 
indicate that shares have been falling due to a weakening of EU demand. The EU continued to 
be the main source of FDI  inflows  to Turkey, albeit with a falling share: 76% in 2010, and 
71%  in  2011,  as  FDI  from  non-EU  countries  increased  more  than  from  the  EU.  In  nominal 
terms, foreign capital investment inflows originating from the EU countries — excluding real 
estate — more than doubled in one year, increasing from € 3.5 billion to € 8 billion. Overall, 
trade and economic integration with the EU remained high.  

Based  on  the  information  available  on  real  wage  developments,  unit  labour  costs  appear  to 
have increased at a slightly faster pace than labour productivity in 2011 and the first half year 
of  2012.  Labour  costs  went  up  in  2011  by  10.2%  for  the  whole  economy,  by  9.1%  in 
manufacturing,  and  by  14.1%  in  the  construction  sector.  Conversely,  the  non-wage  labour 
cost  index,  which  shows  social  security  contributions  and  severance  payments  per  hour, 
increased by 9.1%. The Turkish lira depreciated vis-à-vis the euro by 20% and against the US 
dollar by 23.3% in 2011. The real effective exchange rate (against a basket of 50% US dollar 
and 50% euro) also decreased in 2011 by about 15% (the CPI-based REER index decreased 
from 125.7 in 2010 to 109.5 in 2011). High inflation and some appreciation in 2012 caused 
the REER index to climb to 115 in mid-2012. Overall, Turkey’s international competitiveness 
has increased, primarily due to a depreciation of the currency in 2011.  

4. 

ABILITY TO TAKE ON THE OBLIGATIONS OF MEMBERSHIP 

This  section  examines  Turkey’s  ability  to  take  on  the  obligations  of  membership  —  that  is, 
the  acquis  as  expressed  in  the  Treaties,  the  secondary  legislation  and  the  policies  of  the 
Union.  It  also  analyses  Turkey’s  administrative  capacity  to  implement  the  acquis.  The 
analysis  is  structured  according  to  the  list  of  33  acquis  chapters.  In  each  sector,  the 
Commission’s  assessment  covers  progress  achieved  during  the  reporting  period,  and 
summarises the country’s overall level of preparations. 

4.1. 

Chapter 1: Free movement of goods 

Some  progress  can  be  reported  regarding  alignment  with  general  principles.  The  pilot 
implementation  of  the  risk-based  import  control  system  TAREKS  was  extended  to  new 
product  categories.  The  importers  of  these  products  need  to  register  on  TAREKS.  For 
products that hold an ATR certificate, and are thus in free circulation in the EU, a TAREKS 
reference number authorising imports is directly issued by the system with no further checks. 
Hence,  the  EU  origin  condition  is  finally  abolished  for  these  product  categories.  Third-
country products in free circulation in the EU which fall under other New Approach directives 
in  the  electro-technical  field,  pressure  equipment  and  gas  appliances  are  still  subject  to 
conformity  assessment  checks  on  documentation  and  if  necessary  to  physical  checks  at 
customs.  This  delays  their  access  to  the  Turkish  market.  Textiles  and  clothing  goods 

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originating in a third country and in free circulation in the EU are subject to additional duties 
when they enter the Turkish market. This measure, in place since 22 June 2011, is in breach 
of  the  basic  principles  of  the  Customs  Union.  Turkey  decided  on  1  June  2012  that  the 
additional duties shall not be levied on goods originating in countries with which Turkey has 
signed an FTA and which are included in the system of diagonal cumulation provided that a 
proof  of  preferential  status  of  the  goods  is  submitted.  For  goods  originating  in  other  third 
countries, the measure continues to be in place. 

Technical  barriers  to  trade  continue  to  exist  and  prevent  free  movement  of  goods  in  certain 
areas such as pharmaceuticals. Good manufacturing practice (GMP) certificates issued by EU 
Member States, which form part of the marketing authorisation for pharmaceutical products 
for human use, are still not accepted and the products require a GMP certificate issued by the 
Turkish authorities. This causes long delays in the registration process and results in de facto 
discrimination  against  EU  imports  to  the  advantage  of  domestic  producers.  The  online 
registration  requirements  for  imports  of  textile and  clothing  remain  in  effect  although  some 
flexibility has been introduced regarding the type of information to be given, in order not to 
require companies to disclose information of commercial value. Licences are still required for 
old  or  second-hand  goods  such  as  construction  equipment  and  for  goods  considered  as 
renovated or faulty. For alcoholic beverages, a pre-notification system replaced the previous 
control  certificate  system,  bringing  some  improvement.  Exports  of  aluminium,  paper  and 
copper scrap and imports of certain processed agricultural products are subject to restrictions 
that constitute a de facto breach of the Customs Union rules. Some other goods are subject to 
prior registration. 

As  a  major  step  in  alignment,  Turkey  adopted  a  long-awaited  regulation  on  mutual 
recognition  in  the  non-harmonised  area.  The  regulation  will  enter  into  force  on  1  January 
2013. It is expected that this will remove a number of technical barriers to the free movement 
of goods. 

Although  Turkey  has  reached  an  advanced  level  of  alignment  in  this  chapter,  Turkey  still 
needs to fully incorporate into its internal legal order the remaining EU instruments relating to 
the removal of technical barriers to trade in the area of Customs Union enumerated in Annex 
II to Decision 2/97 of the EU-Turkey Association Council. Turkey has agreed to incorporate 
the updated list of Annex II into its internal legal order. 

As  regards  horizontal  measures,  further  progress  can  be  reported  in  the  area  of 
standardisation.  The  Turkish  Standards  Institute  (TSE)  became  a  full  member  of  the 
European  Committee  for  Standardisation  (CEN)  and 
the  European  Committee  for 
Electrotechnical  Standardisation  (CENELEC)  in  January  2012.  The  Turkish  standardisation 
system is now fully integrated into the European system. The founding law of the TSE was 
revised  in  November  2011,  all  references  to  mandatory  standards  were  removed  and  all  its 
publications were made subject to intellectual property rights law. The adoption of European 
standards  by  the  TSE  continued.  The  TSE  has  so  far  adopted  a  total  of  17,422  CEN  and 
CENELEC  standards.  Turkey  has  so  far  harmonised  with  a  total  of  391  standards  of  the 
European  Telecommunication  Standards  Institute  (ETSI).  The  overall  rate  of  harmonisation 
with  European  standards  stands  at  around  96%.  The  TSE  is  running  82  operational 
committees.  However,  the  TSE  needs  to  apply  a  more  participatory  approach  in  its 
standardisation work, especially as regards SMEs and consumer organisations.  

In  terms  of  conformity  assessment,  further  progress  was  achieved  in  the  area  of  notified 
bodies. There are now 23 Turkish notified bodies compared with 18 in 2011. There are two 
approval bodies in the area of construction products.  

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Some  progress  can  be  noted  regarding  accreditation.  The  Turkish  Accreditation  Agency, 
TURKAK, is a member of the European Cooperation for Accreditation (EA) and a signatory 
of  seven  multilateral  agreements  of  the  EA.  The  number  of  TURKAK  accreditations 
increased by 13% since last year and reached 647. TURKAK is the Monitoring Authority in 
the  area  of  Good  Laboratory  Practice  (GLP).  However,  it  has  not  yet  established  any  GLP 
monitoring programme. TURKAK was affiliated to the Ministry of EU Affairs instead of the 
Ministry of Science, Industry and Technology in April 2012. This was a positive step towards 
increased transparency and a reduced risk of conflicts of interest. Following this a revised law 
aimed  at  further  harmonising  TURKAK’s  structure  with  the  European  accreditation  system 
was  adopted.  Although  the  law  does  not  address  all  issues  regarding  TURKAK’s  financial 
and administrative autonomy, it brings improvements to the system in the right direction.  

Some progress can be reported in the area of legal metrology. New and amending legislation 
was  issued  on  the  servicing,  inspection  and  verification  of  tachographs,  as  well  as  on  the 
certification  of  persons  to  be  authorised  to  repair  and  adjust  measuring  instruments.  A 
national strategy on metrology was prepared and agreed. 

There  was  some  progress  on  market  surveillance.  A  Prime  Ministry  circular  was  issued  in 
September  2011  on  Market  Surveillance  and  the  Product  Safety  Evaluation  Board,  drawing 
the  attention  of  all  relevant  public  authorities  to  the  importance  of  actively  participating  in 
Board activities. The Market Surveillance and Product Safety Evaluation Board adopted the 
new  National  Market  Surveillance  Strategy  2012-2014  document.  The  Ministry  of  Customs 
and  Trade  published  a  communiqué  on  the  safety  risks  of  some  consumer  products  falling 
under  the  non-harmonised  area  and  set  down  minimum  essential  safety  requirements.  It  is 
expected  that  market  surveillance  activities  in  these  product  groups  will  be  enhanced.  The 
database  linking  accidents  and  injuries  to  products  has  been  started  up  on  a  pilot  basis. 
Notifications of unsafe products to the Ministry of Economic Affairs by market surveillance 
authorities  have  continued.  However, 
insufficient  coordination  within  and  between 
surveillance agencies, scarce allocation of financial and human resources, and infrequent use 
of  risk  assessment  and  sampling  methods  still  need  to  be  addressed.  Market  surveillance 
actions  are  not  systematically  evaluated.  The  visibility  of  market  surveillance  remains  low. 
Stakeholder involvement in surveillance remains weak.  

Turkey  is  partially  aligned  with  the  2001  General  Product  Safety  Directive,  and  with  the 
Regulation  on  accreditation  and  market  surveillance.  Full  alignment  and  effective 
implementation of market surveillance have yet to be achieved.  

There  was  some  progress  on  the  ‘Old  Approach’  product  legislation.  Turkey  adopted 
amending  legislation  on  the  type  approval  of  the  braking  systems  of  two-  or  three-wheeled 
motor  vehicles,  and  of  motor  vehicles  and  agricultural  and  forestry  tractors  with  respect  to 
emissions and on radio interference of motor vehicles. New regulations on the general safety 
of motor vehicles and their trailers, labelling of tyres, towing devices, wheel guards, statutory 
plates, windscreen wiper and washer systems and space for rear registration plates were also 
published.  Turkey  issued  legislation  on  energy  labelling  in  order  to  encourage  energy 
efficiency. An amending regulation on the pricing of pharmaceuticals for human use changed 
the  pricing  system  once  again.  An  amending  regulation  concerning  the  packaging  and 
labelling  of  pharmaceuticals  was  adopted.  Turkey  established  a  new  Medical  Devices  and 
Pharmaceuticals  Agency  to  deal  with  the  regulation,  licensing,  pricing  and  monitoring  of 
pharmaceuticals  for  human  use,  and  the  regulation  and  market  surveillance  of  medical 
devices.  Certain  provisions  of  the  Turkish  legislation  do  not  provide  legal  certainty  with 
regard  to  data  exclusivity  for  any  combination  pharmaceutical  product  registered  in  the 
Customs  Union  after  1  January  2005.  The  cumbersome  and  lengthy  procedure  for  issuing 
GMP certificates continues to affect the marketing authorisation  of pharmaceutical products 

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in  Turkey  and  it  can  in  some  cases  have  an  indirect  impact  on  regulatory  data  exclusivity. 
Turkey adopted legislation on veterinary pharmaceuticals aimed at aligning with the acquis.  

Some  further  progress  can  be  reported  in  the  already  advanced  area  of  ‘New  and  Global 
Approach’  product  legislation.  Turkey  adopted  legislation  on  the  publication  of  technical 
specifications  and  national  and  EU  technical  approvals,  on  conformity  verification  systems 
and on reaction-to-fire aspects of construction products. A categorisation guide was issued for 
personal protective equipment in order to facilitate the CE marking of these products. Lists of 
harmonised  standards  were  updated  and  published  on  recreational  crafts,  radio  and 
telecommunication  terminal  equipment  and  personal  protective  equipment.  A  communiqué 
regarding  A-type  inspection  bodies  was  adopted  in  order  to  further  operationalize  the 
legislation  on  lifts.  The  eco-design  requirements  for  several  energy-using  products  were 
published.  

Some  progress  can  be  reported  regarding  procedural  measures.  The  Turkish  legislation  is 
now partially aligned with the  acquis in this area. There was no progress regarding  cultural 
goods and firearms. 

‘Free movement of goods’ is one of the eight chapters covered by the conclusions on Turkey 
adopted by the Council (General Affairs and External Relations) on 11 December 2006 and 
endorsed by the European Council on 14/15 December 2006. As long as restrictions remain in 
place on the free movement of goods carried by vessels and aircraft registered in Cyprus or 
whose last port of call was in Cyprus, Turkey will not be in a position to fully implement the 
acquis relating to this chapter. 

Conclusion 

Some  progress  can  be  reported  in  the  area  of  free  movement  of  goods.  However,  technical 
barriers  to  trade  continue  to  prevent  free  movement  of  goods  in  violation  of  Turkey’s 
obligations under the Customs Union. The delays in issuing GMP certificates and the problem 
of data protection for pharmaceutical products need to be solved. The remaining import and 
export licences and the restrictions on imports of used goods need to  be abolished.  Overall, 
the preparations in this area are advanced.  

4.2. 

Chapter 2: Freedom of movement for workers 

There have been no developments in the area of access to the labour market. 

There  has  been  some  progress  as  regards  future  participation  in  the  EURES  (European 
Employment Services) network. The Turkish Employment Agency (ISKUR) has improved its 
IT infrastructure and capacity. 

Some progress can be reported in the area of coordination of social security systems. The 
capacity of the Social Security Institution has been further strengthened.  

There have been no developments with respect to the European Health Insurance Card. 

Conclusion 

There  has  been  little  progress  in  the  area  of  freedom  of  movement  for  workers.  Turkey 
increased its capacity with a view to future participation in EURES and coordination of social 
security systems. Preparations in this area have been launched. 

4.3. 

Chapter 3: Right of establishment and freedom to provide services 

No  progress  was  recorded  on  the  right  of  establishment  and  freedom  to  provide  cross-
border  services.  A detailed  alignment  strategy  has  not  been  produced  yet.  As  regards  the 
right  of  establishment,  disproportionate  requirements  remain.  In  the  field  of  freedom  to 

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provide  cross-border  services,  no  progress  was  observed.  Registration,  licensing  or 
authorisation  requirements  are  still  in  place  for  service  providers  established  in  an  EU 
Member  State  who  apply  for  work  and  residence  permits  in  Turkey  and  there  is  no 
mechanism  to  prevent  further  requirements  from  being  introduced,  something  which 
happened during the reporting period. Alignment with the Services Directive has not yet been 
achieved, and no Point of Single Contact exists. 

There is no progress to report on postal services. The draft postal law has still to be adopted. 
The  legal  monopoly  remains  in  place.  In  view  of  the  legislative  reform  gradual  market 
opening is envisaged. Regarding administrative capacity, an independent regulatory authority, 
whose  establishment  would  ensure  clear  separation  between  regulatory  and  (postal) 
operational functions, still needs to be established. 

Limited  progress  can  be  reported  on  mutual  recognition  of  professional  qualifications.  A 
decree-law  and  its  implementing  regulation  removed  legal  obstacles  to  the  employment  of 
foreign doctors and nurses in Turkish private hospitals. Nevertheless, the nationality condition 
still  remains  in  force  for  the  public  sector.  The  requirements  include  Turkish  language 
proficiency, residence permits, and recognition of the equivalence of degrees and/or expertise. 
There  is  still  no  differentiation  between  the  recognition  of  professional  and  academic 
qualifications. Furthermore, reciprocal recognition still applies to some regulated professions, 
and nationality and excessive language requirements subsist. 

‘Right of establishment and freedom to provide services’ is one of the eight chapters covered 
by  the  conclusions  on  Turkey  adopted  by  the  Council  (General  Affairs  and  External 
Relations) on 11 December 2006 and endorsed by the European Council on 14/15 December 
2006.  As  long  as  restrictions  remain  in  place  on  the  free  movement  of  goods  carried  by 
vessels and aircraft registered in Cyprus or whose last port of call was in Cyprus, Turkey will 
not be in a position to fully implement the acquis relating to this chapter. 

Conclusion 

Apart from the removal of legal obstacles to the employment of foreign doctors and nurses in 
Turkish  private  hospitals,  very  little  progress  can  be  reported  in  this  chapter  and,  overall, 
alignment is at an early stage. 

4.4. 

Chapter 4: Free movement of capital 

No  progress  can  be  reported  on  capital  movements  and  payments.  The  study  on  the 
potential impact of gradual liberalisation for the legal framework on real estate acquisition by 
foreigners  is  ongoing.  Turkey  abolished  the  reciprocity  principle  for  physical  persons  and 
extended  the  number  of  eligible  countries  to  183  taking  into  account  national  interests  and 
bilateral relations. Although the eligibility list is not public, it seems that restrictions remain 
for  Greek  citizens  in  coastal  regions  and  in  Istanbul,  for  Bulgarian  citizens  in  the  Turkish 
Bulgarian border provinces as well as for Cypriot citizens. Turkey’s legislative framework in 
this area is not in line with Article 63 of the Treaty on the Functioning of the European Union. 
Turkey  still  needs  to  adopt  an  action  plan  for  gradually  liberalising  the  acquisition  of  real 
estate by foreigners in line with the acquis and to demonstrate progress in the implementation 
of gradual liberalisation. 

Restrictions on foreign ownership persist in radio and TV broadcasting, transport, education, 
and the privatisation of electricity distribution and generation assets. Considerable efforts are 
needed  to  align  the  current  legal  framework  on  capital  movements  and  payments  with  the 
acquis. No progress can be reported in payment systems.  

Limited  progress  has  been  made  on  alignment  with  the  acquis  in  the  fight  against  money 
laundering. A draft law on the prevention of the financing of terrorism was submitted to the 

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the 

list  of 

to  keep  Turkey  on 

parliament but has not been adopted yet. The Financial Action Task Force (FATF) therefore 
jurisdictions  with  strategic  Anti-Money 
decided 
Laundering/Combatting  the  Financing  of  Terrorism  (AML/CFT)  deficiencies.  Particular 
deficiencies identified by the FATF are the lack of criminalisation of financing of terrorism 
and the inadequate legal framework for identifying and freezing terrorist assets. In its public 
statement  in  June  2012  the  FATF  noted  that  despite  Turkey’s  high  political  commitment  to 
work with the FATF to address its strategic CFT deficiencies, Turkey has not made sufficient 
progress  in  implementing  its  action  plan  and  certain  strategic  CFT  deficiencies  remain.  The 
FATF urged Turkey to address these deficiencies and announced that it would call upon its 
members  to  apply  counter-measures  proportionate  to  the  risks  associated  with  Turkey  if  it 
does not take significant action by October 2012.  

In  2011  the  Turkish  Financial  Crimes  Investigation  Board  (MASAK),  which  serves  as  the 
Turkish  Financial  Intelligence  Unit  (FIU),  has  signed  Memoranda  of  Understanding  on 
exchange  of  information  with  counterparts  in  6  countries  (the  United  Kingdom,  Canada, 
Belarus, Finland, Australia and Monaco). In 2012 MASAK signed Memoranda also with the 
United States, Belgium, Netherlands, Poland, Malaysia and Kosovo. 

The  number  of  suspicious  transaction  reports  notified  to  MASAK  in  2011  was  8,739, 
significantly less than in 2010 and 2009, while the number of reports notified to MASAK up 
to  9  April  2012  was  4,001.  The  reports  originated  mostly  from  the  banking  sector.  The 
number  of  suspicious  transaction  reports  with  regard  to  financing  of  terrorism  increased  to 
219 in 2011, against 186 in 2010. Results with regard to convictions, confiscations, seizures 
and freezing of assets remain limited. 

MASAK continued providing training to examiners, judges, prosecutors and obliged parties. 
However,  MASAK’s  own  capacity  needs  to  be  further  improved.  Cooperation  between 
MASAK, law enforcement bodies and the judiciary has still to be strengthened.  

Turkey has not ratified the Council of Europe Convention on Laundering, Search, Seizure and 
Confiscation  of  the  Proceeds  from  Crime  and  on  the  Financing  of  Terrorism  (CETS  198), 
although it signed the Convention in 2007. 

In July 2012 the Parliament abolished the system of Specially Authorised Courts. They will 
be replaced by Serious Crimes Courts under the Anti-Terror Law. These new courts will also 
deal with cases of laundering of criminal assets. 

Conclusion 

Limited  progress  has  been  made  in  the  area  of  free  movement  of  capital.  Restrictions  on 
capital  movements  remain  in  place  in  a  number  of  sectors,  including  on  direct  investments 
originating  from  the  EU.  Enforcement  capacity  against  money  laundering  and  financing  of 
terrorism  needs  to  be  improved.  The  legal  framework  to  combat  financing  of  terrorism 
remains  incomplete  and  further,  urgent  efforts  are  needed  as  regards  alignment  with  the 
acquis and the relevant FATF recommendations. Overall, preparations in this area remain at 
an early stage.  

4.5. 

Chapter 5: Public procurement 

There is no progress to be reported on general principles. No significant changes were made 
in the legislative framework. Exemptions and domestic preferences still need to be addressed. 
The National Strategy and Action Plan for Public Procurement, in draft status for two years, 
has not yet been adopted. Utilisation of the domestic price advantage clause (15%) continued 
to  increase  significantly  in  2011.  It  was  applied  for  40%  of  the  overall  value  of  contracts 
above  the  threshold  (23%  in  the  first  semester  2011)  and  for  16%  (8%)  of  the  number  of 
contracts.  However,  while  exemptions  from  the  Public  Procurement  Law  continued  and 

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distorted consistency and effectiveness of the Law, the value contracts rewarded outside the 
Public  Procurement  Law  dropped  significantly  from  19%  to  8%.  Aligning  the  scope  of  the 
Public  Procurement  Law  with  the  acquis  is  needed  to  ensure  consistency  of  the  legislative 
framework. 

Some  progress  can  be  reported  with  regard  to  the  award  of  public  contracts.  The  Public 
Procurement Authority further improved the electronic public procurement platform (EKAP), 
which currently covers public procurement processes such as notification, tendering, selection 
and  evaluation.  An  E-procurement  Research  and  Development  Centre  was  established  at  a 
university in Ankara. The EKAP call centre has continued to provide advisory services to the 
procuring  entities.  The  Public  Procurement  Authority  actively  provided  training.  The 
Authority  also  received  professional  assistance  for  training  through  the  cooperation 
agreements with prominent Turkish universities. The scope of training in public procurement 
needs  to  be  extended  so  that  it  can  fully  meet  the  needs  of  both  contracting  authorities  and 
economic operators. 

The  Ministry  of  Finance 
is  responsible  for  coordinating  policy  formulation  and 
implementation. Shortcomings in its staffing and operational capacity relevant for the area of 
public procurement have been addressed. The Public Procurement Authority and the Ministry 
of  Development  also  have  the  necessary  capacity  to  carry  out  their  mandate.  Market 
functionality  and  competition  with  regard  to  other  stakeholders  such  as  contracting  entities 
and economic operators in most sectors are satisfactory. The level of preparedness is high in 
this area. 

The  Turkish  public  procurement  legislation  is  not  in  line  with  the  acquis  in  a  number  of 
respects. Both the  classical  and  utilities sectors are subject to the  same law and procedures, 
thus making the legislation for the utilities sector more restrictive than envisaged by the EU 
Utilities  Directive.  Turkey  needs  to  establish  a  more  coherent  legal  framework  for 
concessions and public-private partnerships to enhance transparency and efficiency. The 2012 
thresholds and financial limits for public procurement continue to be higher than those in the 
EU.  A  draft  alignment  strategy  for  public  procurement  setting  out  milestones  for  full 
alignment with the acquis has yet to be adopted.  

No progress can be reported on alignment with the Remedies Directives. In comparison to the 
previous  year,  the  number  of  complaints  lodged  by  dissatisfied  tenderers  increased  by  9%, 
from  4,281  to  4,670,  whilst  the  overall  number  of  tenders  grew  by  23%.  The  ratio  of 
complaints  to  the  number  of  tenders  was  3%,  which  suggests  that  the  public  procurement 
system in Turkey is stabilising. However, the decree-laws adopted in August and November 
2011 raise concerns about the independence of the Public Procurement Board from political 
interference  and  about  its  functional  autonomy.  The  implementation  of  these  decree-laws 
needs  to  be  closely  scrutinised.  Turkey  needs  to  align  further  its  legislation  on  review 
mechanisms with the acquis.  

Conclusion 

Limited  progress  can  be  reported  in  the  area  of  public  procurement.  The  institutions  are  in 
place  and  administrative  capacity  has  improved.  However,  the  draft  alignment  strategy, 
comprising a time-bound action plan, needs to be adopted. Turkey needs to repeal derogations 
that  are  not  in  line  with  the  acquis  and  align  further  its  legislation,  particularly  on  utilities, 
concessions and public-private partnerships. The organisation of the remedies system remains 
to be reviewed. The preparations in this area are moderately advanced. 

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4.6. 

Chapter 6: Company law 

Some progress can be reported on company law. After its adoption in February 2011, the new 
Turkish Commercial Code (TCC) entered into force in July 2012. However, an amendment to 
the new Code was adopted before its entry into force, addressing mainly the relations between 
the shareholders and the company, transparency and the accounting system. Certain amending 
provisions  are  not  in  line  with  the  acquis.  Some  implementing  legislation  on  the  TCC  has 
been adopted. Preparations for online company registration continued, including preparations 
to extend its pilot application to all chambers of commerce.  

Further  corporate  governance  principles  have  been  issued  by  the  Capital  Markets  Board 
(CMB) and the principles have been made applicable to a larger number of companies. Rules 
on the remuneration policy of brokerage houses have been amended in order to comply with 
principles on independent directors and directors’ remuneration. Principles regarding merger 
proceedings  have  also  been  amended.  However,  the  new  corporate  governance  principles 
increase the state involvement in the corporate governance by giving more power to the CMB 
to control companies. The new TCC is assigning a number of new tasks to commercial courts 
with regard to enforcement of new company law rules, whilst the capacity of these courts still 
remains  insufficient.  Professional  business  organisations,  including  chambers  of  commerce, 
also need strengthening. 

Some progress can be reported in the area of corporate accounting. The legal framework for 
financial  reporting  is  in  place.  Turkey  adopted  40  Turkish  Accounting  and  Financial 
Reporting Standards (TAS/TFRSs), 22 interpretations of the Standards and TFRSs for SMEs. 
They  are  fully  aligned  with  the  corresponding  International  Financial  Reporting  Standards. 
TFRSs  are  applied  by  listed  companies,  banks,  leasing,  factoring  and  financing  companies, 
insurance, reinsurance and pension companies. The new TCC also requires other large capital 
companies to apply TFRSs and these companies are to be audited by statutory auditors as of 
January 2013.  

A  newly  established  Public  Oversight,  Accounting  and  Auditing  Standards  Authority  took 
over all tasks and assets of the dissolved Turkish Accounting Standards Board. 

Turkey  made  significant  progress  in  auditing.  The  Public  Oversight,  Accounting  and 
Auditing Standards Authority was established in November 2011 and became operational in 
December 2011. The new authority is responsible for setting standards for auditing, drafting 
code of conduct, and approving, registering and monitoring statutory auditors and audit firms. 
It  employs  50  staff,  including  inspectors  working  directly  on  public  oversight  of  auditing. 
This capacity needs to be further strengthened.  

Conclusion 

Good  progress  was  made  in  the  area  of  company  law  following  the  establishment  of  the 
Turkish  Accounting  and  Auditing  Standards  Authority.  However,  the  capacity  of  the 
commercial judiciary and business organisations needs strengthening in order to deal with the 
changes made by the new legislation. Overall, Turkey is advanced in this area. 

4.7. 

Chapter 7: Intellectual property law 

Some  progress  can  be  reported  in  the  area  of  intellectual  property  law.  Political  will  to 
effectively  enforce  industrial  property  rights  remains  weak.  The  second  meeting  of  the  IPR 
Working Group between the EU and Turkey was held in January 2012. 

Concerning  copyright  and  neighbouring  rights,  adoption  of  the  draft  Law  on  Intellectual 
and Artistic Works is still pending. The re-structured Directorate-General for Copyright in the 
Ministry of Culture and Tourism was put in charge of copyright issues. Eighteen new junior 

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copyright  experts  were  recruited.  Stakeholder  dialogue  was  further  improved  with  regard  to 
copyright  protection.  The  number  of  provincial  inspection  commissions  was  increased  from 
46  to  81  in  2011.  These  commissions  received  IPR  training.  Provincial  inspection 
commissions  are  working  efficiently  and  specialised  IPR  police  units  conducted  3,229 
operations in 2011. The number of suspects reached 3,678 and a total of 16,120 pirated items 
were seized in these operations. 

Some  progress  can  be  reported  with  regard  to  the  implementation  of  industrial  property 
rights.  The  draft  law  on  industrial  property  rights  was  opened  for  public  consultation  in 
January  2012.  Examination  guidelines  for  trademarks,  patents  and  industrial  designs  were 
made  public.  The  guidelines  are  expected  to  improve  the  consistency  and  coherence  of 
decisions while increasing the transparency and predictability of the services provided by the 
Turkish Patent Institute (TPI) in terms of administrative protection of IPRs. 

The TPI has strengthened its institutional capacity and contributed to the strengthening of the 
administrative capacity of other enforcement bodies through tailor-made general and specific 
training  courses,  study  visits,  consultation  meetings  and  awareness-raising  activities.  It  also 
recruited 30 new junior trademark and patent examiners and a lawyer. Consistency between 
the TPI’s final decisions and those of the IPR judiciary has further improved. The TPI signed 
in January 2012 a memorandum of understanding with the Ministry of Culture and Tourism to 
establish an IPR Law Academy. The Academy will be operational in 2013 and it will run the 
TPI’s performance and training management system. The system aims to introduce standard 
and professional vocational training for junior examiners. 

There  is  still  no  regulatory  framework  for  the  supervision  of  the  conduct  of  trademark  and 
patent agents. 

No  progress  can  be  reported  on  enforcement  issues.  Turkey  does  not  have  criminal 
enforcement measures for industrial property rights other than trademarks. Adoption of a law 
on IPR enforcement procedures in line with the EU Enforcement Directive is needed. In 2,920 
police operations, 3,238 individuals were suspected of industrial property rights infringements 
following complaints by the right holders. Overall in  2011, over 6  million counterfeit items 
were  seized.  The  issues  of  return  of  counterfeit  goods  to  the  offenders,  storage  of  the 
confiscated  materials  by  right  holders,  and  difficulties  in  obtaining  preliminary  injunctions 
remain unresolved. 

The average time needed for decisions to be taken by civil and criminal IPR courts decreased 
remarkably.  IPR  statistics  were  more  accurately  produced  in  2011.  However,  judicial 
enforcement  needs  further  strengthening  and  the  issue  of  expert  witnesses  needs  to  be 
addressed.  

Concerning  IPR  enforcement  at  customs,  the  centralised  customs  database  and  IT 
management  system  are  not  effectively  used  at  the  customs  points  to  prevent  counterfeit 
goods from entering the market. Online applications for customs seizures by right holders are 
not possible yet and a risk analysis system is not being used for potential IPR infringements. 
Seizures  upon  complaints  by  right  holders  increased  whereas  ex  officio  customs  controls 
remained low, particularly as regards large shipments. Turkey continues to be one of the main 
countries from  which goods suspected of IPR infringements enter the EU. IPR enforcement 
capacity at customs needs to be strengthened, particularly with regard to export controls. 

The Turkish national police carried out awareness-raising activities across the country on the 
usage  of  unlicensed  software,  and  several  seminars  and  workshops  on  intellectual  property 
offences  were  held  since  December  2011.  Such  initiatives  need  to  be  encouraged  and 
addressed  to  a  wider  public.  Overall,  there  is  a  need  for  more  effective  general  awareness-

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raising campaigns on the risks of IPR infringements and the benefits of a better functioning 
IPR system throughout the country. 

Conclusion 

Some  progress  can  be  reported  in  the  area  of  intellectual  property  law.  Updated  laws 
regulating intellectual and industrial property rights and a law on IPR enforcement procedures 
in line with the acquis need to be adopted. Increasing the capacity of the judiciary and of the 
customs administration with a view to more effective IPR enforcement is crucial. Combating 
counterfeit goods also needs to be improved. Closer coordination and cooperation among IPR 
stakeholders and public bodies is essential, as are general awareness campaigns on the risks of 
IPR infringements. Turkey only partly addresses the priorities in this area.  

4.8. 

Chapter 8: Competition policy 

There  has  been  limited  progress  in  the  area  of  anti-trust  and  mergers.  The  Competition 
Authority strengthened its enforcement record by adopting a number of decisions, e.g. in the 
banking  sector.  In  March  2012  it  published  its  first  Competition  Report,  highlighting 
regulatory  and  other  barriers  to  competition  in  11  industry  sectors.  The  Authority’s  overall 
administrative  capacity  remains  high.  It  continued  to  uphold  a  satisfactory  level  of 
administrative and operational independence and a commitment to high-level training for its 
staff. However, a decree-law issued in late 2011 changed the rules for the appointment of its 
Chairman  and  Deputy  Chairman,  which  adds  to  concerns  about  the  Authority’s  ability  to 
preserve its independence, triggered in 2011 by a decree authorising the competent minister to 
monitor and inspect the activities of the Competition Authority. 

Banking  mergers  and  acquisitions  resulting  in  a  combined  sectoral  market  share  of  below 
20% are still excluded from the Competition Act. Turkey still needs to align with the acquis 
on  horizontal  cooperation  agreements  and  de  minimis  rules,  as  well  as  with  rules  on  public 
undertakings and undertakings enjoying exclusive and special rights. Turkey is at an advanced 
level of alignment in the field of anti-trust and mergers. 

No  progress  took  place  in  the  area  of  State  aid.  The  State  Aid  Authority  has  continued  to 
develop its capacity. The legislation implementing the State Aid Law has been prepared, and 
was originally scheduled to be enacted by the end of September 2011. However, a decree-law 
issued  in  November  2011  extended  this  deadline  to  the  end  of  June  2013.  Moreover,  a 
significant incentives package, superseding the 2009 stimulus package, was published on 19 
June  2012.  This  new  package,  together  with  the  free  zones  regime,  remains  one  of  several 
schemes in need of alignment with Customs Union rules. The State Aid Authority still needs 
to establish a formal State aid inventory and an action plan for aligning all State aid schemes 
with the acquis.  

Conclusion 

Limited progress can be reported in this chapter. Turkey enforced anti-trust and merger rules 
effectively.  However,  recent  legal  developments  raise  concerns  as  to  the  Competition 
Authority’s  ability  to  continue  carrying  out  its  operations  independently.  No  progress  has 
been made in the area of State aid, while a number of existing State aid practices conflict with 
Customs Union rules. The State Aid Law remains ineffective in the absence of implementing 
legislation. Alignment is advanced in the area of mergers. In the field of State aid, the country 
is not yet sufficiently prepared. 

4.9. 

Chapter 9: Financial services 

There has been some progress in the areas of banks and financial conglomerates. Basel II 
standards have become compulsory for the banking sector as of 1 July 2012. According to the 

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latest  Quantitative  Impact  Study  conducted  by  the  Banking  Regulatory  and  Supervisory 
Authority  (BRSA),  full  implementation  of  Basel II  is  expected  to  result  in  a  1.5  percentage 
points decline in the banking sector’s capital adequacy ratio. Turkey aligned its rules on the 
secrecy of information shared by foreign supervisory authorities. This facilitated discussions 
with the EU authorities to agree on a new Memorandum of Understanding (MoU) to improve 
cooperation. The number of MoUs signed reached 33.  

Limited  progress  can  be  reported  on  insurances  and  occupational  pensions.  With  48 
insurance companies as members, the out-of-court dispute settlement system now serves 94% 
of the sector. No progress can be reported in the establishment of an independent regulatory 
authority  for  the  sector.  Minimum  amounts  of  cover  in  third-party  liability  insurance  for 
motor vehicles are still low vis-à-vis the EU.  

Turkey enjoys a high level of alignment with the acquis on financial market infrastructure. 

There has been limited progress in the areas of securities markets and investment services. 
Activities  to  improve  financial  literacy  continued.  More  efforts  are  needed  in  the  areas  of 
undertakings  for  collective  investment  in  transferable  securities  (UCITS),  market  abuse  and 
the investor compensation scheme.  

‘Financial services’ is one of the eight chapters covered by the conclusions on Turkey adopted 
by the Council (General Affairs and External Relations) on 11 December 2006 and endorsed 
by the European Council on 14/15 December 2006. As long as restrictions remain in place on 
the free movement of goods carried by vessels and aircraft registered in Cyprus or whose last 
port  of  call  was  in  Cyprus,  Turkey  will  not  be  in  a  position  to  implement  fully  the  acquis 
relating to this chapter. 

Conclusion 

There  has  been  some  progress  in  the  area  of  financial  services.  Basel  II  standards  have 
become obligatory for the banking sector. More efforts are needed, particularly in the areas of 
securities markets and investment services, and in the insurance sector. Overall, preparations 
in the area of financial services are well on track.  

4.10.  Chapter 10: Information society and media 

Some progress can be reported in the field of electronic communications and information 
and  communications  technologies  (ICT),  while  further  efforts  are  needed  to  bring  the 
legislation into line  with  the acquis, in  particular regarding the  provisions  on  market  access 
and  interconnection,  regulation  of  retail  tariffs,  spectrum  management  and  universal  service 
obligations. 

Good  progress  continued  as  regards  adopting  regulations  to  improve  competition  and 
transparency  in  the  market  and  implementing  competitive  safeguards.  The  Information  and 
Communication  Technologies  Authority  (ICTA)  has  commenced  its  third  round  of  market 
analysis.  A  communiqué  was  published  in  February  2012  to  improve  the  service  quality  of 
internet  service  providers.  Fixed  number  portability  and  wholesale  line  rental  became 
operational  in  early  2012.  Tariff  rebalancing  is  advanced.  There  has  been  progress  on 
enabling  national  roaming  and  access  for  mobile  virtual  network  operators,  and  an 
implementing regulation on authorisation of broadband wireless access services operators has 
been  adopted.  As  for  regulation  of  the  next  generation  access  networks,  in  October  2011 
ICTA excluded fibre from market analysis for the next five years or until the percentage of 
fibre-based subscriptions reaches 25% of all fixed broadband subscriptions. The incumbent’s 
reference offer, as approved by ICTA, includes the terms and conditions of facility sharing, 
and it has committed to provide wholesale and bitstream services over its fibre network on a 
non-discriminatory  basis.  At  the  same  time,  the  fees  collected  from  operators  to  finance 

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ICTA’s activities are disproportionately high compared to its expenses, and the surplus funds 
are directed to purposes other than covering the costs of regulation.  

There are three competing mobile operators in the country, whereas the fixed telephony and 
fixed  broadband  sectors  remain  dominated  by  the  incumbent.  While  the  fixed  broadband 
penetration  rate  per  population  increased  only  very  slightly  (reaching  10.7%  at  the  end  of 
2011),  the  mobile  broadband  penetration  increased  significantly  (reaching  6.7%).  The 
communications  taxes  imposed  on  mobile  services  remain  high  compared  to  the  taxes  on 
fixed  telephony.  Operators  also  face  difficulties  in  acquiring  rights-of-way  to  deploy 
mobile/wireless networks.  

No  progress  can  be  reported  in  information  society  services.  Turkey  has  not  signed  the 
European  Convention  on  the  legal  protection  of  services  based  on  conditional  access.  The 
discrepancies  between  the  law  on  electronic  signature  and  the  EU  Directive  remain  to  be 
aligned.  The  draft  laws  on  data  protection  and  e-commerce  are  still  pending.  The  law  on 
internet  content  and  providers  needs  to  be  brought  into  line  with  international  standards 
protecting freedom of expression. Starting from November 2011, ICTA imposed an obligation 
on  internet  service  providers  to  offer  customers,  upon  request,  a  free-of-charge  internet 
filtering service (with child and family profiles). 

Good progress can be reported in audiovisual policy. A number of implementing regulations 
were  adopted  following  the  entry  into  force  of  the  2011  Supreme  Board  of  Radio  and 
Television (RTÜK) Law aiming at alignment with the Audiovisual Media Services Directive. 
But the Broadcasting Law does not address the issue of jurisdiction, with RTÜK still having 
the  authority  to  regulate  foreign  broadcasters  and  failing  to  align  with  the  definition  of 
European  works.  Frequency  planning  studies  for  radio  frequencies  and  TV  channels 
continued.  The  target  date  to  finalise  the  frequency  tender  for  digital  television  multiplex 
capacity is set for March 2013. The switch-off date for analogue broadcasting is March 2015. 
The switchover to digital broadcasting is scheduled for June 2015. 

their  broadcasts  without 

Regarding  broadcasts  in  languages  and  dialects  other  than  Turkish,  private  broadcasters 
continued 
limits  or 
subtitling/consecutive  translation  requirements.  The  number  of  broadcasters  in  languages 
other than Turkish increased to 25. The languages used are Kurdish and Arabic. Commercial 
considerations,  technical  difficulties  and  lack  of  human  resources  are  the  main  obstacles  to 
broadcasts at national level. 

restrictions  on 

content, 

time 

In  order  to  ensure  transparency  of  the  Council’s  decisions,  RTÜK  makes  them  public. 
Sanctions were issued against broadcasters for violating the rules on the protection of minors 
and  rules  on  commercial  communication.  Certain  decisions  of  RTÜK  continue  to  raise 
concerns  as  to  the  broad  interpretation  of  certain  legal  provisions,  especially  as  regards 
obscenity and the principle of the protection of family, national and moral values. (See section 
on Freedom of expression) 

Conclusion 

Progress  can  be  reported  in  the  area  of  information  society  and  media.  However,  alignment 
with  the  EU  framework  on  electronic  communications  remains  limited,  in  particular  on 
authorisation  and  market  access.  Continued  efforts  are  required  for  further  alignment  of 
legislation  on  information  society  services.  The  provisions  of  internet  content  that  might 
potentially  limit  the  freedom  of  expression  and  a  too  broad  interpretation  of  certain  legal 
provisions, especially as regards sanctions against broadcasters, raise concerns. Preparations 
in this area are moderately advanced.  

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4.11.  Chapter 11: Agriculture 

Limited progress can be reported on horizontal issues. The Ministry of Food, Agriculture and 
Livestock  has  significantly  increased  the  number  of  staff  dealing  with  EU-related  issues,  to 
develop the relevant administrative capacity necessary to align with the Common Agricultural 
Policy (CAP), including in the area of agricultural statistics and the Farm Accountancy Data 
Network  (FADN).  However,  legislative  alignment  with  the  CAP  remains  limited.  Turkey 
continues working on its strategy for agricultural statistics, which has still to be adopted. 

Regarding direct support to producers, Turkey has not yet prepared a strategy for adjusting its 
agricultural  support  policy  to  the  CAP.  The  agricultural  budget  for  2012  represents 
a continuation  of  the  recent  trend.  The  overall  budget  has  increased,  including  rises  in  area 
and  headage  payments  coupled  to  production,  whilst  deficiency  payments  have  fallen. 
Limited  progress  has  been  observed  in  preparation  of  the  Integrated  Administration  and 
Control System (IACS) despite some efforts to develop the Land Parcel Identification System 
(LPIS).  

There was some progress on the import ban on live cattle, beef meat and derivative products, 
leading  to  a  significant  increase  in  the  volume  of  EU  exports.  However,  a  de  facto  ban 
remains for certain EU Member States. Further efforts need to be made by Turkey in order to 
fully implement its bilateral obligations under the trade agreement for agricultural products.  

Regarding  common  market  organisation,  some  progress  can  be  reported  in  the  fruit  and 
vegetable sector, with the adoption of significant legislation regulating producer associations 
and  trade  in  wholesale  markets.  However,  no  progress  has  been  noted  for  the  other  sectors. 
Some progress has been observed regarding  rural  development. Turkey  achieved conferral 
of  management  of  EU  funds  under  the  Instrument  for  Pre-Accession  Assistance  in  Rural 
Development  (IPARD)  for  a  further  three  provinces,  taking  the  total  to  20.  The 
implementation rate is slow and Turkey set up a plan for improving the absorption of IPARD 
funds.  The  IPARD  Agency  has  recruited  an  additional  988  personnel  for  the  additional  22 
provinces,  which  brings  the  total  to  more  than  1,950  staff.  The  number  of  staff  of  the 
Managing  Authority  has  increased  but  the  position  of  the  Authority  in  the  Ministry’s 
hierarchy needs to be strengthened to increase its access to decision-makers and to improve its 
effectiveness. There is no progress to report on quality policy and very limited progress on 
organic farming, where some implementing legislation was adopted.  

‘Agriculture and rural development’ is one of the eight chapters covered by the conclusions 
on Turkey adopted by the Council (General Affairs and External Relations) on 11 December 
2006 and endorsed by the European Council on 14/15 December 2006. As long as restrictions 
remain in place on the free movement of goods carried by vessels and aircraft registered in 
Cyprus  or  whose  last  port  of  call  was  in  Cyprus,  Turkey  will  not  be  in  a  position  to  fully 
implement the acquis relating to this chapter. 

Conclusion 

Limited  progress  has  been  made  on  alignment  in  the  area  of  agriculture  and  rural 
development.  The  capacities  relating  to  agricultural  statistics  and  FADN  have  increased. 
Implementation  of  the  pre-accession  rural  development  programme  has  improved  but 
intensive efforts are required to ensure adequate absorption of the funds. The de facto import 
ban on live cattle, beef meat and derivative products has not been fully lifted and there remain 
no  strategies  in  place  for  the  reorientation  of  agricultural  support,  nor  for  agricultural 
statistics. Preparations in the area of agriculture and rural development are not very advanced. 

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4.12.  Chapter 12: Food safety, veterinary and phytosanitary policy 

Some progress has been observed on general food safety issues, in particular on alignment 
with  and  implementation  of  the  acquis.  A  large  number  of  regulations  implementing  the 
framework law on veterinary services, plant health, food and feed have been put into effect, 
some of which introduced transitional periods until their entry into force.  

Concerning  veterinary  policy,  progress  has  been  made  on  alignment  with  and 
implementation  of  the  acquis.  A  number  of  regulations  have  been  adopted  in  the  area  of 
control  systems  for  imports,  which  is  an  important  step  in  the  alignment  in  this  area. 
However,  further  efforts  are  needed  for  full  implementation  in  line  with  the  acquis.  No 
progress has been observed on achieving the full functionality of three land and two seaport 
border  inspection  posts  (BIPs),  as  well  as  the  BIP  at  Sabiha  Gokcen  Airport  in  Istanbul. 
Veterinary and phytosanitary controls need to be stepped up at the BIPs.  

Turkey made further efforts on identification and registration of animals and control of their 
movements. It has put into force a regulation governing the methods and principles of work 
and inspection of live animal traders, a regulation on internal movements of live animals and 
animal products, and a regulation on rules and procedures for the authorisation and inspection 
of livestock markets. Efforts continued in the area of identification and registration of bovines 
and  their  movements.  However,  full  functioning  of  the  system  in  line  with  the  acquis  still 
needs to be ensured. Implementation of the identification and registration of ovine and caprine 
animals  has  continued  and  the  regulation  concerning  identification,  registration  and 
monitoring of ovine and caprine animals has come into force.  

Turkey  has  kept  up  its  fight  against  animal  diseases.  Several  implementing  regulations  on 
combating diseases have come into force. The combat against foot-and-mouth disease (FMD) 
has continued. Turkey continued an intensive vaccination programme along with strict animal 
movement controls between Thrace and Anatolia. However, the status of an FMD-free zone 
with  vaccination  in  the  Thrace  region  was  temporarily  suspended.  An  increased  number  of 
FMD  outbreaks  in  Anatolia  due  to  insufficient  control  of  internal  animal  movements  is  a 
matter of serious concern. Limited steps have been taken as regards transmissible spongiform 
encephalopathies (TSEs). A regulation concerning the protection and fight against TSEs has 
been  adopted,  but  significant  efforts  are  still  needed  for  full  alignment  with  and 
implementation of the acquis in this area. Turkey continued to notify animal diseases. 

A  regulation  concerning  the  animal  health  requirements  applicable  to  non-commercial 
movements of pet animals has entered into force. However, overall progress in this area has 
remained limited. Progress has been observed as regards the implementation and follow-up of 
the  national  residue  monitoring  plan  and  the  control  of  veterinary  medicinal  products.  The 
scope  of  testing  has  been  extended.  A  regulation  concerning  the  measures  to  be  taken  to 
monitor certain materials and their residues in live animals and animal products has come into 
force. 

(See  Chapter  11  —  Agriculture  and  Rural  Development  for  the  de  facto  import  ban  on  live 
cattle, beef meat and derivative products)  

Turkey adopted a number of regulations in the area of zootechnics. Some progress has been 
made on alignment with the animal welfare acquis, relating to animal welfare during transport 
and  on  farm.  However,  further  structural  and  administrative  efforts  are  required  for  the  full 
implementation of the acquis in this area.  

Progress has been observed as regards placing on the market of food, feed and animal by-
products.  Turkey  carried  out  intensive  training  and  continued  implementing  annual 
inspection  and  monitoring  programmes.  Some  progress  has  been  made  in  developing  a 

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national upgrading plan for agri-food establishments. The implementation of the new rules for 
the  registration  and  approval  of  food  establishments  requires  significant  efforts.  In  legal 
terms,  progress  was  also  made  on  alignment  with  the  hygiene  package.  However, 
implementation  requires  strengthened  administrative  capacity,  to  carry  out  more  effective 
official  controls,  including  those  for  animal  products.  The  recent  establishment  of  a  risk 
assessment unit, scientific committees and commissions within the responsible ministry aims 
to support and strengthen a scientific risk-based advisory system. 

Regarding rules for animal by-products, a regulation on animal by-products not intended for 
human  consumption  has  been  adopted.  However,  further  efforts  are  required  to  adapt  the 
sector and achieve full implementation. No progress is observed as regards funding of checks. 

Progress has been made on food safety rules. Legislative alignment and implementation have 
advanced on a range of issues, such as labelling, additives and purity criteria or flavourings. 
Further studies are needed in the area of food contact materials. Alignment in the area of food 
supplements,  food  enzymes  and  novel  food  has  not  yet  been  completed.  Regarding  specific 
rules for feed, progress has been observed on alignment with the acquis. Regulations on the 
placing  on  the  market  and  use  of  feed,  and  on  methods  of  sampling  and  analysis  for  the 
official control of feed have been brought into force.  

Some progress has been made on alignment with the acquis in phytosanitary policy. A new 
regulation  on  plant  quarantine  and  implementing  legislation  on  certain  harmful  organisms 
have  been  adopted.  A  new  regulation  on  the  registration  and  monitoring  of  plant  protection 
products (PPPs) used in plant production bans 159 active substances whose use is not allowed 
in  the  EU.  Implementation  of  a  plant  passport  system  and  registration  of  the  operators  has 
started for all species. Progress in the area of seed and propagating materials remained very 
limited.  However,  a  circular  on  the  implementation  of  seed  imports  has  created  trade 
disruptions. Limited progress can be reported on genetically modified organisms (GMOs). 
Laboratory capacity in this area has been improved.  

Conclusion 

Some progress has been made in the field of food safety, veterinary and phytosanitary policy. 
However,  further  efforts  are  required  to  advance  towards  full  alignment  with  the  acquis. 
Significant efforts are needed on upgrading agri-food establishments to EU standards, control 
of animal movements, animal health, especially the fight against foot-and-mouth disease, and 
animal by-products. Overall, preparations in this area are at an early stage. 

4.13.  Chapter 13: Fisheries 

Some progress can be reported in terms of administrative capacity following the restructuring 
of  the  Ministry  of  Food,  Agriculture  and  Livestock  and  the  establishment  of  a  separate 
Directorate-General  for  Aquaculture  and  Fisheries.  The  number  of  staff  has  increased  and 
their internal training has continued. However, there has been no progress on alignment with 
the fisheries acquis. 

Some progress can be reported as regards resource and fleet management. A communiqué 
on  support  to  the  fishing  vessel  owners  who  withdraw  their  vessels  from  fishing  has  been 
published.  The  functionality  and  scope  of  the  Fisheries  Information  System  (FIS)  has  been 
further enhanced to cover registration of recreational fishers, issuing of special fishing permits 
and  inspection  forms,  input  of  biological  data  collected  for  anchovy,  and  collection  of 
fisheries and aquaculture statistics. This data is shared with EU scientists in the framework of 
the Scientific Technical and Economic Committee for Fisheries Expert’s Working Group for 
the Black Sea. Implementation of the action plan on anchovy has progressed. Preparation of 
national  action  plans  for  fisheries  and  aquaculture  and  their  effective  implementation  are 

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crucial  for  sound,  integrated  and  sustainable  fisheries  management.  There  has  been  an 
improvement in aquaculture production. 

One  fisheries  port  office  has  been  built  and  equipped,  increasing  the  total  number  to  41.  A 
Fisheries  Communiqué  on  commercial  and  recreational  fishing,  which  lays  down  the 
provisions  on  fisheries  prohibitions,  restrictions  and  obligations,  has  been  published.  The 
communiqué,  covering  the  period  2012-2016,  aims  to  ensure  sustainable  exploitation  of 
fishing resources. 

There has been some progress in the area of inspection and control. As regards the fisheries 
control  policy  within  the  context  of  the  International  Commission  for  the  Conservation  of 
Atlantic Tunas (ICCAT), the cooperation between Turkey and the European Commission has 
been enhanced through the Fisheries Dialogue Group. There has been a slight increase in the 
number  of  inspections.  However,  further  efforts  are  required  to  ensure  sustainability  of  the 
fish stocks. The Fisheries Dialogue Group also discussed the adoption of common positions in 
the Framework of the General Fisheries Commission for the Mediterranean (GFCM).  

No progress can be reported on structural actions, market policy and State aid. 

remained 

international  agreements,  progress  has 

Concerning 
limited.  Some 
recommendations of ICCAT on bluefin tuna (BFT) and swordfish have been transposed into 
national legislation and their implementation is progressing. The number of authorised BFT 
vessels  has  been  reduced  from  17  to  11.  However,  additional  actions,  e.g.  to  improve 
monitoring  and  ensure  sustainability,  are  needed  for  full  compliance  with  ICCAT 
requirements.  Turkey  signed  bilateral  fisheries  agreements  with  Morocco  and  Ukraine. 
Turkey has also become a member of the Central Asian and Caucasus Regional Fisheries and 
Aquaculture  Commission.  As  the  United  Convention  on  the  Law  of  the  Sea  (UNCLOS) 
provisions  are  implemented  in  a  number  of  Community  policies,  including  the  Common 
Fishery Policy, ratification of UNCLOS by Turkey would improve cooperation with the EU 
in the area of fisheries and maritime policy. 

‘Fisheries’ is one of the eight chapters covered by the conclusions on Turkey adopted by the 
Council (General Affairs and External Relations) on 11 December 2006 and endorsed by the 
European  Council  on  14/15  December  2006.  As  long  as  restrictions  remain  in  place  on  the 
free movement of goods carried by vessels and aircraft registered in Cyprus or whose last port 
of call was in Cyprus, Turkey will not be in a position to fully implement the acquis relating 
to this chapter. 

Conclusion 

Overall,  some  progress  has  been  made  in  the  field  of  fisheries,  not  least  on  administrative 
capacity,  resource  and  fleet  management,  inspection  and  control,  and  international 
agreements. However, additional efforts are needed on legislative alignment, structural action, 
market policy and State aid. Overall, the alignment in this area is not very advanced.  

4.14.  Chapter 14: Transport policy 

The  Ministry  of  Transport  was  restructured  in  November  2011  to  become  the  Ministry  of 
Transport,  Maritime  Affairs  and  Telecommunications  (MoTMC).  The  restructuring 
strengthens the regulatory character of the Ministry.  

There has been some progress in the area of road transport. A new Directorate-General for 
Road  Transport  Regulation  has  been  established.  Preparatory  work  towards  alignment  of 
driver  licences  with  EU  standards  is  almost  finished  in  view  of  adopting  a  new  law. 
Implementation of the digital tachograph system works efficiently and is in compliance with 

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the European Agreement concerning the work of Crews of Vehicles engaged in International 
Road Transport (AETR). 

Regulations  on  work  and  rest  periods,  driver  training  and  roadside  technical  checks  on 
commercial  vehicles  have  been  adequately  implemented,  but  institutional  and  technical 
capacities  are  key  issues  for  ensuring  smooth  implementation.  Concerning  road  safety, 
important  efforts  have  been  made  to  scrap  commercial  vehicles  manufactured  before  1986, 
almost  doubling  last  year’s  amounts.  However,  Turkey  needs  to  align  with  the  acquis  on 
admission criteria for road transport operators and access to the road haulage market.  

There  has  been  little  progress  in  rail  transport.  A  new  Directorate-General  for  Railways 
Regulation (DGRR) has been established. Rail transport reform still requires the adoption of a 
more  comprehensive  railway  law.  In  particular,  regarding  the  railways  reform  agenda, 
important  strategic  decisions  are  pending  at  ministerial  level.  The  Turkish  State  Railways 
(TCDD) did not start cost-based accounting and there is no public service obligation system 
in  place.  The  financial  situation  might  also  be  under  pressure  due  to  lack  of  monitoring  of 
operational  costs  and  the  ambitious  high-speed  train  investment  programme.  A  safety 
management  system  for  the  TCDD  and  also  national  safety  rules  are  under  preparation.  A 
safety  authority  and  an  accident  investigation  body  have  not  been  established  yet.  Legal 
alignment requires further efforts. 

No  progress  can  be  ascertained  concerning  inland  waterways  transport,  although  Turkey 
has commercial operations on the lake Van and Ataturk dam, and therefore it needs to comply 
with  the  relevant  acquis.  Turkey  is  a  candidate  to  join  the  Belgrade  Convention  regarding 
navigation on the Danube, which would also require Turkey’s acquis compliance.  

There  is  little  progress  in  combined  transport,  although  a  new  Directorate-General  for 
Combined Transport and Dangerous Goods has been established.  

In the area of air transport progress can be reported in aligning with the acquis. A dialogue 
has been established addressing Turkey’s wish to fully integrate into the EU aviation system, 
with a special attention to safety including participation in the work of the European Aviation 
Safety Agency (EASA) and joining the Single European Sky. However, the signature of the 
horizontal aviation agreement between the EU and Turkey is still pending. 

The Civil Aviation Authority (DGCA) approved regulations on passenger rights, reservation 
systems,  continuing  airworthiness,  oversight  at  air  traffic  management,  management  system 
and  risk  assessment  and  mitigation  by  air  navigation  service  providers,  performance  based 
navigation approach operations, and minimum health requirements of cabin crew. The DGCA 
has also increased its capacity to cope with the traffic growth. 

It  must  be  recalled  that  the  lack  of  communications  between  air  traffic  control  centres  in 
Turkey and the Republic of Cyprus is seriously compromising air safety in the Nicosia flight 
information  region.  Currently  there  are  no  developments  concerning  the  exchange  of  flight 
data  and  requirements  for  the  application  of  a  flight  message  transfer  protocol  between  air 
traffic control units. A technical solution needs to be sought to resolve the safety issues. Air 
traffic  management  is  still  suffering  from  a  lack  of  regional  cooperation.  An  operational 
solution needs to be found urgently.  

Good progress can be reported in the field of maritime transport. The Undersecretariat for 
Maritime  Affairs  issued  regulations  on  protection  and  insurance  of  hazardous  and  noxious 
substances  (HNS).  Turkey  has  become  a  party  to  numerous  agreements,  the  most  relevant 
regarding  EU  legislation  being  AFS  2001  (International  Convention  on  the  Control  of 
Harmful  Anti-fouling  Systems  on  Ships),  FAL  1965  (Convention  on  Facilitation  of 
International Maritime Traffic), Hong Kong SRC 2009 (International Convention for the Safe 

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and  Environmental  Sound  Recycling  of  Ships)  and  MARPOL  Annex  VI  (International 
Convention  for  the  prevention  of  pollution  from  ships).  Establishment  of  vessel  traffic 
management systems (VTMS) for the ports of Kocaeli, Mersin, İzmir and İskenderun is still 
ongoing.  Emergency  response  preparedness  and  handling  of  dangerous  goods  are  areas  that 
call for increased attention.  

No  special  acquis  alignment  is  required  for  satellite  navigation,  as  regulations  will  take 
direct  effect  upon  accession.  There  is  a  good  level  of  cooperation  with  Turkey  in  the  EU 
global navigation satellite system programmes. 

‘Transport policy’ is one of the eight chapters covered by the conclusions on Turkey adopted 
by the Council (General Affairs and External Relations) on 11 December 2006 and endorsed 
by the European Council on 14/15 December 2006. As long as restrictions remain in place on 
the free movement of goods carried by vessels and aircraft registered in Cyprus or whose last 
port  of  call  was  in  Cyprus,  Turkey  will  not  be  in  a  position  to  fully  implement  the  acquis 
relating to this chapter. 

Conclusion 

There  is  some  progress  in  alignment  of  the  transport  sector.  Turkey  needs  to  align  to  the 
recent EU legislative packages in maritime and rail transport. Further efforts are needed in the 
areas of human resources and technical capacity to apply the acquis, especially in the fields of 
dangerous  goods  and  emergency  response  preparedness  in  maritime  transport.  The  lack  of 
communication  between  air  traffic  control  centres  in  Turkey  and  the  Republic  of  Cyprus  is 
seriously  compromising  air  safety.  Overall,  preparedness  in  the  transport  chapter  is 
moderately advanced. 

4.15.  Chapter 15: Energy 

Some progress can be reported regarding security of supply. Turkey and Azerbaijan signed 
an  intergovernmental  agreement  on  the  sale  and  transit  of  natural  gas  through  Turkey  to 
Europe  in  October  2011.  A  Memorandum  of  Understanding  followed  in  December  2011, 
establishing  a  consortium  to  build  and  operate  the  ‘Trans-Anatolian  Pipeline’  (TANAP), 
which aims to carry 16 billion cubic metres (bcm) of Azeri gas from the Shah Deniz II field 
between the easternmost and westernmost provinces of Turkey. In June 2012 both countries 
signed  an  agreement  establishing  the  rights  and  obligations  of  both  parties  to  implement 
TANAP.  The  Turkish  Petroleum  Pipeline  Corporation  (BOTAS)  and  China’s  Tianchen 
Engineering  (TCC)  signed  a  contract  in  November  2011  with  a  view  to  building  a  1  bcm 
underground  natural  gas  storage  facility  in  Central  Anatolia.  Turkey  and  the  Russian 
Federation  signed  a  set  of  energy  agreements  in  December  2011,  including  approval  of  the 
construction  of  the  South  Stream  Natural  Gas  Pipeline  under  the  Black  Sea  through  the 
Turkish economic exclusive zone and the extension of the Russian West line contract for one 
additional year. 

Studies  on  and  construction  of  electricity  interconnections  with  neighbouring  countries 
continued.  No  development  can  be  reported  on  a  fair  and  non-discriminatory  rule  for  gas 
transit.  Instead  of  establishing  an  Oil  Stock  Agency  (as  previously  planned),  a  new 
department  responsible  for  oil  stocks  was  established  within  the  framework  of  the  General 
Directorate  of  Petroleum  Affairs.  Turkey  has  the  potential  to  play  a  pivotal  role  in 
diversifying  resources  and  routes  for  oil  and  gas  transit  from  neighbouring  countries  to  the 
EU.  

Regarding  the  internal  energy  market,  some  progress  can  be  reported  on  electricity.  The 
Turkish Energy Market Regulatory Authority (EMRA) published implementing regulations to 
improve  competition  and  market  supervision.  An  implementing  regulation  on  auditing  and 

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inspection of the electricity generation and distribution companies was published in October 
2011. The regulation on unlicensed generation of electricity in the electricity market, which is 
designed  to  promote  investments  by  small-scale  consumers,  was  amended  and  a  new 
communiqué to enhance investments was published in March 2012. The threshold for eligible 
consumers was further reduced to 25,000 kWh for 2012, which corresponds to a theoretical 
market opening of 77%. Day-ahead market operations were initiated in December 2011. The 
privatisation  of  the  electricity  distribution  assets  slowed  down  due  to  bidders’  payment 
difficulties,  which  also  caused  delays  in  privatising  generation  plants.  One  of  the  five 
distribution companies was privatised. However, the Privatisation Administration re-launched 
tenders for the three distribution companies and a major gas power generation plant in August 
2012.  

Limited progress can be reported in the elimination of cross-subsidies between consumers, in 
particular  on  the  wholesale  and  retail  electricity  market.  Although  an  automatic,  cost-based 
pricing mechanism for end-users is in place, changes in actual costs are not always reflected 
in  prices  charged  to  end-users.  The  independence  and  the  institutional  capacity  of  the 
regulatory authority need strengthening. Further efforts are necessary throughout the sector to 
align  with  the  acquis  and  to  ensure  effective  implementation  and  enforcement  of  the 
legislation.  

There  has  been  some  progress  in  the  gas  market.  The  Ministry  of  Energy  and  Natural 
Resources  (MENR)  initiated  studies  for  amending  the  natural  gas  market  law.  EMRA 
published an implementing regulation on the selection criteria for underground gas storages. 
The  eligibility  threshold  was  further  reduced  to  300,000  m3  for  2012.  EMRA’s  natural  gas 
consumption  forecast  for  2012  is  48.5  bcm,  representing  a  9%  increase  compared  to  2011. 
The  tendering  process  for  gas  distribution  continued  and  the  network  was  extended  to  69 
provinces  out  of  81.  The  privatisation  tender  for  the  Ankara  region  continued.  EMRA 
published the tariff methodology for the tendered distribution regions in December 2011. No 
progress  can  be  reported  on  reducing  BOTAS’  monopolistic  market  share,  as  the  intended 
replacement  of  BOTAS’  terminated  contract  with  the  Russian  Federation  by  private  sector 
companies  were  unsuccessful  and  the  contracts  were  prolonged  by  a  year.  EMRA  is 
evaluating  the  applications  for  import  licences  to  import  by  the  private  sector  of  6  bcm  of 
natural  gas,  replacing  the  Russian  Federation  contract  upon  its  termination,  and  3  bcm  of 
additional gas from Iraq. 

Progress can be reported in the area of renewable energy. The new Directorate-General for 
Renewable  Energy  (YEGM)  within  the  MENR  is  responsible  for  renewable  energy,  energy 
efficiency  and  managing  energy  information  and  technology.  EMRA  published  an 
implementing  regulation  identifying  measurement  standards  for  wind  and  solar  licence 
applications  in  February  2012  The  regulation  concerning  the  domestic  manufacturing  of 
components  used  at  plants  generating  electricity  from  renewable  energy  resources  was 
amended in July 2012. It specified the minimum domestic content requirements in equipment 
and its components needed to obtain the incentives established in the Renewables Law. The 
compliance  with  WTO  or  Customs  Union  trade  rules  of  the  incentive  mechanism  for 
domestically produced equipment is questionable. EMRA also published two communiqués to 
promote  the  use  of  renewable  fuels  produced  from  domestic  agricultural  products  as  an 
additive  for  marketed  gasoline  and  diesel  fuels.  However,  the  share  of  renewable  energy 
sources in electricity generation remained slightly lower than in the previous year.  

Good  progress  can  be  reported  in  energy  efficiency.  An  energy  efficiency  strategy  was 
published in February 2012, identifying a set of policies and implementing actions to reduce 
Turkey’s  energy  intensity  by  at  least  20%  by  2023.  The  implementing  regulation  on 
improving  the  efficiency  of  energy  resource  use  was  amended  in  October  2011,  enhancing 

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incentives  for  the  industry  and  regulating  the  authorisation  of  energy  efficiency  consulting 
companies.  The  implementing  regulation  for  labelling  and  standard  product  information  on 
the consumption of energy and other resources by energy-related products was published in 
December  2011.  A  set  of  new  communiqués  entered 
into  force  on  eco-design 
implementations.  Developments  on  authorisations  for  energy  efficiency  services  and  energy 
management  programmes  continued.  A  total  of  8,000  energy  performance  certificates  were 
issued in 2011.  

Uneven progress can be reported on nuclear safety and radiation protection. The Turkish 
Atomic  Energy  Authority  (TAEK)  proposed  a  project  to  enhance  the  effectiveness  and 
efficiency of nuclear  regulatory infrastructure, with a view to improving alignment with the 
EU  nuclear  acquis.  Turkey  signed  four  memoranda  of  understanding  with  South  Korea, 
Japan,  China  and  Canada  for  nuclear  cooperation.  Turkey  has  not  yet  acceded  to  the  ‘Joint 
Convention on the Safety of Spent Fuel Management and on the Safety of Radioactive Waste 
Management’. No development can be reported on the adoption of a framework nuclear law, 
which would ensure a level of nuclear safety in full compliance with EU standards; existing 
applicable  national  legislation  mainly  covers  protection  against  ionizing  radiation  and  the 
licensing  of  nuclear  installations.  Moreover,  Turkey  has  not  yet  joined  the  European 
Community  Urgent  Radiological  Information  Exchange  (ECURIE)  Agreement.  Alignment 
with  the  acquis  of  the  existing  regulations  based  on  International  Atomic  Energy  Agency 
(IAEA)  standards  needs  to  be  ascertained.  Turkey  needs  to  align  as  well  with  the  recent 
directives  on  nuclear  safety  of  nuclear  installations  and  on  the  responsible  and  safe 
management of spent fuel and radioactive waste,  

Conclusion 

Some progress can be reported in the energy sector, especially as regards renewable energy 
and energy efficiency. Further efforts are needed in the areas of natural gas, nuclear safety and 
radiation protection, including responsible and safe management of spent fuel and radioactive 
waste.  Competition  remains  limited  in  the  gas  sector.  The  functioning  of  the  cost-based 
pricing  mechanism  in  the  electricity  market  needs  to  be  improved  whereas  it  remains  to  be 
established in the gas markets. The independence and institutional capacity of the regulatory 
authority  need  strengthening.  Overall,  in  the  area  of  energy,  Turkey  is  at  a  moderately 
advanced stage of alignment. 

4.16.  Chapter 16: Taxation 

No  progress  can  be  reported  in  the  area  of  indirect  taxation.  Regarding  value-added  tax, 
Turkey  re-introduced  the  super-reduced  rate  of  1%  on  a  number  of  goods  and  services. 
Introduction  of  the  third  VAT  rate  is  a  regressive  move  in  terms  of  alignment  of  the  tax 
structure with the acquis. There is a need for further alignment with the acquis, particularly 
regarding structure, exemptions, special schemes, and the application of reduced rates.  

There has been some progress in the area of excise duties. In December 2011, Turkey further 
reduced the Tobacco Fund levy on imported tobacco, in line with the 2009 Action Plan for 
eventual  elimination  of  discriminatory  practices  in  taxation.  However,  Turkey’s  June  2012 
amendments  to  the  Excise  Tax  Law  are  not  fully  in  line  with  the  acquis,  as  there  are  still 
discrepancies  in  terms  of  the  structure  of  the  excise  duty  on  tobacco  and  the  calculation 
system to determine taxed amounts. Also, the government has the possibility to set different 
specific amounts in respect of certain characteristics of the tobacco or its packaging that could 
be discriminatory and therefore non-compliant. 

Concerning  the  taxation  of  alcoholic  beverages,  no  progress  can  be  reported.  The  excise 
duties  remain  higher  for  imported  products  than  for  comparable  domestic  ones.  In  fact, 

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Turkey has taken measures that run counter to the excise duty provisions of the 2009 Action 
Plan.  

Gradual elimination of discriminatory practices in taxation in line with the Action Plan is the 
key to further progress under this chapter. 

Structural  discrepancies  continue  to  exist  between  Turkish  excise  duty  legislation  and  the 
acquis. Further efforts are necessary for alignment in this respect. Turkey needs to introduce a 
duty-suspension regime for domestic movements and fiscal warehouses prior to membership. 

There is no progress to be reported in the area of direct taxation.  

There  has  been  good  progress  in  the  field  of  administrative  cooperation  and  mutual 
assistance.  A  regulation  in  October  2011  set  out  the  operational  structure  of  the  Tax 
Inspectors Board. The  merger  of  the  tax audit functions within the Ministry of Finance is a 
positive step for ensuring consistency in tax audit planning and practices. 

In  the  field  of  operational  capacity  and  computerisation,  good  progress  can  be  reported. 
The  Revenue  Administration  continued  to  reinforce  the  taxpayer  services  so  as  to  enhance 
voluntary compliance. In line with the Action Plan for Combating the Unregistered Economy 
in  Turkey,  electronic  registration  of  taxpayers  started  in  April  2012.  The  Revenue 
Administration  carried  out  a  self-assessment,  which  will  guide  the  administration  in 
introducing a quality management system in its operations and relations with taxpayers.  

Conclusion 

There  has  been  limited  progress  on  legislative  alignment  under  this  chapter,  especially  on 
eliminating  discriminatory  practices  in  the  taxation  of  tobacco  and  on  administrative 
cooperation  and  operational  capacity.  However,  discrepancies  with  the  acquis  continue  to 
exist. Further efforts are needed regarding excise duties on spirits to comply with the Action 
Plan  in  reducing  the  differentials  between  imported  and  domestic  products.  Gradual 
elimination  of  discriminatory  practices  is  the  key  to  further  progress.  No  progress  can  be 
reported on direct taxation. Overall alignment in this chapter is moderately advanced. 

4.17.  Chapter 17: Economic and monetary policy 

Some progress can be reported on monetary policy. Turkey’s level of alignment is advanced, 
although incomplete. The Central Bank missed the inflation target of 5.5% by a wide margin, 
as consumer price inflation climbed to 10.45% by the end of 2011. The Central Bank actively 
used  a  wide  range  of  policy  instruments  such  as  the  interest  rate  corridor,  reserve 
requirements  and  foreign  currency  auctions  and  interventions.  Portfolio  outflows  and 
excessive  depreciation  of  the  lira  led  the  Central  Bank  to  widen  the  interest  rate  corridor, 
reduce reserve requirements and sell foreign currency, calming the markets in due course.  

The inflation target is jointly decided by the Central Bank and the government. The statute of 
the Central Bank does not fully ensure its independence. Provisions on the investor protection 
fund  and  discriminatory  withholding  tax  rates  applicable  to  public  and  private  sector  debt 
instruments  are  not  in  line  with  the  principle  of  the  prohibition  of  privileged  access  by  the 
public sector to financial institutions. 

There  has  been  some  progress  on  economic  policy.  The  Medium  Term  Programme  2012–
2014  focuses  on  fiscal  discipline  and  reducing  Turkey’s  large  current  account  deficit.  In 
January  2012  Turkey  submitted  its  2012  Pre-Accession  Economic  Programme,  which  is 
supported by a sufficiently comprehensive and broadly consistent macroeconomic framework. 
However, it is somewhat optimistic, in particular with respect to the balance-of-payments and 
inflation  scenarios.  The  programme’s  structural  and  institutional  reform  agenda  covers  a 
broad range of  issues,  but  is  fragmented and insufficiently linked to the fiscal scenario, and 

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only  partly  aligned  with  the  reform  requirements  in  view  of  the  country’s  EU  accession 
perspective.  The  capacity  for  economic  policy  formulation  and  coordination  is  adequate.  In 
the area of economic policy, Turkey’s overall level of preparedness is advanced. 

Conclusion 

There has been some progress on economic and monetary policy. The Central Bank actively 
employed  different  instruments  to  ensure  price  and  financial  stability,  albeit  with  mixed 
results.  Alignment  with  the  acquis  remains  incomplete,  particularly  regarding  the  full 
independence of the Central Bank and the prohibition of privileged access of the public sector 
to  financial  institutions.  The  capacity  for  economic  policy  formulation  and  coordination  is 
adequate. Overall, Turkey’s level of preparedness is advanced. 

4.18.  Chapter 18: Statistics 

Good progress can be reported on statistical infrastructure. TurkStat published the Official 
Statistics  Programme  for  the  period  2012–2016  and  has  embarked  on  a  process  of 
streamlining  statistical  production  in  line  with  the  ESS  vision.  Based  on  recommendations 
from the peer review of May 2011 TurkStat developed instructions for access to micro-data, 
which is an important step towards better usability of statistical information. The government 
overhauled the institutional structure of TurkStat, which included establishing 500 new posts 
at  the  operational  level,  with  a  view  to  strengthening  institutional  capacity.  Preparations  in 
this area are already well advanced. 

There  has  been  progress  in  classifications  and  registers.  TurkStat  finalised  the  adaptation 
work for all classifications and published data according to the new NACE rev2. A detailed 
description for setting up the farm register and the methodology and organisational set-up for 
the collection of agriculture statistics is missing. Preparations in this area are advanced. 

Good  progress  has  been  made  on  sectoral  statistics.  Studies  on  the  revision  of  national 
accounts  on  the  new  base  year  and  implementation  studies  for  ESA2010  continued.  Joint 
studies  with  the  Ministry  of  Finance  on  excessive  deficit  procedure  notification  tables  and 
government  finance  tables,  and  with  the  Central  Bank  and  the  Treasury  on  government 
securities  flows  were  completed.  TurkStat  signed  a  protocol  with  stakeholders  to  improve 
agricultural statistics on crops. TurkStat carried out a population and housing census in 2011 
using for the first time a combination of register based and survey data thus applying modern 
ways of data collection reducing burden on respondents. Initial results from the census have 
been published in January 2012 very soon after the census. Turkey still needs to submit key 
national  account  indicators  together  with  documentation  on  the  methodology  used. 
Preparations in this area are moderately advanced. 

Conclusion 

Good progress has been made in the area of statistics. Further progress is needed, particularly 
in  national  accounts,  business  statistics  and  in  agriculture  statistics.  There  is  a  good  overall 
level of alignment with the acquis. 

4.19.  Chapter 19: Social policy and employment 

There  has  been  no  progress  in  alignment  with  the  acquis  in  the  field  of  labour  law.  In 
general,  the  high  prevalence  of  undeclared  work,  particularly  in  small  enterprises  and  in 
agriculture, continues to impede the effective application of the labour legislation in place.  

The recruitment of staff to increase the administrative capacity of the Ministry of Labour and 
Social  Security  (MoLSS)  has  continued.  The  Ministry  has  also  taken  steps  to  combat  child 
labour (See also Political Criteria).  

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In terms of legislative developments, there has been good progress in the field of health and 
safety at work. In June 2012 the Parliament approved legislation aiming to align with the EU 
Framework  Directive  on  health  and  safety  at  work.  However,  the  enforcement  of  the 
legislation  remains  a  key  challenge.  Despite  some  capacity  building  efforts,  the  lack  of 
engagement  of  social  partners,  the  lack  of  awareness  of  employees  and  the  negligence  of 
employers result in poor health and safety conditions, particularly in the informal sector. The 
number  and  capacity  of  inspectors  covering  health  and  safety  issues  need  to  be  stepped  up. 
The  official  statistics,  which  do  not  take  into  account  the  informal  sector,  reveal  that  there 
were 62,903 occupational accidents in 2010, marginally less than in the previous year. Those 
in the construction sector score the highest in terms of fatal accidents and the total number of 
fatal  accidents  is  well  above  the  EU  average.  The  data  collection  system  for  occupational 
accidents  and  diseases  needs  to  become  fully  operational.  Training  and  guidance  activities 
targeting SMEs need to be intensified and expanded to all risky sectors nationwide. 

There has been limited progress in the area of social dialogue. A new law on trade unions in 
the civil service was adopted in April 2012, leading to the first collective bargaining exercise 
in  this  sector.  The  final  decision  was  taken  through  mandatory  arbitration  amid  strong 
criticism of the public servants’ trade union confederations. The law falls short of meeting EU 
and ILO standards. 

The  law  on  collective  labour  relations  regulating  the  private  sector  is  still  pending 
parliamentary  approval.  High  thresholds  for  entering  into  collective  bargaining  continue  to 
significantly restrict the possibility of collective agreements and consequently impede the full 
exercise  of  the  right  to  bargain  collectively.  Moreover,  the  lack  of  release  of  data  on  the 
number of workers in each sector by the authorities has prevented the conclusion of any new 
collective  agreements  for  several months.  Turkey  excessively  restricts  the  right  to  strike.  In 
May 2012 the government adopted a law excluding also workers in the civil aviation sector 
from  the  right  to  strike.  Following  their  protest  against  losing  this  fundamental  right  more 
than 300 airline workers were fired. Increasing the number of activities in which workers are 
deprived of this right takes Turkey a further step away from respecting full trade union rights 
in line with EU and ILO standards. Turkey also excessively restricts the right to establish or 
join trade unions as they cannot be set up along professional categories or in certain sectors, 
for example for civilian staff working for the Ministry of Defence. 

As  a  result  of  the  restrictive  legislative  provisions  and  difficulties  in  exercising  trade  union 
rights, the level of unionisation and the coverage of collective agreements remain very low, 
estimated at 8% of the registered waged workers. The Turkish Economic and Social Council 
has not convened since 2009.  

There  has  been  some  progress  on  employment  policy.  The  unemployment  rate  declined  to 
9%  in  2011,  and  is  in  a  downward  trend  following  the  vigorous  recovery  from  the  global 
crisis. Youth unemployment has fallen significantly over the past year, whereas the quality of 
employment still continues to be an issue. Overall employment and labour force participation 
have  increased.  However,  regional  disparities  persist  with  regard  to  employment  and 
participation  rates,  to  the  disadvantage  of  the  southeast  region.  Women’s  low  participation 
rate (28.8% in 2011), with marginal increases over the years, is still a concern.  

ISKUR,  Turkey’s  Public  Employment  Service,  has  continued  to  improve  its  staffing  levels, 
particularly  through  recruiting  job  counsellors  to  provide  individualised  public  employment 
services.  In  2011,  about  16%  of  the  registered  unemployed  participated  in  activation 
measures.  However,  there  are  concerns  that  services  are  not  reaching  the  most  vulnerable 
groups.  The  limited  coverage  of  and  restrictive  eligibility  conditions  for  unemployment 
insurance remain to be addressed. (See also Economic criteria) 

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Turkey has adopted a second Action Plan to Fight the Informal Economy (2011–2013). The 
Social  Security  Institution  increased  its  efforts  to  promote  registered  employment  and  to 
identify undeclared work through various means. The ratio of undeclared workers to the total 
of all employed as measured by the Turkish Statistical Institute decreased by 3.3%, but it is 
still close to 40%. Monitoring and evaluation of the impacts of strategic measures is weak. 

There is a need to provide independent evaluations on labour market policies, as well as on 
mechanisms such as the unemployment insurance and the wage guarantee fund. Policy debate 
between  the  EU  and  Turkey  on  employment  policies  has  continued  but  needs  to  be  more 
clearly structured and further enhanced. 

Some progress can be reported as regards preparations for the European Social Fund (ESF). 
The  MoLSS,  the  Operating  Structure  responsible  for  the  management  of  the  IPA  Human 
Resources  Development  Operational  Programme,  has  been  accredited  for  tendering, 
contracting  and  financial  management  of  relevant  EU-funded  operations.  In  2011,  no  funds 
were  lost  through  the  automatic  de-commitment  rule.  However,  establishing  an  operations 
pipeline remains a challenge, increasing the risk of non-absorption of funds for the future. A 
more  effective  and  sustainable  monitoring  and  evaluation  system  needs  to  be  established. 
Evaluation  of  completed  operations  in  the  fields  of  employment  and  education  needs 
particular attention, taking into account the programme level indicators. 

There  has  been  little  progress  in  the  field  of  social  inclusion.  Efforts  by  the  Ministry  of 
Family and Social Policies to provide more efficient social services under a single roof have 
continued.  However,  a  clear  policy  framework  for  social  assistance  and  poverty  alleviation 
has  not  yet  emerged.  The  population  continues  to  be  exposed  to  a  high  risk  of  poverty, 
especially the rural population and children. In-work poverty also remains problematic. The 
linkages between social services and the public employment service need to be strengthened. 
The  protocol  of  cooperation  signed  between  relevant  ministries  is  a  positive  step  in  this 
direction. Home-based care services for the disabled and the elderly are expanding. Increasing 
the  employability  of  people  with  disabilities  remains  a  challenge.  Capacity  to  shape, 
implement,  monitor  and  evaluate  policies,  including  targeted  policies  to  reach  the  most 
vulnerable, needs to improve. Policy debate between the EU and Turkey on social inclusion 
and  social  protection  policies  has  continued  but  needs  to  be  more  clearly  structured  and 
further enhanced. 

There has been some progress in the field of social protection. The number of people actively 
insured rose by more than 9% between May 2011 and May 2012. The coverage of the social 
security  system  rose  from  84%  to  86%  in  the  same  period.  The  mandatory  General  Health 
Insurance  System  fully  entered  into  force  as  of  January  2012.  The  new  system  extends  the 
coverage  of  health  insurance  to  the  whole  population,  with  contributions  to  be  paid  by  the 
individual or the state, based on results of a means test. The ‘green card’ system, which was 
meant  to  cover  citizens  in  poverty  but  prompted  debates  concerning  fair  distribution,  is 
consequently abolished. However, the social security system has reported increasing deficits 
due,  largely,  to  increased  health  expenditures.  Efforts  to  register  undeclared  workers,  to 
prevent  under-declaration  of  salaries,  and  to  boost  the  efficiency  of  the  system,  including 
through  active  ageing  policies,  need  to  be  stepped  up  in  order  to  tackle  the  deficit  of  the 
pension system. In general, Turkey achieved progress on the adequacy and sustainability of 
health insurance. Efforts should continue in this area and they need to be stepped up for the 
other pillars of social protection.  

No  progress  can  be  reported  with  regard  to  anti-discrimination.  The  draft  legislation  does 
not address all grounds of discrimination covered by the acquis.  

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There has been little progress in the field of equal opportunities between women and men. 
The Turkish labour law is not applicable to situations prior to the labour contract, increasing 
the  risk  of  discrimination  during  recruitment,  coupled  with  the  lack  of  a  complaint 
mechanism.  There  is  a  remarkable  difference  between  the  figures  for  men  and  women  with 
regard  to  employment  as  an  unpaid  family  worker,  which  is  mostly  prevalent  in  the 
agriculture  sector.  The  female  employment  target  in  the  draft  national  employment  strategy 
(35%)  is  less  than  ambitious.  Measures  on  improving  the  work-life  balance  are  not  fully  in 
place,  and  the  existing  ones  mainly  focus  on  women  rather  than  a  gender  mainstreaming 
approach. Full enforcement of the principle of equal pay for equal value of work needs to be 
stepped up, also in those sectors not covered by the labour law. The gender gap in trade union 
activity  and  in  economic  and  political  decision-making  persists.  More  efforts  are  needed  to 
combat honour killings, domestic violence and forced marriages. A full gender mainstreaming 
approach in policy and law-making has yet to be developed across the public administration. 
The equality body required by the acquis has not been created. Preparations in this area are at 
an early stage. 

Conclusion 

Some progress, albeit uneven, has been achieved in the field of social policy and employment. 
Administrative capacity improved, social security coverage was extended and new legislation 
on  health  and  safety  at  work  and  trade  union  legislation  for  public  servants  was  adopted. 
However, trade union rights for workers and public servants still fall short of meeting the EU 
and  ILO  standards.  Further  efforts  are  needed  to  put  in  place  a  clear  policy  framework  on 
poverty reduction, reduce labour market segmentation, combat undeclared work and increase 
employment  rates  of  women  and  people  with  disabilities.  Overall,  legal  alignment  is 
moderately advanced. 

4.20.  Chapter 20: Enterprise and industrial policy 

Turkey made some progress with regard to enterprise and industrial policy principles. An 
Industrial Strategy and Action Plan (2011-2014) was adopted in 2011, thus meeting the key 
requirement for alignment in this area. Turkey reported an 85% success rate in implementing 
the actions planned in the strategy for the first year. This rate is based on the completion of 
activities but no impact assessment has so far been carried out. 

In  August  2012,  the  Coordination  Council  for  Improvement  of  the  Investment  Environment 
(YOIKK)  issued  an  Action  Plan  for  2012-2013.  Turkey  continued  implementing  the  SME 
Strategy  and  Action  Plan  approved  for  2011-2013.  A  large  number  of  regulations  were 
adopted in April 2012 in order to cut red tape in business start-ups. An amending law on land 
registry, published in May 2012, abolished the country-based reciprocity principle for natural 
persons.  The  list  of  eligible  countries  whose  citizens  can  purchase  real  estate  in  Turkey 
remains to be decided by the government. After revisions, the draft Turkish Commercial Code 
entered  into  force  on  1  July  2012.  Turkey  completed  the  assessment  process  for  the  Small 
Business  Act  together  with  the  Western  Balkans  and  the  EU,  with  successful  results 
particularly  on  small  entrepreneurship  and  responsive  administration.  In  order  to  promote 
entrepreneurship  culture  in  society,  Turkey  established  an  Entrepreneurship  Council 
consisting of business NGOs and Ministries. 

Some progress was made with respect to enterprise and industrial policy instruments. In 
order  to  facilitate  SMEs’  access  to  finance,  the  capital  structure  of  the  Guarantee  Fund 
Corporation  was  improved  and  its  branches  expanded.  The  number  of  technology 
development  zones  increased  to  43  in  2011,  of  which  32  are  currently  operational.  These 
zones host a total of 1,730 companies with more than a thousand new R&D projects carried 
out in 2011. However, no new patent registration has been facilitated within these zones. The 

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Ministry of Science, Industry and Technology continued its Industrial thesis (SAN-TEZ) and 
Techno-initiative  capital  support  programmes.  The  Scientific  and  Technological  Research 
Council  of  Turkey  (TÜBİTAK)  is  now  affiliated  to  the  Ministry  of  Science,  Industry  and 
Technology  and  is  expected  to  further  bridge  the  gap  between  scientific  research  and 
industrial  development.  Turkey  provided  support  totalling  € 153  million  to  Turkish 
enterprises  in  2011  and  2012  for  R&D  and  innovation  projects.  The  Supreme  Council  on 
Science and Technology issued 8 new decrees in December 2011 setting targets and priorities 
for  the  national  innovation  system,  the  development  of  innovation  and  R&D  tools  for 
entrepreneurs,  the  integration  of  entrepreneurial  training  into  the  whole  education  system 
starting  from  basic  education,  supporting  the  start-up  of  R&D-intensive  companies  and 
increasing national patent applications. 

KOSGEB,  the  SME  Development  Organisation,  continued  supporting  Turkish  SMEs  under 
five different programmes according to a project-based approach. KOSGEB disbursed a total 
of  about  € 80  million  in  2011  for  these  programmes,  excluding  interest-rate  subsidy 
operations. Its budget has been considerably increased for 2012 so that it can have a greater 
outreach.  In  addition,  Turkey  continued  providing  loan  programmes  for  SMEs  via  various 
banks with interest rate subsidy support from KOSGEB and via Halkbank. The total portfolio 
disbursed in 2011 under these loan programmes was about € 8.8 billion. Turkey continued to 
participate in the EU Entrepreneurship and Innovation Programme and is an active member of 
the Enterprise Europe Network. Turkey won a prize at the Enterprise Europe Award with a 
project on promoting the entrepreneurial spirit. Turkey performs well by developing measures 
to promote opportunities for SMEs in the framework of the Competitiveness and Innovation 
programme. 

Some  progress  has  been  made  in  sector  policies.  The  Ministry  of  Science,  Industry  and 
Technology adopted sector strategies on chemicals, ceramics, iron and steel and non-ferrous 
metals. Turkey adopted an Export Strategy and Action Plan in June 2012. 

Conclusion 

Turkey  has  made  progress  in  the  area  of  enterprise  and  industrial  policy  principles  and 
instruments  and  in  the  adoption  of  sectoral  strategies.  Turkey  has  a  sufficient  level  of 
alignment in this area. 

4.21.  Chapter 21: Trans European Networks 

There  has  been  some  progress  in  the  area  of  transport  networks.  The  Trans-European 
Transport Network (TEN-T) in  Turkey has been defined according to the new TEN-T rules 
and  was  included  in  the  revised  EC  proposal  on  TEN-T  guidelines.  Furthermore,  priority 
projects  and  data  on  infrastructure  have  been  included  in  the  TENtec  information  system 
TEN-T guidelines. 

Some progress can be noted in the area of energy networks. In gas, negotiations between the 
Nabucco Company and the Azeri Shah Deniz II Consortium continued for the Nabucco West 
project,  while  technical  work  on  the  Poseidon  gas  pipeline  linking  the  Turkey-Greece  gas 
pipeline  to  Italy  was  also  in  progress.  In  June  2012  the  Turkish  and  Azerbaijani  partners 
signed a contract to set up a project company to build the Trans-Anatolian natural gas pipeline 
(TANAP). Subsequently an intergovernmental agreement was signed by the authorities from 
both countries, followed by a contract between TANAP Co and the Turkish government on 
the rights and obligations of the parties to implement the project. These agreements provide 
the project company with the legal basis to build the pipeline. 

As  regards  electricity  networks,  links  are  in  operation  with  Bulgaria,  Greece,  Syria,  Iran, 
Azerbaijan  and  Georgia.  Two  new  400  kV  transmission  lines  between  Turkey  and  Georgia 

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and  between  Turkey  and  Iran  are  under  construction.  Additional  new  lines  between  Turkey 
and  Georgia,  Iran,  Syria  and  Iraq  are  in  the  planning  phase.  Preparations  for  Turkey’s 
synchronisation with the European Network of Transmission System Operators for Electricity 
(ENTSO-E)’s  Continental  European  Synchronous  Area  are  at  an  advanced  stage,  targeting 
completion in autumn 2012. 

Conclusion 

Turkey has made some progress in the area of trans-European networks. Some progress can 
be  reported  on  transport  and  electricity  energy  networks.  However,  continued  efforts  are 
needed  for  gas  interconnections  and  the  implementation  of  the  Southern  Gas  Corridor. 
Overall, the alignment is advanced in this area. 

4.22.  Chapter 22: Regional policy and coordination of structural instruments 

Some  progress  was  made  with  regard  to  the  legislative  framework.  As  part  of  the  general 
reorganisation of the public administration, several by-laws were adopted on restructuring the 
Ministry of Transport (MoT), the Ministry of Environment and Forestry (MoEF), the Ministry 
of  Industry  and  Trade  (MoIT)  and  the  Ministry  of  Labour  and  Social  Security  (MoLSS). 
These  by-laws  provide  the  legal  basis  for  establishing  the  units  for  coordination  and 
programming,  budgeting,  tendering,  contracting,  execution,  financial  management  and 
supervision  of  EU  co-funded  project  activities.  Following  this  restructuring  the  Prime 
Minister’s circular on IPA coordination was amended accordingly. 

Some  progress  was  made  with  regard  to  strengthening  the  institutional  framework.  The 
restructuring  of  the  public  administration  also  had  an  effect  on  several  of  the  Operating 
Structures  (OSs).  In  the  case  of  MoEF  and  MoIT,  as  a  result  of  restructuring,  the 
responsibilities  of  the  Operating  Structure  were  taken  over  by  the  newly  established 
ministries:  the  Ministry  of  Environment  and  Urbanisation  (MoEU)  and  the  Ministry  of 
Science,  Industry  and  Technology  (MoSIT)  respectively.  Following  the  restructuring,  the 
National  Authorising  Officer  and  the  Audit  Authority  provided  confirmation  that  the 
accreditation criteria for proper functioning of the management and control system were still 
fulfilled.  

Some  progress  was  made  as  regards  administrative  capacity  in  all  IPA  institutions 
responsible  for  the  IPA  Regional  Development  and  Human  Resources  Development 
components (IPA Components III and IV respectively). During the restructuring of the public 
administration,  a  by-law  concerning  improvement  of  the  remuneration  system  for  the  staff 
employed in IPA projects was adopted.  

In  January  and  February  2012,  MoLSS  and  MoSIT  respectively  qualified  through  a 
Commission decision for taking over procurement and contracting functions from the Central 
Finance  and  Contact  Unit  (CFCU)  for  the  Human  Resources  Development  Operational 
Programme  (HRDOP)  and  for  the  Regional  Competitiveness  Operational  Programme 
(RCOP). Preparations at the Ministry of Transport, Maritime Affairs and Communication for 
taking  over  procurement  and  contracting  functions  were  also  speeded  up  for  the  Operating 
Structure in the area of Transport under IPA Component III.  

Training and the provision of technical assistance to strengthen all institutions involved in the 
implementation  of  IPA  has  continued.  Further  increasing  the  institutional  capacity  of  the 
Operating Structures is necessary to ensure better quality and better performance of supported 
interventions as well as speedier implementation.  

With  regard  to  programming  and  programme  implementation,  some  progress  was  made  in 
the identification, preparation and appraisal of projects under IPA Components III and IV. A 
pipeline  of  quality  and  mature  projects  has  been  presented  in  the  transport  and  the 

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environment sector under IPA Component III. Some progress was made in the preparation of 
tender documents, publication of tenders and contracting; however, risks for the absorption of 
funds remain. 

The  preparations  continued  on  the  National  Strategy  for  Regional  Development  (NSRD), 
which aims to create a general framework and guidance for the regional and local plans and 
strategies.  The  Regional  Plans  have  been  prepared  for  all  26  NUTS  II  regions  under  the 
coordination of all Development Agencies. 

Some progress was made in the area of monitoring and evaluation, although monitoring of 
programmes under IPA Components III and IV is still in the early stages due to the fact that 
implementation is currently limited. The Integrated Monitoring Information System has been 
further developed and is now partly operational. The Sectoral Monitoring Committees of IPA 
Components  II,  III  and  IV  have  continued  to  meet  as  scheduled.  A  number  of  interim 
evaluations  were  carried  out  in  2011.  However,  evaluation  capacity  needs  to  be  further 
strengthened  within  IPA  bodies,  among  other  things  to  ensure  that  evaluations  ultimately 
serve both accountability and programme management purposes.  

In  the  area  of  financial  management,  control  and  audit,  some  progress  was  made.  The 
Central Finance and Contract Unit (CFCU) has delivered training in the area of rejection rate 
tracking  and  reporting,  and  shared  its  methodology  with  the  ministries  designated  as 
Operating Structures for IPA Components III and IV. A by-law was adopted in 2011 which 
ensures  that  the  Audit  Authority  also  has  a  legal  basis  for  auditing  EU-funded  projects  in 
particular  in  line  with  the  Framework  Agreement  and  Financing  Agreements  and  with  the 
international  audit  standards.  However,  implementation  of  the  action  plan  addressing  the 
weaknesses in the management and control systems needs to be more effective. 

Conclusion 

the 

Some  progress  was  made  in  the  field  of  regional  policy  and  coordination  of  structural 
instruments.  Although 
implementing  IPA  Regional 
institutional  framework  for 
Development and Human Resources Development components has been strengthened and the 
Operating Structures for the Regional Competitiveness, Environment and Human Resources 
Development  Operational  Programmes  have  obtained  accreditation  for  the  tendering, 
contracting and financial management functions, there is still a need for further strengthening 
of  the  administrative  capacity  of  the  IPA  institutions  in  order  to  speed  up  the  programme 
implementation process, improve its quality and avoid loss of funds. Preparations in this area 
are not very advanced. 

4.23.  Chapter 23: Judiciary and fundamental rights (See also Political criteria) 

Some  progress  has  been  made  in  the  reform  of  the  judiciary.  The  2009  Judicial  Reform 
Strategy, whose objectives were achieved to a large degree, is being revised. It is expected to 
focus on efforts to speed up judicial procedures, further reform of the military justice system, 
alternative  dispute  resolution,  disadvantaged  groups,  and  international  relations  in  judiciary 
matters with the emphasis on the case law of the European Court of Human Rights and related 
training. The review of the strategy was carried out with the participation of all stakeholders, 
the Turkish legal community and civil society. 

As  regards  the  independence  of  the  judiciary,  the  High  Council  of  Judges  and  Prosecutors 
published 34 circulars related to the work of judges and prosecutors and organised in-service 
training  and  meetings  with  stakeholders,  encouraging  their  participation  in  discussions  and 
workshops on the judiciary as a whole. 

However, criticisms of the legislation on the High Council of Judges and Prosecutors referred 
to in last year’s progress report, e.g. the role given to the Minister of Justice, have not been 

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addressed. There was concern that decisions to suspend prosecutors in the Deniz Feneri case 
reflected  pressure  from  the  executive.  The  polarised  political  atmosphere  was  reflected  in 
opposition accusations that the government was controlling the judiciary. 

With  regard  to  impartiality,  the  individual  application  procedure  introduced  by  the  2010 
constitutional amendments and the Law on the Constitutional Court of 2011 enter into force 
in September 2012. The Ministry of Justice is drafting a Human Rights Action Plan. A draft 
law providing for the establishment of a commission on long trials is on parliament’s agenda.  

Criticisms  of  the  legislation  on  the  Constitutional  Court  referred  to  in  last  year’s  progress 
report have not been addressed. Prosecutors do not have their offices in parts of courthouses 
separate  from  judges,  they  are  not  required  to  enter  and  leave  the  courtroom  by  a  different 
entrance from judges and in court they do not sit at the same level as lawyers. This continues 
to cloud perceptions of the impartiality of judges. 

With  regard  to  the  efficiency  of  the  judiciary,  amendments  to  the  Laws  on  the  Court  of 
Cassation and the Council of State aiming at tackling their backlog of cases started to generate 
in 
positive  results.  Legislation  adopted  on  speeding  up 
improvements  at  first-instance  courts’  level,  as  well.  A  third  judicial  reform  package  was 
adopted in July. It  includes amendments to a number of laws  and aims to speed  up judicial 
procedures further. 

judicial  services  resulted 

However, the Ministry and the High Council have yet to develop benchmarks to monitor and 
assess the performance of the courts, the length of court proceedings and the efficiency and 
effectiveness of the judicial system. Further efforts are needed to comply with ECtHR case-
law on access to a lawyer and to improve the system of legal aid. 

The  Regulation  on  the  Judicial  Police  adopted  in  2005  under  Article  167  of  the  Criminal 
Procedure Code has not been implemented according to European standards so there are no 
judicial police units attached to prosecution offices. Prosecutors rely on police units working 
for  the  Ministry  of  the  Interior  and  have  yet  to  develop  their  capacity  to  guide  police 
investigations effectively and keep strict control over police activity. 

The third judicial reform package relates also to the Turkish criminal justice system. Overall, 
it includes steps in the right direction of guaranteeing procedural rights. However, it neither 
sufficiently revises problematic areas related to the administration of justice and protection of 
fundamental rights nor does it address issues related to definitions of criminal offences in the 
law. 

In  practice,  concerns  have  been  expressed  as  regards  the  criminal  justice  system  and,  in 
particular,  the  Serious  Crimes  Courts.  These  focused  on  the  defence’s  limited  access  to  the 
prosecution file, on decisions to arrest or continue to detain suspects, and on the length of pre-
trial detention. Alternatives to pre-trial detention are not sufficiently applied. Turkey lacks an 
effective  domestic  remedy  to  ensure  that  applicants  are  heard  and  to  offer  them  the 
opportunity to challenge the lawfulness of their pre-trial detention with reasonable prospects 
of success. There have been concerns over the quality of the indictments and of the indictment 
process. Leaks of information, evidence and statements continued to give rise to concerns. In 
some  cases  there  have  been  concerns  that  cross-examination  in  criminal  trials  is  not  carried 
out properly. Judges and prosecutors have been given no training in cross-examination.  

The  regional  courts  of  appeal  which,  by  law,  should  have  been  in  operation  by  June  2007 
have not been established yet. 

Limited  progress  was  made  on  anti-corruption  policy,  with  some  developments  on 
incrimination  and  improved  transparency  in  the  financing  of  political  parties.  The  third 
judicial  reform  package  includes  amendments  to  provisions  on  corruption  in  the  Criminal 

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Code,  redefining  and  extending  the  scope  of  bribery  as  an  offence,  in  line  with 
recommendations  by  the  Group  of  States  against  Corruption  (GRECO).  The  Law  on 
Presidential  Elections  of  January  introduced  strict  rules  on  the  transparency  of  election 
financing  for  presidential  candidates.  A  2011  amendment  reinforced  capacity  for  auditing 
political financing. 

However, legal loopholes related to the financing of politics continued to be a concern. The 
auditing  of  political  parties  remained  weak  and  there  was  no  legal  framework  for  auditing 
election  campaigns  or  the  financing  of  individual  candidates  other  than  in  the  case  of 
presidential  elections.  There  were  not  enough  checks  on  assets  declared  by  political  figures 
and  public  officials.  No  progress  was  made  on  limiting  the  immunity  of  Members  of 
Parliament  and 
in  corruption-related  offences.  GRECO 
recommendations are yet to be fully implemented. The implementation of the National Anti-
Corruption  Strategy  requires  greater  political  engagement  and  broader  civil  society 
participation. A track record of investigation, indictment and conviction related to corruption 
cases has not yet been established.  

senior  public  officials 

There has been very limited progress as regards fundamental rights. 

The establishment of an Ombudsman institution is an important step in safeguarding the rights 
of  citizens  and  ensuring  accountability  of  the  public  administration.  A  law  establishing  the 
Turkish  National  Human  Rights  Institution  was  adopted  by  parliament.  The  law  does  not 
comply  fully  with  the  UN  Paris  principles  on  human  rights  institutions,  in  particular  as 
regards the independence of the  proposed body. It was not discussed with stakeholders, nor 
does  it  in  any  way  reflect  the  concerns  and  proposals  of  national  and  international  experts. 
Some  progress  was  made  on  the  observance  of  international  human  rights  law,  notably 
through  the  efforts  of  the  Ministry  of  Justice  and  the  parliament’s  Human  Rights  Inquiry 
Committee. A number of reforms to strengthen human rights structures are still awaited.  

As  regards  prevention  of  torture  and  ill-treatment,  despite  the  positive  downward  trend  in 
reports of torture and ill-treatment in places of detention, law enforcement officers continued 
to resort to force and, particularly in unofficial places of detention, this is cause for concern. 
There was little progress on tackling impunity. Mass graves discovered in the south-east have 
not  been  adequately  investigated.  There  is  a  significant  backlog  of  judicial  proceedings 
concerning allegations of excessive force or procedural errors, with priority seemingly given 
to counter-allegations lodged by the security forces. 

The  overcrowding  of  prisons  remains  problematic,  with  a  serious  impact  on  sanitation  and 
other  physical  conditions.  An  overhaul  of  the  complaints  system  in  prisons  is  overdue. 
Medical treatment and the conditions in which juveniles are held require special efforts.  

Limited  progress  has  been  made  on  access  to  justice.  The  scope  and  quality  of  legal  aid  is 
inadequate.  There  is  no  effective  monitoring  mechanism  that  would  remedy  long-standing 
problems. 

An  increase  in  violations  of  freedom  of  expression  has  given  rise  to  serious  concerns,  and 
freedom  of  the  media  continued  to  be  further  restricted  in  practice.  The  legal  framework, 
especially as regards organised crime and terrorism, and its interpretation by the courts leads 
to abuses. Together with pressure on the press by state officials and the laying off of critical 
journalists  this  has  led  to  widespread  self-censorship.  Frequent  website  bans  are  cause  for 
serious concern and there is a need to revise the law on the internet.  

Little  progress  was  made  on  freedom  of  assembly  and  freedom  of  association.  Where 
demonstrations  took  place  without  official  consent  there  were  cases  of  violence  and 
disproportionate  use  of  force  by  the  security  forces,  especially  where  the  demonstrations 

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related to the Kurdish issue. There is a need to revise the law on demonstrations and meetings. 
There is also a need to revise legislation on fundraising for civil society organisations to help 
strengthen civil society. Legislation on civil servants’ trade unions and collective bargaining 
was  amended.  However,  the  new  legislation  is  not  fully  in  line  with  EU  standards  and 
International  Labour  Organisation  conventions,  especially  with  regard 
to  collective 
bargaining, dispute settlement, and the right to strike, in relation to public servants. There is 
no sustainable mechanism for the participation of civil society in policy making. There were 
no developments regarding legislation on political parties.  

Limited progress was made on freedom of thought, conscience and religion. There has been 
some progress on conscientious objection in terms of applying the case law of the European 
Court  of  Human  Rights.  Dialogue  with  the  non-Muslim  religious  communities  continued. 
However, members of minority religions and indeed those of no faith were subject to threats 
from extremists. A legal framework in line with the European Convention on Human Rights 
has  yet  to  be  established,  so  that  all  non-Muslim  religious  communities  and  the  Alevi 
community can function without undue constraints.  

Some progress was made on women’s rights and gender equality. The Law on the Protection 
of  Family  and  Prevention  of  Violence  against  Women  is  an  improvement  on  previous 
legislation,  protecting  family  members  and  those  in  relationships  outside  marriage  from 
violence.  The  procedures  for  urgent  cases  are  particularly  positive,  as  was  the  inclusive 
consultation  exercise  undertaken  by  the  authorities  with  civil  society,  even  if  non-
governmental  organisations  are  critical  of  certain  last-minute  amendments  to  the  text. 
However,  substantial  efforts  are  needed  to  turn  this  new  law,  and  earlier  legislation,  into 
political,  social  and  economic  reality.  The  law  needs  to  be  consistently  applied  across  the 
country.  There  is  a  need  for  greater  involvement  of  and  participation  by  women  in 
employment, policy-making and politics. Girls’ school enrolment and drop-out rates need to 
be monitored. The issue of early and forced marriages remains a concern. 

With  respect  to  children’s  rights,  efforts  are  needed  in  all  areas,  including  education, 
combating  child  labour,  health,  administrative  capacity  and  coordination.  In  general,  more 
preventive  and  rehabilitative  measures  need  to  be  taken  for  juveniles.  Detained  children  are 
not  held  in  appropriate  conditions  and  additional  juvenile  courts  need  to  be  created  in  line 
with the legislation in force. 

Little progress was made as regards the socially vulnerable and/or persons with disabilities. 
Implementation  of  the  Strategy  Paper  on  Accessibility  and  the  National  Action  Plan  was 
limited. Home-based care services for the disabled and the elderly were expanded. A protocol 
was  signed  to  promote  entrepreneurship  for  people  with  disabilities.  Efforts  to  increase 
employment  in  the  public  sector  continued.  However,  a  national  monitoring  mechanism  to 
implement  the  UN  Convention  on  the  Rights  of  Disabled  Persons  and  the  corresponding 
optional protocol is still not in place. The principle of positive discrimination for the disabled 
is  not  properly  reflected  in  policy  measures.  In  practice,  the  employability  of  persons  with 
disabilities  both  in  public  and  private  sectors  needs  to  be  further  promoted.  Official  and 
reliable  data  and  research  on  persons  with  disabilities  and  mentally  ill  persons  is  lacking, 
which  is  a  barrier  to  informed  policy-making.  Difficulties  in  access  to  education,  health, 
social and public services by persons with disabilities continued. Physical barriers to access 
are  widespread.  There  is  still  no  independent  body  to  monitor  and  inspect  mental  health 
institutions. 

No  progress  has  been  made  on  anti-discrimination  policies.  Comprehensive  anti-
discrimination  legislation  has  not  been  adopted.  The  current  legal  framework  has  not  been 
harmonised  with  the  EU  acquis.  LGBT  persons  continued  to  suffer  discrimination  and 

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intimidation and often lost their jobs or were the victims of violent crime. A number of court 
cases  and  judicial  proceedings  are  in  progress.  The  BDP’s  draft  proposal  to  eliminate 
discrimination and regulate the headscarf issue was rejected in the TGNA.  

There  has  been  progress  on  property  rights,  with  the  adoption  of  legislation  amending  the 
2008  Law  on  Foundations.  Implementation  continues.  However,  the  current  legislation  still 
does not cover fused foundations or properties confiscated from Alevi foundations. Council of 
Europe Resolution 1625 (2008) on Gökçeada (Imvros) and Bozcaada (Tenedos) still needs to 
be implemented. The ongoing cases against the Mor Gabriel Syriac Orthodox monastery give 
rise to concerns. Turkey needs to ensure that the property rights of all non-Muslim religious 
communities and others are fully respected. 

As regards respect for and protection of minorities and cultural rights, Turkey has made some 
progress  on  rights  of  persons  belonging  to  minorities, especially regarding  the  restitution of 
some of the properties of non-Muslim minorities. Although for the first time representatives 
of minority groups, not limited to those minorities recognised by the Lausanne Treaty, were 
invited  to  parliament  to  express  their  views  on  a  new  constitution,  Turkey’s  approach  to 
minorities  remained  restrictive.  Full  respect  for  and  protection  of  language,  culture  and 
fundamental  rights,  in  accordance  with  European  standards,  has  yet  to  be  fully  achieved. 
Turkey needs to make further efforts to enhance tolerance and promote inclusiveness vis-à-vis 
minorities. As regards cultural rights, restrictions remain on the use of languages other than 
Turkish in political life, in contacts with public services and in prisons. The legal framework 
for  the  use  of  languages  other  than  Turkish  is  open  to  restrictive  interpretation  and  any 
flexibility allowed is inconsistently applied. A comprehensive policy to address the situation 
of  the  Roma  is  needed.  There  is  a  need  for  revision  of  existing  legislation  and  the 
establishment  of  protection  mechanisms  or  specific  bodies  to  combat  racism,  xenophobia, 
anti-Semitism  and  intolerance.  There  is  a  specific  need  for  legislation  to  tackle  hate  speech 
and hate crimes.  

With regard to respect for private and family life and, in particular, the right to protection of 
personal data, Turkey needs to align its legislation with the data protection acquis and set up 
a fully independent data protection supervisory authority. Turkey also needs to ratify both the 
CoE  Convention  for  the  protection  of  individuals  with  regard  to  automatic  processing  of 
personal data (CETS No 108) and the additional protocol to it on supervisory authorities and 
trans-border  data  flow  (CETS  No  181).  The  absence  of  data  protection  legislation  hampers 
operational cooperation between police and judicial authorities and on counter-terrorism. 

Conclusion  

Overall, some progress has been made in the area of the judiciary following the adoption of 
the  third  judicial  reform  package,  which  introduces  a  number  of  improvements  into  the 
Turkish  criminal  justice  system.  However,  the  reforms  failed  to  address  core  shortcomings. 
Further efforts are needed with regard to the independence, impartiality and efficiency of the 
judiciary,  including  the  criminal  justice  system  and  the  large  backlog  of  serious  criminal 
cases.  The  participation  rate  of  women  in  the  judiciary  needs  to  be  improved.  Limited 
progress  was  made  on  anti-corruption,  with  some  developments  on  incriminations  and 
transparency  in  the  financing  of  political  parties.  The  implementation  of  the  National  Anti-
Corruption  Strategy  requires  greater  political  engagement.  As  regards  fundamental  rights, 
laws  establishing  an  ombudsman  institution  and  a  national  human  rights  institution  were 
adopted. The situation regarding the respect for fundamental rights continues to be the source 
of serious preoccupation, notably stemming from the wide application of the legal framework 
on  terrorism  and  organised  crime,  which  leads  to  recurring  infringements  of  the  right  to 

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liberty and security, of the right to a fair trial and of the freedom of expression, assembly and 
association.  

4.24.  Chapter 24: Justice, freedom and security 

Limited  progress  can  be  reported  in  the  area  of  migration.  The  Law  on  Foreigners  and 
International  Protection  was  submitted  to  the  parliament  in  May  2012  but  still  needs  to  be 
adopted. Its adoption is key to providing a single, coherent legislative framework governing 
Turkey’s relations with foreigners and safeguarding the rights of migrants and refugees in line 
with EU and international standards.  

In  2011,  217,206  persons  were  granted  in  Turkey  a  residence  permit  on  various  grounds, 
including work and education. Turkey continued to be a very important transit and destination 
country  for  irregular  migration.  In  2011,  the  number  of  irregular  migrants  apprehended  in 
Turkey reached 44,415, an increase of 26% on the 2010 figures. The number of apprehended 
irregular  migrants  amounted  to  14,559  between  1  January  and  1  July  2012.  The  number  of 
irregular migrants deported by Turkish authorities in 2011 was 26,889 and 4,739 between 1 
January and 1 July 2012. Meanwhile, the number of third country nationals detected in 2011 
by EU Member States’ law enforcement forces when entering or attempting to enter illegally 
the  EU  and  coming  directly  from  or  transiting  through  the  Turkish  territory  amounted  to 
55,630.  This  represented  a  slight  increase  of  2  %  on  the  2010  figures.  Turkish  borders 
remained porous also in the first half of 2012. In the period between 1 January and 15 July 
2012 the number of the irregular migrants coming or transiting Turkey and intercepted by EU 
Member States amounted to 25,944. 

Pending  adoption  of  the  Law  on  Foreigners  and  International  Protection,  no  substantial 
administrative measures were taken to improve the situation of irregular migrants. The overall 
capacity to host irregular migrants decreased to 2,176 in 2011. Minimum living standards at 
removal  centres  and  their  inspection  remain  unregulated.  The  lack  of  human  and  financial 
resources  hampered  the  improvement  of  physical  conditions  in  the  removal  centres.  The 
construction  of  new  removal  centres  in  Van  and  Bitlis,  each  with  a  capacity  of  400  to  600 
people,  was  hampered  by  the  Van  earthquake.  No  structured  approach  to  psycho-social 
services targeting irregular migrants is in place yet.  

Access to legal aid for migrants remains limited. There is no institutional capacity at the level 
of  Bar  Associations  to  provide  such  support  autonomously.  Assisted  voluntary  return  is 
carried out for a limited number of migrants through projects financed bilaterally and with the 
help of the International Organisation for Migration (IOM). Training of staff working in the 
migration management continued through national resources and with the support of the EU 
or other partners. 

The readmission agreement with the EU was initialled on 21 June but still needs to be signed. 
Its swift conclusion and effective implementation remains of crucial importance. Meanwhile, 
the  appropriate  implementation  of  already  existing  bilateral  readmission  agreements  is  a 
priority.  The  bilateral  readmission  protocol  between  Greece  and  Turkey  continued  to  be 
implemented  only  in  a  very  limited  manner.  In  February,  Turkey  signed  a  readmission 
agreement with Bosnia and Herzegovina.  

Limited progress has been noted on asylum, pending the adoption of the Law on Foreigners 
and  International  Protection.  Turkey  continues  implementing  the  Geneva  Convention  on 
Refugees  on  the  basis  of  a  reservation  limiting  the  benefits  of  the  Convention  only  to  the 
asylum  seekers  originating  from  European  countries.  While  the  construction  of  seven 
reception centres for asylum seekers and refugees funded by the EU budget is still on-going, 
the  sharp  increase  in  the  number  of  asylum  applications  turned  out  to  be  critical  for  the 

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reception  capacity.  Additionally,  as  a  consequence  of  the  earthquake  in  the  eastern  part  of 
Turkey  in  October  2011,  most  of  the  refugees  living  in  Van,  one  of  the  most  important 
‘satellite  cities’  in  the  Turkish  national  asylum  system,  had  to  move  out  of  the  city  as  their 
accommodation  was  destroyed  and  they  had  little  access  to  the  assistance  deployed  for  the 
local community.  

The Turkish authorities demonstrated a high level of competence and operational capacity in 
dealing with the continuous inflow of Syrian nationals into Turkey since the outbreak of the 
crisis  in  Syria.  The  open-ended  Temporary  Protection  status,  granted  at  the  end  of  October 
2011 to all camp residents, sanctioned a situation of factual protection. This entails keeping 
borders open, ensuring humanitarian aid and refraining from forcibly returning Syrian citizens 
to their country. 

According to the official estimates, the number of Syrian citizens staying in Turkey reached 
nearly  100,000.  Most  of  them  are  in  camp  and  container  sites  set  up  in  four  southern 
provinces.  General  living  conditions  in  the  camps  have  been  praised  by  a  number  of 
international observers, including the UNHCR and ECHO. The UNHCR assisted the Turkish 
authorities  on  the  ground:  it  followed  and  monitored  camp  operations  and  supported,  in  an 
advisory role, registration procedures in the Hatay registration centre. An increasing number 
of  observers  have  been  able  to  monitor  and  report  on  the  situation  in  the  camps.  However, 
further  efforts  are  needed  to  ensure  full  transparency  and  to  allow  other  relevant  players, 
including  civil  society  organisations  active  in  the  field  of  asylum,  access  to  the  camp 
facilities.  

There has been limited progress on visa  policy. The  Ministry of  the Interior has  introduced 
new provisions on short stays in Turkey. However, Turkey did not align with the EU lists of 
countries whose nationals must be in possession of visas when crossing the external borders 
and  those  whose  nationals  are  exempt  from  that  requirement.  No  additional  measures  were 
taken to further strengthen checks at borders following the visa exemptions launched in early 
2009.  Furthermore,  Turkey  continue  discriminating  between  Member  States  as  regards  visa 
policy:  the  citizens  of  11  EU  Member  States  continue  to  be  required  to  hold  a  visa  before 
entering Turkey, while the citizens of 16 Member States are exempted from this obligation. 
There is a clear need to step up training for consular staff, in particular on document security. 

Limited  progress  can  be  reported  on  external  borders  and  Schengen.  Legislation  on 
transferring  border  management  tasks  and  coordination  to  a  specialised  and  professional 
border  security  entity  has  not  yet  been  submitted  to  parliament  for  approval.  The  draft 
roadmap for Integrated Border Management (IBM) has not yet been approved. The delays in 
the adoption of the law and the IBM roadmap are a major institutional hindrance towards the 
institutional development and implementation of integrated border management. 

Both  intra-agency  and  inter-agency  cooperation  and  coordination  need  to  be  developed 
considerably  in  the  interests  of  efficient  border  management.  The  proposed  legislative 
amendment on expanding the tasks of Deputy Governors to act as administrative heads of the 
border agencies is still pending in the parliament. 

A  Memorandum  of  Understanding  (MoU)  between  Frontex  and  the  Turkish  Ministry  for 
Foreign  Affairs  was  signed  in  May  2012.  This  MoU  enables  a  framework  to  be  set  up  for 
enhanced  operational  cooperation  between  Frontex  and  Turkey,  including  participation  in 
training activities and in joint operations, the deployment of Frontex experts to Turkey and a 
more organised exchange of information and risk analysis. Overall, the lack of risk analyses, 
including joint analyses among relevant authorities in charge of border management, has led 
to inefficient border control and less-than-optimal use of resources. 

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Structured training is needed for all border agencies, including language training. The rotation 
of  border  staff  needs  to  be  carefully  reviewed  in  order  to  ensure  sustainability  of  expertise. 
Replacing the landmines with modern and humanitarian border surveillance tools is a priority. 
Problems  posed  by  the  architectural  designs  for  the  operational  functionality  of  land  border 
crossing points (BCPs) need to be addressed. Border agencies at local and central level need 
to  be  consulted  regularly  during  both  the  design  phase  and  utilisation  of  the  modernised 
BCPs. This entails establishing proactive border checks procedures and regulations to control 
irregular migration at transit zone areas in the airports. 

The  existence  of  exclusive  customs  zones  at  the  land  BCPs  poses  a  major  challenge  to  the 
establishment  of  an  integrated  border  management  system  locally.  Cooperation  with 
neighbouring  countries  and  with  countries  of  origin  and  destination,  in  terms  of  border 
management, needs to be improved. Enhanced cooperation between border authorities and the 
Turkish  national  airline  also  needs  to  be  enhanced,  in  particular  through  joint  training  and 
better exchange of information leading to proper pre-boarding and pre-arrival screenings and 
analyses. 

Limited progress can be reported on judicial cooperation in civil and criminal matters. On 
judicial cooperation in civil matters, in November 2011 Turkey set out the principles and rules 
to  be  followed  by  domestic  institutions  with  regard  to  implementation  of  the  1965  Hague 
Convention on Service of Documents and the 1970 Convention on Taking Evidence Abroad 
in Civil and Commercial Matters. On child protection, ratification of the 2003 Convention on 
Contact  concerning  Children  was  completed  and  the  convention  entered  into  force  in  May 
2012. The mediation law on legal disputes, which entered into force in June 2012, is expected 
to reduce the workload of the judiciary and allow rapid, low-cost and effective resolution of 
civil  and  criminal  disputes  as  well  as  possible  contribution  to  social  peace.  The  law  is  also 
applicable  to  EU  citizens.  However,  Turkey  has  not  yet  ratified  the  1996  Convention  on 
Parental  Responsibility.  During  the  reporting  period  1,765  requests  in  the  area  of  judicial 
cooperation  in  civil  matters  were  received  by  Turkey  and  6,779  requests  were  made  by 
Turkey. 

As  regards  judicial  cooperation  in  criminal  matters,  Turkey  has  participated  in  the  regular 
meetings of the European Judicial Network (EJN). Five judges are acting as contact points for 
Eurojust and the EJN to facilitate the execution of extraditions and requests for mutual legal 
assistance. During the reporting  period 96  extraditions  were requested by Turkey and seven 
extraditions  by  EU  Member  States;  six  extraditions  to  Turkey  were  enforced.  Regarding 
mutual legal assistance in criminal matters, a total of 491 requests were received by Turkey 
and 2,933 requests were issued by Turkey. On transfer of convicts, six transfers took place to 
Turkey and two to EU Member States. 

Uneven progress has been achieved in the area of police cooperation and the fight against 
organised  crime.  Turkey  is  a  party  to  the  main  international  conventions.  Community 
policing  divisions  have  been  established  in  81  provinces.  However,  the  lack  of  a  data 
protection  law  continues  to  limit  police  cooperation  at  international  level  and  hinders  the 
conclusion of an operational cooperation agreement with Europol. The assignment of a police 
liaison  officer  to  Europol  would  help  improve  bilateral  cooperation.  The  Monitoring  and 
Assessment Board to Implement the National Strategy against Organised Crime (2010-2015) 
continues to meet on a regular basis under the coordination of the Ministry of the Interior.  

No  significant  progress  was  noted  in  the  area  of  combating  trafficking  in  human  beings. 
Drafting  work  continued  on  the  framework  law  in  this  area.  Consultations  were  organised 
with  line  ministries,  representatives  of  civil  society,  law  professionals  and  academia. 
Consultation meetings were also held with relevant international bodies and the EU. Further 

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efforts  are  needed  in  order  to  gather  reliable  statistical  data  on  human  trafficking.  Victims’ 
shelters  in  Ankara  and  Istanbul  and  a  safe  house  in  Antalya  were  operating  and  received 
financial  support  from  the  2012  budget.  The  157  toll-free  helpline  for  victims  continued 
functioning.  

Following the establishment of a Cybercrime Department under the Turkish National Police 
in 2011, subordinated divisions were created at provincial level in February 2012. Turkey has 
not  yet  ratified  the  Council  of  Europe’s  Convention  on  Cybercrime,  signed  in  2010.  With 
regard  to  forensics,  a  national  fingerprint  and  DNA  database  is  still  to  be  established.  Data 
collection  and  analysis  in  the  area  of  law  enforcement  needs  to  be  improved.  The  Turkish 
National  Police  has  established  witness  protection  units  in  71  provinces.  Inter-agency 
cooperation needs to be strengthened. 

Progress  can  be  reported  in  the  fight  against  terrorism.  Turkey  ratified  the  Council  of 
Europe’s Convention on the Prevention of Terrorism and the International Convention for the 
Suppression of Acts of Nuclear Terrorism. However, Turkey still needs to ratify the Council 
of Europe’s Convention on the Laundering, Search, Seizure and Confiscation of the Proceeds 
from Crime and on the Financing of Terrorism. The Law on Prevention of the Financing of 
Terrorism also needs to be adopted in order to meet the requirements of the Financial Action 
Task  Force  (FATF).  Serious  concerns  remain  as  regards  the  broad  definition  of  terrorism 
under  the  Anti-Terror  Law.  (See  Situation  in  the  east  and  south-east  and  Freedom  of 
expression).  

Turkey continued to face terrorist attacks from the PKK.  

Turkey  is  actively  engaged  in  a  counter-terrorism  dialogue  with  the  EU.  However,  the 
absence of  a  data protection law prevents Turkey from concluding a  cooperation agreement 
with Europol and limits judicial cooperation with Eurojust and with the EU Member States.  

Some  progress  has  been  achieved  in  the  area  of  cooperation  in  the  field  of  drugs.  The 
interim evaluation of the 2nd National Action Plan against Drugs and Drug Addiction (2010-
2012) to implement the National Strategy (2006-2012) was carried out in February 2012. A 
total  of  32  new  psychoactive  substances  have  been  included  in  the  scope  of  the  Law  on 
Supervision  of  Drugs  as  a  result  of  the  activities  carried  out  by  the  Early  Warning  System 
Working Group. Successful operations resulting in the seizure of 76,392 kg of cannabis, 592 
kg  of  cocaine,  7,294  kg  of  heroin  and  1,364,253  ecstasy  tablets  were  carried  out  by  the 
Turkish  law  enforcement  bodies.  Two  controlled  delivery  operations  were  carried  out  with 
Germany and 2 kg of cocaine was seized as a result of those operations. 

The  agreement  concerning  Turkey’s  participation  in  the  European  Monitoring  Centre  for 
Drugs and Drug Addiction (EMCDDA) was ratified in June 2012. Turkey reports annually to 
the EMCDDA and continues participating as an observer in Reitox meetings of heads of focal 
points. However, the status and human resources of the National Reitox Focal Point need to 
be strengthened further. There are 22 treatment centres, so overall capacity is limited. There is 
a need to establish better treatment and rehabilitation facilities to achieve a more balanced and 
effective approach against drugs. Data collection and analysis capacity need to be improved. 

Limited  progress  has  been  achieved  in  the  area  of  customs  cooperation.  In  2011,  the 
institutional framework was changed, leading to the merger of the Ministry of Customs and 
the Ministry of Trade into a new Ministry of Customs and Trade. 

The  duties  and  responsibilities  of  the  main  units  of  the  Turkish  Customs  Administration 
(TCA)  have  been  revised  and  its  regional  organisation  has  been  reshaped.  The  number  of 
specialised  Anti-Smuggling  and  Intelligence  Directorates  has  increased  from  18  to  29.  At 
each Regional Directorate a risk analysis unit has been established to enable coordination and 

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cooperation with regard to risk analysis and profiling among the local customs units. Further 
training  is  needed  to  implement  risk  management.  One  centralised  vehicle  tracking  system 
and  a  number  of  mobile  inspection  units  are  in  use.  However,  the  TCA  needs  to  increase 
staffing at many BCPs. 

For measures against counterfeiting of the euro, see Chapter 32 – Financial control.  

Conclusion 

Overall, limited progress can be reported in the area of justice, freedom and security. Turkey 
is successfully providing humanitarian assistance to the Syrian refugees, however, its asylum 
system  continues  to  be  far  from  the  EU  standards.  Turkey  needs  to  step  up  its  capacity  to 
prevent  irregular  migration.  Conclusion  of  the  EU-Turkey  Readmission  Agreement  and  the 
full  implementation  of  the  existing  readmission  obligations  remain  of  crucial  importance. 
Adoption of the Law on Foreigners and International Protection as well as reforms in the area 
of border management continue to be a priority. Only limited  progress could be reported in 
aligning visa legislation. Reforms are also needed in the fight against terrorism and organised 
crime. The lack of adequate data protection legislation is one of the main reasons preventing 
the development of police and judicial cooperation with the EU. Overall, alignment is at an 
early stage in this area.  

4.25.  Chapter 25: Science and research 

Good  progress  can  be  reported  in  the  area  of  research  and  innovation  policy.  Turkey 
continued to strengthen the research and innovation capacity at national level. Implementation 
of the 2011 new organisational set-up following the establishment of the Ministry of Science, 
Industry and Technology and the organisational changes in the structure of the Technological 
Research  Council  of  Turkey  (TUBITAK)  and  the  Turkish  Academy  of  Sciences  (TUBA) 
entered into force.  

The  level  of  participation  in  the  Seventh  EU  Research  Framework  Programme  (FP7) 
increased both in terms of submitted and successful projects, with an average success rate of 
16,5 % compared to EU average of 21,2%. Turkey is particularly successful in thematic areas 
such as ICT, KBBE (food, agriculture, biotechnology), Transport and Security and very good 
in terms of number of SMEs participating in FP7 and Marie Curie Actions. Turkey has very 
good administrative  capacity with  a  well-developed and active  network  of National Contact 
Points. Participation in a number of key areas such as health and environment is still low, as is 
the overall number of applications. Participation in the specific programmes IDEAS is weak. 
Turkey is participating in a number of Joint Programming Initiatives in the framework of the 
Innovation Union which aims to address major European societal challenges by harmonising 
national  research  activities.  Turkey  participates,  as  an  associated  country,  in  the  Strategic 
Energy  Technology  Plan  and  has  been  actively  participating  in  European  Innovation 
Partnerships on active and healthy ageing, water and sustainable agriculture. 

Turkey  is  participating  as  a  third  country  participant  in  the  Seventh  Euratom  research 
Framework programme (2011-2013). 

The  active  cooperation  with  the  Joint  Research  Centre  (JRC)  continued  through  the 
participation of Turkish researchers in JRC workshops, high-level meetings and JRC projects 
and  networks,  and  the  secondment  of  Turkish  researchers  to  JRC  institutions.  Since  the 
signature of the memorandum of understanding between the JRC and Turkey in July 2007, a 
total  of  30  Turkish  researchers  have  been  supported  by  TÜBİTAK  to  work  at  the  JRC 
institutes.  The  memorandum  of  understanding  will  be  renewed  in  the  middle  of  2012  for 
another five-year period. 

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With respect to European Research Area, Turkey has taken several important measures and 
updated national strategies to further strengthen its national research and innovation capacity. 
At  its  December  2011  meeting,  the  Turkish  Supreme  Council  for  Science  and  Technology 
(SCST)  took  several  decisions  aiming  at  increasing  and  improving  their  research  and 
innovation capacity through target setting and policy instruments. 

A  TurkStat  R&D  activities  survey  over  2010  shows  that  the  overall  share  of  R&D  in  GDP 
decreased slightly to 0.84% from its 0.85% level in 2009 but the share of the private sector 
continued  to  increase  to  € 7.4  billion  compared  to  € 6.6  billion  in  2009,  which  represents  a 
12%  increase.  In  2010  the  number  of  full-time  equivalent  researchers  reached  64,000, 
compared to 58,000 in 2009. 

Five  provinces  (Elazığ,  Aydın,  Diyarbakır,  Hatay  and  Siirt)  were  chosen  to  be  supported 
under  the  provincial  innovation  platforms  support  programme  of  TÜBİTAK,  which  aims  to 
develop science, technology and innovation capacities at provincial level through involvement 
of  local  stakeholders,  including  public  bodies,  local  universities,  industry  and  civil  society 
organisations.  

New  support  programmes  were  also  launched  by  TÜBİTAK,  including  the  funding  for 
research, technological development and innovation projects from the private sector, funding 
of  technological  entrepreneurship,  and  a  co-funded  brain  circulation  scheme.  A  new 
fellowship  programme,  also  partially  supported under the Seventh  EU  Research  Framework 
Programme (FP7), aims to increase and facilitate mobility of experienced researchers of any 
nationality. 

The establishment of science centres in 16 greater city municipalities by 2016 and in all 81 
provinces  of  Turkey  by  2023  was  announced  by  the  Minister  of  Science,  Industry  and 
Technology. Turkey’s first science centre is scheduled to be opened in 2013 in Konya. 

Conclusion 

Good progress has been made in the area of science and research. Steps were taken to further 
reinforce  Turkey’s  capacity,  and  its  integration  into  the  European  Research  Area  is  well  on 
track.  Turkey’s  participation  and  success  rate  in  the  EU  Research  Framework  Programme 
(FP7)  have  increased  although  further  efforts  are  needed  to  strengthen  the  quality  of 
submissions and improve the quality of researchers. Overall, Turkey is well prepared in this 
area. 

4.26.  Chapter 26: Education and culture 

There has been some progress in the area of education, training and youth. Public interest in 
the Lifelong Learning and Youth in Action Programmes continued to grow substantially, with 
a  considerable  increase  in  the  number  of  grant  applications  in  all  sub-actions  of  both 
programmes. The Turkish National Agency signed a total of over 3,000 grant agreements with 
beneficiary  institutions  and  individuals.  The  total  number  of  final  beneficiaries  reached 
55,000 and the Memorandum of Understanding was modified to increase Turkey´s financial 
contribution to the programmes in 2012 and 2013 by 40 % and 60 % respectively, to allow for 
more projects to be supported. With a view to the next programming period starting in 2014, 
the parliament adopted a law increasing National Agency staff by 50 to a total of 220. 

An amendment to the Turkish Education Law extending compulsory education from 8 to 12 
years  and  introducing  a  new  approach  for  schools  (4+4+4  instead  of  8+4)  was  enacted  in 
April 2012. The law introduces some amendments to the current education system, including 
flexibility to choose among different school types, i.e. general and vocational schools (lower 
secondary part of imam-hatip schools) as lower secondary school. Children will thus be able 

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to begin religious education at the age of 10 rather than 14, a result which, together with the 
way in which this new legislation was introduced, caused controversy in Turkey. 

Following the extension of compulsory pre-school education to 71 out of 81 provinces in the 
school  year  2011-12,  the  enrolment  rate  for  pre-school  education  for  2011-12  rose  to  44% 
from  43.1%  for  the  4-5  age  group  and  the  number  of  students  and  teachers  at  pre-school 
education increased by 5.6% and 15.6% respectively. However, the objective of compulsory 
pre-school education in all provinces has been abandoned by the new education law. The net 
primary school enrolment rate rose to ca. 99%. For secondary education, the enrolment rate 
rose to 67.4% and the gender gap narrowed to 2.5%. A continued effort to increase enrolment 
at  all  levels,  especially  for  girls,  remains  an  important  challenge  on  top  of  effective 
intervention strategies to reduce drop out. 

Turkey is at an advanced stage of implementing the Bologna process recommendations. In the 
area of higher education, with the establishment of 6 universities in 2012 the total number of 
universities in Turkey reached 168. However, significant quality differences exist in terms of 
numbers  of  teaching  staff  and  infrastructure.  Further  challenges  are  the  recognition  of 
qualifications,  quality  assurance  and  establishment  of  a  national  qualifications  framework 
based  on  the  European  Qualifications  Framework  (EQF).  Since  November  2011  the 
Vocational  Qualifications  Agency  is  the  sole  body  responsible  for  the  entire  qualification 
process. However, an independent and fully functional Quality Assurance and Accreditation 
Agency  remains  to  be  established  in  line  with  the  European  Standards  and  Guidelines. 
Preparations for the agreed quality assurance agency for higher education have not yet started. 

The  General  Council  of  Higher  Education  Board  (YÖK)  decided  in  November  2011  to 
abolish  the  system  of  using  a  lower  coefficient  to  calculate  the  final  score  in  the  university 
admission  examination  or  the  Undergraduate  Placement  Examination  for  graduates  of 
vocational high schools. The 4+4+4 Law confirmed this decision. 

In  December  2011  YÖK  endorsed  the  University  of  Tunceli’s  proposal  to  set  up  Zaza  and 
Kurdish language departments. This will enable Tunceli University to open Zaza and Kurdish 
language departments offering a four-year university education. 

Lifelong  learning  is  in  its  early  stages  of  development  in  Turkey  and  efforts  need  to  be 
stepped up and coordinated, especially in the most disadvantaged regions of the country. With 
the  adoption  of  authorisation  procedures  the  regulatory  framework  for  the  National 
Vocational  Qualifications  System  is  now  solidly  established,  but  only  a  small  number  of 
sectoral  certification  bodies  are  likely  to  be  operational  in  the  near  future.  The  National 
Qualifications Framework is scheduled to be adopted in 2012.  

Little progress is to be reported in the area of culture. Despite the efforts undertaken by the 
Cultural  Contact  Point,  Turkey’s  participation  in  the  EU’s  Culture  programme  remains 
relatively low. The Ministry of Culture and Tourism extended the Tax Incentives for Cultural 
Investments  and  Enterprises  Law  to  provide  tax  exemption  for  the  Culture  Programme  and 
co-financing for organisations or sponsorships. At the same time, ineffective or late protection 
of  cultural  heritage,  as  demonstrated  by  cases  in  Göreme,  İznik  and  Istanbul,  has  raised 
concerns. 

Turkey  has  still  not  ratified  the  Unesco  Convention  on  the  Protection  and  Promotion  of  the 
Diversity of Cultural Expressions. 

Conclusion 

There  has  been  some  progress  in  the  area  of  education  and  culture.  Popular  interest  in  the 
Lifelong Learning and Youth in Action Programmes continued to increase. Turkey extended 

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compulsory education from 8 to 12 years. There has been little progress in the area of culture 
and no progress on legislative alignment. Overall, Turkey is moderately advanced in this area. 

4.27.  Chapter 27: Environment and climate change 

In  the  field  of  environment,  there  was  hardly  any  progress  on  horizontal  legislation. 
Preparations  have  continued  for  transposing  the  Environmental  Liability  and  INSPIRE 
Directives. As regards the Environmental Impact Assessment (EIA) Directive, procedures for 
transboundary consultations have not been aligned and Turkey has not yet sent to the relevant 
Member  States  the  draft  for  general  bilateral  agreements  on  cooperation  for  EIA  in  a 
transboundary context. The planned Turkish-Russian nuclear power plant due to be built on 
the eastern Mediterranean coast of Turkey continues to cause public concern, both nationally 
and  internationally.  Transposition  of  the  SEA  Directive  has  not  yet  been  completed.  No 
strategic  environmental  assessments  (SEAs)  or  proper  environmental  impact  assessments 
(EIAs) have been carried out for the plans to build a large number of hydro-power plants.  

Limited  progress  has  been  achieved  on  air  quality.  Preparations  have  continued  for  the 
transposition  and  implementation  of  the  National  Emissions  Ceilings  Directive.  The 
administrative  capacity  to  implement  and  enforce  the  legislation  on  ambient  air  quality 
remains insufficient. 

Some progress can be reported in the field of waste management, with adoption of legislation 
on  control  of  waste  electrical  and  electronic  equipment.  Efforts  have  continued  to  bring 
landfill facilities up to EU standards and to improve the management of hazardous waste. The 
capacity for sorting and recycling has increased. Turkey still needs to fulfil the requirements 
of the EU Waste Framework Directive in connection with the preparation and implementation 
of waste management plans.  

Good progress can be reported in the area of water quality, with the adoption of the new water 
law  and  legislation  on  river  basin  management  and  groundwater  and  drinking  water. 
Preparations  are  continuing  to  convert  river  basin  protection  action  plans  into  river  basin 
management  plans.  However,  the  institutional  framework  for  water  management  is  still  not 
organised  at  river  basin  level  and,  following  the  separation  of  the  water  sector  from  the 
institutional  coordination  has  become 
Ministry  of  Environment  and  Urbanisation, 
problematic.  A  Water  Institute  has  been  established,  to  give  scientific  advice  on  water 
management issues. Transboundary consultations on water issues are progressing but are still 
at an  early stage.  An  action  plan  has been prepared for the Ergene River at the border with 
Greece  and  discussions  are  ongoing  with  Bulgaria  regarding  the  potential  impact  on  the 
Natura 2000 site at the mouth of the Rezovska river of the plans to use water to supply the 
city of Istanbul. Wastewater treatment capacity has increased, due to recent investment.  

Limited progress can be reported on nature protection with the adoption of a by-law on the 
procedure  and  principles  for  defining,  registering  and  approval  of  the  protected  areas. 
Framework legislation on nature protection and the national biodiversity strategy and action 
plan are still to be adopted. The potential Natura 2000 sites have not yet been identified. The 
possible  negative  impact  on  these  sites  of  building  large  water  and  energy  infrastructure 
remains  a  major  issue.  The  law  on  privatisation  of  degraded  forest  habitats  raises  concerns 
about shrinking forest habitats in Turkey.  

Some  progress  can  be  reported  regarding  industrial  pollution  control  and  risk  management. 
The  by-law  on  control  of  industrial  pollution  was  amended  and  Turkey  ratified  the 
amendments  related  to  the  international  agreement  on  remediation  of  oil  pollution  (1992 
Changes  on  Limitation  Values).  A  Regulatory  Impact  Assessment  (RIA)  for  Seveso  II  has 

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been completed in 2012. A web-based permitting system has been created for industries, but 
the establishment of an integrated permit system is still at an early stage. 

No  progress  can  be  reported  in  the  field  of  chemicals,  including  REACH.  The  capacity  for 
effective implementation is still insufficient. 

Legislative alignment in the field of noise is well advanced, but no progress can be reported 
on the preparation of noise maps and action plans. 

Regarding  climate  change,  limited  progress  was  made  on  general  policy  development. 
Turkey  adopted  a  national  climate  change  action  plan  (NCCAP)  covering  the  period  up  to 
2023.  Although  the  NCCAP  provides  for  major  emissions  reductions  in  primary  energy 
intensity and energy savings in buildings, industry, transport, waste, agriculture and forestry 
sectors,  no  overall  domestic  target  was  adopted.  Significant  need  for  awareness-raising  on 
opportunities and challenges of climate action is needed at all levels.  

At  international  level,  Turkey,  while  listed  among  developed  countries  in  Annex  I  to  the 
United  Nations  Framework  Convention  on  Climate  Change  (UNFCCC),  continued  to  claim 
that it is in a situation different from that of Annex I Parties. This was recognised by COP17 
in Durban in December 2011.  

Turkey is one of the largest emitters that has not yet put forward a greenhouse gas emissions 
reduction target for 2020. Turkey has not yet submitted its fifth national communication under 
the UNFCCC. However, the country submits greenhouse gas inventories on an annual basis as 
required. Turkey associated itself with some formal EU positions.  

longer  participated  regularly 

the  Regional 
in 
Turkey  no 
Environmental  Network  for  Accession  (RENA).  A  successful  high-level  conference  was 
organised in April 2012 under the RENA on EU–Turkey Climate Change Cooperation.  

the  climate  work  under 

Turkey adopted a bylaw on Monitoring of Greenhouse Gas Emissions. The country took some 
steps to raise awareness on emissions trading. However, Turkey’s status as an Annex I Party 
without a target continues to hold back progress. No steps were taken to promote convergence 
with the EU Effort-Sharing Decision. No progress was made as regards other legislation in the 
field  of  climate  change  and  Turkey  needs  to  take  further  steps  to  align  with  and  implement 
EU legislation.  

No  progress  can  be  reported  in  the  area  of  administrative  capacity.  Last  year’s 
in  a  fragmented  allocation  of 
comprehensive  administrative  reorganisation  resulted 
responsibilities in the field of water and nature protection. At the newly created Ministry of 
Environment and Urbanisation (MoEU) a balance between the environment and development 
agendas  has  still  to  be  found  and  there  are  in  particular  concerns  over  the  lack  of  attention 
paid to environmental considerations  in the implementation of  major infrastructure projects, 
as  well  as  the  willingness  and  ability  to  ensure  a  meaningful  public  consultation  process, 
including with environmental NGOs. There are some concerns related to the loss of provincial 
competences  in  the  field  of  environmental  management,  in  particular  as  regards  inspection, 
monitoring  and  permitting.  Further  efforts  are  needed  to  strengthen  cooperation  and 
coordination  between  various  institutions  with  responsibilities  in  the  fields  of  environment 
and climate change. The climate department within the MoEU requires further strengthening. 

Conclusion 

Uneven progress was made towards further alignment in the area of environment and climate 
change.  Special  attention  is  to  be  paid  to  the  sustainability  of  existing  protected  areas  and 
potential Natura 2000 sites. A more ambitious and coordinated climate policy still needs to be 
established and implemented, both domestically and internationally, in particular as a critical 

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mass  of  countries  are  putting  forward  commitments  internationally  and  taking  action 
domestically.  No  further  progress  was  made  on  administrative  capacity.  The  environmental 
agenda  of  the  MoEU  needs  strengthening,  as  well  as  coordination  and  cooperation  between 
relevant authorities at all levels. Overall, preparations in this area are at an early stage.  

4.28.  Chapter 28: Consumer and health protection 

Little progress can be reported in the consumer protection area. The consumer movement is 
still weak. A constructive and regular dialogue mechanism needs to be developed for active 
participation  of  consumer  NGOs  in  policy-  and  law-making  activities.  The  annual  advisory 
Consumer  Council  did  not  meet  during  the  reporting  period,  so  there  was  no  follow-up  on 
previous decisions taken. 

There  has  been  little  progress  on  product  safety-related  issues.  The  National  Market 
Surveillance  Strategy  Document  was  revised  for  the  years  2012-2014  and  adopted  by  the 
Market Surveillance and Product Safety Assessment Board, consisting of Ministers and heads 
of market surveillance authorities, which held its first meeting in July 2012. No progress can 
be reported on the revision of general product safety legislation. (See also Chapter 1 — Free 
movement of goods) 

The  Ministry  of  Customs  and  Trade  adopted  a  Communiqué  which  sets  minimum  safety 
requirements on safety risks for childcare products, plastic decorative materials, magnets, bath 
products and candles. The Communiqué refers to harmonised and national standards, but only 
with a non-mandatory character to check products’ compliance. It does not contain a specific 
provision  for  imports,  EU  or  non-EU  and  is  applicable  to  all  products  on  the  market.  The 
Communiqué will enter into force in January 2013. 

Some progress has been made on non-safety related issues. After last year’s creation of a DG 
for Consumer Protection and Market Surveillance within the Ministry of Customs and Trade, 
administrative  capacity  has  been  improved  by  recruiting  additional  (junior)  consumer 
protection  experts.  A  commission  consisting  of  academics  and  civil  servants  has  been 
established  to  continue  work  on  drafts  of  consumer  protection  legislation  in  line  with  EU 
requirements. However, the Consumer Protection Law has not yet been adopted. With regard 
to  enforcement,  the  capacity  of  consumer  courts  and  arbitration  committees  needs  to  be 
further  strengthened,  including  for  consistent  and  better  quality  legal  interpretations  of 
consumer  legislation.  Consumer  court  decisions  are  not  accessible.  No  statistical  data  are 
available on consumer complaints. 

In the field of public health, some progress can be reported. As regards horizontal aspects, 
the  ongoing  institutional  reform  of  the  health  system  has  led  to  improvements  in  the 
administrative capacity of the Ministry of Health. The reform also includes the establishment 
of a National Public Health Institute, which is responsible for the implementation of primary 
health  care  services,  communicable  diseases  control  programmes,  non-communicable 
diseases/programmes and cancer, laboratories, and safety of consumers and workers. 

In  the  field  of  tobacco  control,  Turkey  fulfils  the  acquis  requirements  and  also  takes  full 
account of the respective Council Recommendations. Turkey is one of the leading countries in 
the region and an active party to the WHO Framework Convention on Tobacco Control. 

As for communicable diseases, the administrative reform has led to the setting-up of an Early 
Warning Response and Field Epidemiology Training Unit within the National Public Health 
Institute. The role of the Unit is to coordinate and control national early warning and response 
activities, provide support to sub-national/provincial units and facilitate information exchange 
with appropriate international organisations. Enforcement capacity is being strengthened, but 
continued efforts are needed in order to ensure a coherent monitoring and surveillance system 

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in line with EU legislation and International Health Regulations. Due to the absence of real 
HIV/AIDS policies, there is a need to raise public awareness of the disease, the incidence of 
which is increasing.  

With  regard  to  blood,  tissues,  cells  and  organs,  in  terms  of  legislative  alignment,  some 
progress can be reported. The Ordinance on Tissue Typing Laboratories, the Indication List 
for Composite Tissue Transplantation and the Donor Inclusion and Donor Exclusion List for 
Composite  Tissues  Transplantation  were  published  in  November  2011.  The  Regulation  on 
organ  and  tissue  transplantation  services  and  the  Regulation  on  management  of  organ  and 
tissue transplantation centres have entered into force. As per the new administrative structure, 
tissues and cells and organ transplantation services are merged to become one unit under the 
Health Services Directorate-General, whereas the Blood Services Unit remains separate.  

Good progress has been made in the field of mental health. Following the 2011 Mental Health 
Action Plan, some 50 new community-based mental health centres have been established in 
42 provinces. Some promising measures were taken to promote the inclusion of people with 
mental  health  problems.  Further  action  towards  empowerment  and  protecting  the  human 
rights of this target group is recommended. 

Conclusion 

Some progress can be reported on consumer and health protection. Key legislation related to 
consumer protection is still to be adopted and the consumer movement remains weak. Turkey 
has  established  new  administrative  structures  in  the  area  of  public  health.  Their  functioning 
needs to be monitored closely. Preparations in this area are on track. 

4.29.  Chapter 29: Customs Union 

There  has  been  uneven  progress  with  regard  to  customs  legislation.  Turkey  amended  the 
provisions implementing its customs law by adopting rules mainly on summary declaration. 
Turkey  aligned  with  opinions  and  regulations  regarding  classification  of  goods  in  the 
Combined  Nomenclature.  Further  alignment  needs to  be  achieved  in  the  area  of  intellectual 
property  rights  (IPR).  The  rules  on  free  zones  and  duty  relief  legislation,  especially  with 
regard  to  duty-free  shops  at  entry  points,  are  not  fully  aligned  with  the  acquis.  During  the 
reporting  period,  Turkey  introduced  additional  customs  duties  at  varying  rates  on  certain 
woven fabrics and apparel products for a group of third countries, although the goods were in 
free circulation in the EU, thereby excluding products originating in the EU and in Turkey’s 
free trade partners. 

The  rules  on  surveillance  and  management  of  tariff  quotas  are  not  fully  in  line  with  the 
acquis.  In  particular,  no  progress  can  be  reported  with  regard  to  tariff  quotas  for  processed 
agricultural  products.  The  requirement  to  declare  the  origin  of  third-country  originating 
products which are subject to conformity assessment checks is not in line with the Customs 
Union  as  the  relevant  customs  formalities  have  already  been  completed  for  release  for  free 
circulation in the EU. As a result of the EU-Turkey Customs Union, preparations in the area 
of customs legislation are well on track. 

Some progress can be reported as regards administrative and operational capacity. Further 
efforts were made to strengthen security-related customs enforcement capacity. The Ministry 
of  Customs  and  Trade  reorganised  regional  directorates  and  the  local  customs  offices 
operating under them. Risk analysis units were established at the regional directorates and the 
number  of  local  anti-smuggling  and  intelligence  units  increased.  The  frequency  of  physical 
inspections  has  been  slightly  reduced;  however,  the  risk  management  system  still  needs 
substantial  improvement  to  reduce  both  physical  and  documentary  checks  and  enhance  risk 
analysis procedures. There is a need for automated risk management on summary declarations 

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to  enable  risk  analysis  to  be  carried  out  electronically  before  entry  and  exit  of  goods. 
Simplified procedures are implemented in a manner not fully in line with the acquis. On IPR 
infringement  cases,  seizures  upon  complaints  by  right  holders  increased  whereas  ex  officio 
customs controls remained low, particularly as regards large shipments. Turkey continues to 
be  one  of  the  main  countries  from  which  counterfeit  goods  enter  the  EU.  Turkey  needs  to 
strengthen its enforcement of IPR at customs, particularly in export controls. 

Even though the interconnectivity and interoperability of the national transit IT system with 
the new computerised transit system (NCTS) was made possible (CCN/CSI connection), the 
accession of Turkey to the Common Transit Convention (CTC) is still pending. In the area of 
tariffs (TARIC, Quota and surveillance), IT systems are not yet in place. Progress regarding a 
paperless customs environment has been limited to export procedures. Activities in the area of 
a  single  window  are  at  an  early  stage.  The  Ministry  lacks  a  strategic  plan  for  electronic 
customs  as  well  as  for  converging  IT  activities  and  business  initiatives  to  implement 
modernised customs rules. An IT strategy in this regard remains to be adopted. Preparations 
in the area of administrative and operational capacity are on track.  

‘Customs Union’ is one of the eight chapters covered by the conclusions on Turkey adopted 
by the Council (General Affairs and External Relations) on 11 December 2006 and endorsed 
by the European Council on 14/15 December 2006. As long as restrictions remain in place on 
the free movement of goods carried by vessels and aircraft registered in Cyprus or whose last 
port  of  call  was  in  Cyprus,  Turkey  will  not  be  in  a  position  to  fully  implement  the  acquis 
relating to this chapter. 

Conclusion 

Good progress was made in the field of the Customs Union. Further alignment is needed on 
duty relief, free zones, surveillance, tariff quotas and IPR. Requesting importers of products in 
free  circulation  in  the  EU  to  submit  information  on  origin  in  any  format  prior  to  customs 
clearance  is  not  in  line  with  the  Customs  Union.  Preparations  in  the  area  of  customs  IT 
systems need to continue. Additional efforts are required to improve risk-based controls and 
simplified procedures to facilitate legitimate trade while ensuring security and safety. Overall, 
the EU-Turkey Customs Union has enabled Turkey to reach a high level of alignment with the 
acquis in this area. 

4.30.  Chapter 30: External relations 

Limited progress can be reported in the area of the common commercial policy. There has 
been  limited  progress  in  the  alignment  of  the  Turkish  generalised  system  of  preferences 
(GSP). In particular, further alignment is needed with the EU’s GSP, namely with regard to 
geographic coverage and rules of origin. 

During  the  reporting  period,  Turkey  concluded  all  eight  safeguard  investigations  with 
decisions  on  extension  of  measures  applied  to  frames  for  spectacles,  bags,  cotton  yarn, 
electrical  appliances,  matches,  motorcycles  and  footwear  and  definitive  measures  on  PET 
(polyethylene  terephthalate).  Intensive  use  of  safeguard  measures  adversely  affects  progress 
towards alignment with the common commercial policy. 

Turkey  maintains  a  satisfactory  level  of  coordination  with  the  EU  within  the  WTO,  in 
particular as regards the Doha Development Agenda and in the context of the G-20. However, 
there is room for further improvements in this area. Coordination within the OECD has been 
satisfactory. 

No  further  alignment  in  the  area  of  medium-  and  long-term  export  credits  can  be  reported 
although a new regulation is in the pipeline. There is room for improving legislation on dual-
use  export  controls  in  particular  by  using  a  single  consolidated  list  of  dual  use  items  and 

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technologies. Turkey’s level of alignment with the EU common commercial policy continues 
to be high. 

There has been progress on bilateral agreements with third countries. During the reporting 
period,  the  free  trade  agreement  with  Lebanon  was  ratified.  Turkey  signed  free  trade 
agreements with Mauritius and South Korea. The free trade agreement between Turkey and 
Syria has been suspended. Turkey has published amendments to origin protocols of free trade 
agreements  with  Bosnia-Herzegovina  and  Croatia  to  enable  cumulation  with  the  EU  for  the 
goods covered by the Customs Union. 

Turkey made some progress in the field of development policy and humanitarian aid. The 
total amount of official development aid granted by Turkey in 2011 was about € 944 million 
in 2011. The level of alignment in this field remained satisfactory. 

‘External relations’ is one of the eight chapters covered by the conclusions on Turkey adopted 
by the Council (General Affairs and External Relations) on 11 December 2006 and endorsed 
by the European Council on 14/15 December 2006. As long as restrictions remain in place on 
the free movement of goods carried by vessels and aircraft registered in Cyprus or whose last 
port  of  call  was  in  Cyprus,  Turkey  will  not  be  in  a  position  to  fully  implement  the  acquis 
relating to this chapter. 

Conclusion 

Some  progress  was  made  in  the  area  of  external  relations.  Further  alignment  is  required  in 
areas such as the general system of preferences and control of dual-use goods. Intensive use 
of  safeguard  measures  is  a  cause  of  concern.  Overall,  the  level  of  alignment  in  this  area 
remains high.  

4.31.  Chapter 31: Foreign, Security and Defence Policy  

The  regular  political  dialogue  between  the  EU  and  Turkey  covered  international  issues  of 
common interest, including developments in North Africa, the Middle East and the Gulf, the 
Middle  East  peace  process,  the  Western  Balkans,  Afghanistan/Pakistan,  Russia  and  the 
Southern  Caucasus  as  well  as  counter-terrorism  and  non-proliferation  issues.  Informal  EU-
Turkey consultations took place in Ankara on the Western Balkans, Africa, the Middle East, 
North  Africa  and  the  Gulf.  (Concerning  relations  with  other  enlargement  countries  and 
Member States, see Political criteria 2.3 — Regional issues and international obligations) 

As  regards  the  common  foreign  and  security  policy  (CFSP),  Turkey  aligned  itself,  when 
invited, with 37 out of 70 relevant EU declarations and Council decisions (53% alignment). 
Turkey did not align itself in particular with declarations and Council decisions on Syria, Iran, 
Libya,  Tunisia,  Egypt  and  Bahrain.  Turkey  did  not  sign  the  statute  of  the  International 
Criminal Court. Turkey announced its candidacy for a non-permanent seat at the UN Security 
Council for 2015-16. 

Bilateral  relations  with  Iraq  started  deteriorating  markedly  in  February  although  Turkey’s 
relations  with  the  Kurdish  Regional  Government  in  Northern  Iraq  have  been  significantly 
strengthened. Turkey strongly condemned terrorist attacks in Iraq.  

Turkey continued to engage with Iran. On the nuclear dossier, Turkey hosted EU3+3 and Iran 
talks in April and July. Turkey did not align itself with restrictive measures imposed by the 
EU on Iran. Turkey’s sole oil refiner Tupras however reduced imports of Iranian oil by 20% 
before 1 July. 

Turkey stepped up its relations with Gulf countries. Turkey hosted the fourth Joint Ministerial 
Meeting of the GCC-Turkey High Level Strategic Dialogue in Istanbul in January. In April, 

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Prime  Minister  Erdoğan  visited  Saudi  Arabia  and  attended  the  13th  United  Nations 
Conference on Trade and Development in Qatar.  

As regards the Middle East, Turkey’s diplomatic relations with Israel remain downgraded and 
military  agreements  with  Israel  suspended.  Turkey  repeatedly  strongly  condemned  Israeli 
settlement activities. Close relations were maintained with the Palestinian Authority. 

Turkey  was  particularly  vocal  on  Syria,  condemning  strongly  and  repeatedly  the  Syrian 
regime’s  violence  against  civilians  and  calling  on  it  to  refrain  from  disproportionate  and 
excessive  use  of  force.  Turkey  welcomed  UNSC  Resolutions  2042  and  2043  on  a  UN 
supervisory  mission  and  UNGA  Resolution  of  3  August  2012.  Turkey  announced  that  it 
considered  President  Assad  illegitimate  and  established  close  contacts  with  the  Syrian 
opposition and in particular with the Syrian National Council. After the downing of a Turkish 
aircraft by Syria, Turkey increased its military presence along the borders. Turkey closed its 
Embassy  in  Damascus  and  Consulate  General  in  Aleppo.  Turkey  closed  its  borders  for 
commercial traffic with Syria, although it maintained an open border policy for individuals. 
Turkey  provided  humanitarian  assistance  to  an  increasing  number  of  Syrians  fleeing  their 
country  (nearly  100,000  present  in  September).  As  regards  developments  in  North  Africa, 
Turkey took a positive and supportive stance and welcomed the democratic trends in various 
countries. Foreign Minister Davutoglu visited Egypt on 2- 3 July 2012. Turkey welcomed the 
establishment of a new government under the leadership of Prime Minister Kandil in Egypt.  

Turkey  strengthened  its  relations  with  African  countries  and  plans  to  have  a  network  of  34 
missions  in  Africa  by  end-2012.  Turkey  was  particularly  vocal  on  the  humanitarian  and 
political  crisis  in  Somalia  and  hosted  the  Second  Istanbul  International  Conference  on 
Somalia  on  1  June  2012.  Turkey  provides  assistance  to  Sudan  on  health  and  vocational 
training.  

As regards relations with the Southern Caucasus and Central Asia, Turkey’s chairmanship of 
the  Conference  on  Interaction  and  Confidence  Building  Measures  in  Asia  was  extended  in 
April until 2014.  

The  first  meeting  of  the  High  Level  Strategic  Cooperation  Council  between  Turkey  and 
Azerbaijan was held in Izmir in October 2011. An agreement was reached on the sale of gas 
from  Shah  Deniz  II  for  consumption  in  Turkey  and  transit  through  Turkey.  The  protocols 
signed with Armenia in 2009 to normalise relations have still not been ratified. 

Turkey  also  hosted  the  20th  anniversary  Summit  of  the  Black  Sea  Economic  Cooperation 
Organisation (BSEC). 

Turkey  continued  its  efforts  to  enhance  cooperation  with  and  between  Afghanistan  and 
Pakistan, in particular through hosting the Istanbul Conference for Afghanistan ‘Security and 
Cooperation  in  the  Heart  of  Asia’  –  where  the  ‘Istanbul  process’  to  back  political 
reconciliation  at  a  regional  level  was  also  launched  –  and  the  sixth  Trilateral  Summit  of 
Afghanistan, Turkey and Pakistan.  

Turkey-Russia relations were marked by a number of high-level visits.  

Turkey  and  the  United  States  consulted  regularly  on  regional  developments  and  cooperated 
closely  on  security  and  counter-terrorism.  The  two  countries  co-chair  the  Global  Forum  on 
Counter Terrorism, a Ministerial level meeting of which took place in Istanbul in June. 

Turkey strengthened its relations with Asian countries via a series of high-level visits. Turkey 
developed its relations with South American countries.  

In November Turkey announced restrictive measures on Syria, including a travel ban, a freeze 
of assets and trade restrictions. 

EN 

88 

   EN 

Concerning  the  non-proliferation  of  weapons  of  mass  destruction,  Turkey  is  party  to  all 
existing international arrangements. In February, Turkey ratified the 2005 UN Convention for 
the  Suppression  of  Acts  of  Nuclear  Terrorism.  There  has  been  limited  progress  on  dual  use 
goods. Turkey has revised nuclear transfer trigger and nuclear dual use lists. Concerning dual-
use  export  controls,  Turkey  has  not  aligned  itself  with  the  EU  position  on  membership  of 
certain  suppliers’  groups,  such  as  the  Wassenaar  Arrangement  on  export  controls  for 
conventional arms and dual-use goods and technologies, and the Missile Technology Control 
Regime.  

Turkey continued to engage actively in cooperation with international organisations, such as 
the UN and the Council of Europe. Turkey ratified the third Protocol to the Treaty on Amity 
and  Cooperation,  which  provides  that  the  EU  may  accede  to  the  Treaty.  However,  Turkey 
announced  its  intention  not  to  align  with  any  declaration  or  statement  of  the  EU  in  the 
framework of international organisations during the Cyprus Presidency. 

There  have  been  no  particular  developments  with  regard  to security  measures  (exchange  of 
classified information).  

As  regards civil  and  military  crisis  management  in  the  framework  of  the  common security 
and defence policy (CSDP), Turkey continues to contribute to the EU-led military mission in 
Bosnia  and  Herzegovina  (EUFOR  Althea).  It  is  also  contributing  to the  EUPM  (the  EU-led 
police mission in Bosnia and Herzegovina) and to the EULEX mission in Kosovo. The issue 
of EU-NATO cooperation beyond the ‘Berlin plus’ arrangements that would involve all EU 
Member States remains to be resolved. 

Conclusion 

The  political  dialogue  with  the  EU  on  foreign  and  security  policy  intensified  significantly, 
also given Turkey’s influential regional role in supporting reforms, including with regard to 
recent developments in North Africa. Turkey was also vocal on Syria, condemning strongly 
and  repeatedly  the  regime’s  violence  against  civilians  and  providing  vital  humanitarian 
assistance. However, during the reporting period, Turkish alignment with CFSP declarations 
continued  to  be  low  when  compared  to  earlier  periods.  Overall,  preparations  in  the  area  of 
foreign, security and defence policy are moderately advanced. 

4.32.  Chapter 32: Financial control 

Some progress can be reported in the area of public internal financial control (PIFC). The 
Ministry of Finance  presented  draft for a new Policy Paper to the European Commission in 
June.  This  draft  Policy  Paper  will  need  to  be  completed  and  should  address  the  issues  of 
managerial  accountability,  the  functioning  of  the  various  inspection  services  and  the 
delineation  of  control,  audit  and  inspection  functions,  and  also  the  establishment  of  a 
permanent Central Harmonisation Unit for Internal Audit (CHU-IA) and the restructuring of 
the Internal Audit Coordination Board. The appointment of internal auditors in the central and 
local administration has not yet been completed. The function of internal audit is not clearly 
described  in  the  founding  legislation  of  the  public  institutions.  The  Internal  Audit 
Coordination  Board  issued  an  Internal  Audit  Quality  Assurance  and  Development 
Programme. However, the Ministry of Finance needs to take a more active stance in steering 
the  reform  process.  As  regards  financial  management  and  control  (FMC),  the  Gap  Analysis 
and the Action Plan drafted by the Central Harmonisation Unit for Financial Management and 
Control  (CHU-FMC)  has  yet  to  be  adopted.  Preparations  in  this  area  in  terms  of  alignment 
with  the  acquis  are  advanced,  while  considerable  further  efforts  are  needed  with  regard  to 
implementation. 

EN 

89 

   EN 

Uneven  progress  can  be  reported  in  the  area  of  external  audit.  Almost  all  implementing 
legislation  under  the  revised  2010  Law  on  the  Turkish  Court  of  Accounts  (TCA)  has  been 
issued.  The  TCA  adopted  a  Regularity  Audit  Manual  and  drafted  Manuals  for  Performance 
Audit and Audit of Performance Indicators. The TCA established the Audit Development and 
Training Centre. However, the TCA will now need to ensure that the law is implemented and 
that the new audit techniques and concepts are adopted and understood by its audit staff. The 
parliamentary follow-up to audit reports needs to be enhanced, and the parliament will need to 
establish  the  necessary  institutional  structure  with  the  technical  expertise  to  analyse  the 
reports. 

An amendment to the TCA Law adopted in July severely limits the competences of the Court 
and invalidates some of the above developments, taking the level of alignment back to below 
the standards of the International Organisation of Supreme Audit Institutions (INTOSAI) and 
EU best practices.  

Some progress can be reported in the area of protection of the EU’s financial interests. An 
amendment  to  the  founding  legislation of the  Prime Ministry Inspection  Board  (PMIB) was 
adopted in November 2011. It reinforced the PMIB’s legal mandate as Turkey’s Anti-Fraud 
Coordination Service (AFCOS), responsible for cooperation with the European Commission 
and its European Anti-Fraud Office (OLAF). The PMIB issued guidelines on the process for 
investigating  irregularities  involving  EU  Funds.  The  PMIB  together  with  other  relevant 
institutions and OLAF continued operational cooperation on suspected fraud cases. However, 
the  PMIB  will  need  to  adopt  implementing  rules  to  clarify  the  functioning  of  the  AFCOS 
network on prevention, detection and follow-up of cases. With regard to the Convention on 
the  Protection  of  the  European  Communities’  Financial  Interests  (PIF  Convention)  and  its 
Protocols,  the  Turkish  penal  code  is  now  sufficiently  aligned  with  the  PIF  Convention. 
However, monitoring of the actual implementation of the Convention needs to be scrutinised.  

Good progress can be reported in the area of protection of the euro against counterfeiting. 
Turkey continues to participate in the Pericles Programme. The Counterfeit Tracking System 
continues to operate among the Treasury, the Central Bank of Turkey, the Public Prosecutors 
Office, the Turkish National Police and the Gendarmerie. The Turkish National Police is the 
National  Central  Office  (NCO)  for  cooperation  with  the  EU  institutions  as  part  of  the 
Counterfeit  Tracking  System.  Since  July  2102,  sanctions  are  in  place  against  legal  persons 
who  fail  to  withdraw  counterfeit  domestic  and  foreign  currency  from  circulation.  However, 
the NCO will need to enhance centralisation of technical and police information. Institutions 
serving de facto as the national analysis centre and national coin analysis centre needs to be 
formally appointed. The law on enhancing the effectiveness of judiciary services, enacted in 
July  introduces  fines  against  credit  institutions  that  fail  to  withdraw  counterfeits  from 
circulation. The Turkish institutions have prepared a Road Map for strengthening cooperation 
with  Europol,  to  enact  the  ‘Operational  Cooperation  Agreement’  with  that  body.  Turkey 
needs to take the necessary steps envisaged in the Road Map.  

Conclusion 

Some progress can be reported in the area of financial control, in particular as concerns the 
protection of the euro. Additional efforts are still required, especially as regards the scope of 
the  new  PIFC  Policy  Paper,  reinforcement  of  the  internal  audit  function  in  the  public 
administration and reinforcement of the Turkish AFCOS. Furthermore, recent amendments to 
the  Law  on  the  Court  of  Accounts  invalidate  previous  developments  in  the  area  of  external 
audit. Overall, preparations in this area are moderately advanced.  

EN 

90 

   EN 

4.33.  Chapter 33: Financial and budgetary provisions 

There is no development to be reported regarding preparations for the application of the own 
resources  system.  Basic  principles  and  institutions  in  policy  areas  such  as  agriculture, 
customs, taxation, statistics and financial control linked to the application of this system are 
already  in  place.  In  the  area  of  traditional  own  resources,  Turkey’s  customs  legislation 
largely  complies  with  the  acquis.  However,  additional  efforts  are  needed  for  full  alignment 
and implementation. 

Preparations  in  the  area  of  the  VAT  resource  and  administrative  capacity  building  to 
calculate the statistical VAT base have yet to start. Turkey will need to take sound measures 
for  combating  fraud  in  VAT  and  customs  duties  in  order  to  ensure  that  it  contributes 
appropriately to the own resources system upon membership. There has been some progress 
in  the  area  of  the  Gross  National  Income  resource.  Turkish  financial  and  statistical  data 
were further aligned with the European System of Accounts.  

There has been no progress in the field of administrative infrastructure. Turkey will need to 
establish coordination structures and implementing rules for accurate collection, accounting, 
monitoring, payment and control of own resources, and reporting to the EU. 

Conclusion 

There  has  been  no  particular  progress  in  this  area.  Sound  coordination  structures, 
administrative  capacity  and  implementing  rules  will  need  to  be  determined  in  due  course. 
Overall, preparations in the area of financial and budgetary provisions are at an early stage. 

EN 

91 

   EN 

Statistical Annex 

STATISTICAL DATA 
Turkey 

Basic data 
Population (thousand) 
Total area of the country (km²) 

National accounts 
Gross domestic product (GDP) (billion national currency) 
GDP (million euro) 
GDP (euro per capita) 
GDP (in Purchasing Power Standards (PPS) per capita) 
GDP per capita in PPS (EU-27 = 100) 
Real GDP growth rate (growth rate of GDP volume, national currency, 
% change on previous year) 
Employment growth (national accounts, % change on previous year) 
Labour productivity growth: GDP growth per person employed (% 
change on previous year) 
Real unit labour cost growth (national accounts, % change on 
previous year) 
Labour productivity per person employed (GDP in PPS per person 
employed, EU-27 = 100)  
Gross value added by main sectors (%) 

Agriculture and fisheries 
Industry 
Construction 
Services 

Final consumption expenditure, as a share of GDP (%) 
Gross fixed capital formation, as a share of GDP (%) 
Changes in inventories, as a share of GDP (%) 
Exports of goods and services, relative to GDP (%) 
Imports of goods and services, relative to GDP (%) 

Industry 
Industrial production volume index (2005=100) 

Inflation rate 
Annual average inflation rate (HICP, % change on previous year) 

Balance of payments 
Balance of payments: current account total (million euro) 
Balance of payments current account: trade balance (million euro) 
Balance of payments current account: net services (million euro) 
Balance of payments current account: net income (million euro) 
Balance of payments current account: net current transfers (million 
euro) 

of which government transfers (million euro) 
Net foreign direct investment (FDI) (million euro) 
Foreign direct investment (FDI) abroad (million euro) 

of which FDI of the reporting economy in EU-27 countries (million 

euro) 
Foreign direct investment (FDI) in the reporting economy (million 
euro) 

Note
1) 
2) 

Note

3) 
3) 
3) 

2001 
64 693 
783 562 

2007 
69 805 
783 562 

2008 
70 586 
783 562 

2009 
71 517 
783 562 

2010 
72 561 
783 562 

2011 
73 723 
783 562 

2001 
240.2 
219 816 
3 375 
7 445 
37 
-5.7 

2007 
843.2 
472 897 
6 735 
11 349 
45 
4.7 

2008 
950.5 
501 339 
7 052 
11 829 
47 
0.7 

2009 
952.6 
440 942 
6 120 
10 943 
46 
-4.8 

2010 
1 099 
547 348 
7 498 
12 013 
49 
9.2 

2011 
1 298 
556428 
7 524 
13 412 
52 
8.5 

: 
-4.7f 

: 

: 
3.5f 

: 

: 
-1.5f 

: 

: 
3.5f 

: 

: 
2.7f 

: 

: 
1.7f 

: 

49.2f 

63.6f 

65.8f 

70.0f 

69.9 

72.5 

Note
4) 

Note

Note

9.4 
23.8 
4.7 
62.1 
80.8 
15.9 
-0.9 
27.4 
23.3 

2001 
72.6 

2001 
56.8 

2001 
4 198 
-3 755 
10 201 
-5 583 
3 335 

224 
3 188 
-555 
-486 

8.5 
22.3 
5.4 
63.7 
84.1 
21.4 
-0.4 
22.3 
27.5 

2007 
114.8 

2007 
8.8 

8.5 
22.0 
5.2 
64.3 
82.7 
19.9 
1.9 
23.9 
28.3 

2008 
114.2 

2008 
10.4 

9.1 
21.1 
4.2 
65.6 
86.2 
16.9 
-1.9 
23.3 
24.4 

2009 
102.9 

2009 
6.3 

9.5 
21.8 
4.7 
64.1 
86.0 
18.9 
0.6 
21.2 
26.8 

2010 
116.4 

2010 
8.6 

9.0 
22.5 
5.0 
63.5 
85.1 
21.9 
2.0 
23.7 
32.6 

2011 
126.8 

2011 
6.5 

2007 
-28 044 
-34 186 
9 692 
-5 186 
1 637 

590 
14 550 
-1 537 
-1 090 

2008 
-28 232 
-36 049 
12 067 
-5 687 
1 437 

495 
11 528 
-1 733 
-611 

2009 
-9 586 
-17 816 
12 415 
-5 873 
1 688 

853 
4 917 
-1 113 
-884 

2010 
-35 184 
-42 578 
11 687 
-5 385 
1 092 

425 
5 713 
-1 104 
-700 

2011 
-55 487 
-64 275 
13 127 
-5 585 
1 246 

570 
9 634 
-1 770 
-1 134 

3 743 

16 087 

13 261 

6 030 

6 818 

11 404 

of which FDI of EU-27 countries in the reporting economy (million 

3 178 

10 631 

9 070 

3 776 

4 163 

8 407 

euro) 

Public finance 
General government deficit/surplus, relative to GDP (%) 
General government debt relative to GDP (%) 

Note

Note

Financial indicators 
Gross foreign debt of the whole economy, relative to GDP (%) 
Gross foreign debt of the whole economy, relative to total exports (%) 
Money supply: M1 (banknotes, coins, overnight deposits, million euro) 5)6)7)
5)6)8)
Money supply: M2 (M1 plus deposits with maturity up to two years, 
million euro) 
Money supply: M3 (M2 plus marketable instruments, million euro) 
Total credit by monetary financial institutions to residents 
(consolidated) (million euro) 
Interest rates: day-to-day money rate, per annum (%) 
Lending interest rate (one year), per annum (%) 

5)6)9)

10) 

2001 
-26.2 
85.2 

2001 
58.7 
362.5 
8 965 
37 253 

2007 
-1.5 
39.9  

2008 
-2.8 
40.0 

2009 
-7.0 
46.1 

2010 
-2.6 
42.4 

2007 
35.8f  
232.6 
44 644 
201 366 

2008 
39.5 
212.3 
39 927 
203 840 

2009 
42.2 
262.8 
49 691 
228 237 

2010 
39.5 
254.0 
65 976 
286 595 

2011 
-1.1 
39.8 

2011 
: 
: 
: 
: 

38 973 
26 977 

215 308 
140 157 

214 473 
138 301 

240 246 
153 867 

299 805 
231 862 

: 
: 

93.0 
58.9 

17.3 
20.0 

16.1 
17.5 

9.2 
9.0 

6.6 
9.0 

: 
12.5 

EN 

92 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposit interest rate (one year), per annum (%) 
euro exchange rates: average of period - 1 euro = … national 
currency 
Effective exchange rate index (2005=100) 
Value of reserve assets (including gold) (million euro) 

11) 

62.2 
1.094 

22.3 
1.778f  

22.9 
1.896 

17.2 
2.151 

15.0 
1.989 

: 
: 

94.2 
22 649 

130.4 
51 926 

132.7 
53 342 

126.4 
51 949 

144.2 
64 350 

127.8 
68 180 

External trade 

Value of imports: all goods, all partners (million euro) 
Value of exports: all goods, all partners (million euro) 
Trade balance: all goods, all partners (million euro) 
Terms of trade (export price index / import price index) 
Share of exports to EU-27 countries in value of total exports (%) 
Share of imports from EU-27 countries in value of total imports (%) 

Demography 
Natural growth rate: natural change (births minus deaths) (per 1000 
inhabitants) 
Infant mortality rate: deaths of children under one year of age per 
1000 live births 
Life expectancy at birth: male (years) 
Life expectancy at birth: female (years) 

Labour market 
Economic activity rate (20-64): share of population aged 20-64 that is 
economically active (%) 
* Employment rate (20-64): share of population aged 20-64 in 
employment (%) 

Employment rate male (20-64) (%) 
Employment rate female (20-64) (%) 

Employment rate of older workers (55-64): share of population aged 
55-64 in employment (%) 
Employment by main sectors (%) 

Agriculture 
Industry 
Construction 
Services 

Unemployment rate: share of labour force that is unemployed (%) 

Share of male labour force that is unemployed (%) 
Share of female labour force that is unemployed (%) 

Unemployment rate of persons < 25 years: share of labour force aged 
<25 that is unemployed (%) 
Long-term unemployment rate: share of labour force that is 
unemployed for 12 months and more (%) 

Note

2001 
46 255.8 

2007 
123 
959.4 

2008 
136 
441.0 

2009 
100 
763.7 

2010 
138 
813.8 

2011 
173 
098.9 

35 062.2  78 126.4  89 559.1  73 283.7  85 263.7  96 973.3 
-11 193.5 -45 833.0 -46 882.0  -27 480.0  -53 550.1 -76 125.6

12) 

Note

96.4 
56.0 
47.9 

2001 
13.5 

100.3 
56.3 
40.2 

2007 
11.7 

97.2 
47.9 
36.8 

2008 
13.4 

102.0 
45.9 
40.1 

2009 
13.3 

98.2 
46.2 
38.9 

2010 
13.0 

94.9 
46.2 
37.8 

2011 
12.8 

28.3 

15.9 

14.9 

14.0 

13.2 

12.6 

69.4 
73.5 

2001 
: 

71.4 
75.9 

2007 
52.7 

71.5 
76.2 

2008 
53.5 

71.7 
76.5 

2009 
54.5 

71.8 
76.8 

2010 
55.9 

72.0 
77.1 

2011 
57.2 

Note
15) 

15) 

: 

48.2 

48.4 

47.8 

50.0 

52.2 

75.3 
27.4 
35.9 

35.8 
18.1 
5.3 
40.8 
: 
: 
: 
: 

73.0 
24.2 
27.1 

22.0 
21.2 
6.1 
50.7 
8.9 
8.8 
9.2 
17.3 

72.7 
24.9 
27.4 

22.1 
21.4 
6.0 
50.4 
9.7 
9.6 
10.0 
18.5 

70.4 
25.8 
28.2 

23.1 
19.6 
6.3 
51.0 
12.7 
12.7 
12.7 
23.1 

72.7 
28.0 
29.6 

23.7 
20.3 
6.5 
49.5 
10.8 
10.5 
11.5 
19.9 

75.1 
29.8 
31.4 

24.0 
20.0 
7.1 
49.0 
8.8 
8.3 
10.1 
16.7 

: 

2.6 

2.6 

3.2 

3.0 

2.3 

13) 
13) 
13) 
13) 
14) 
14) 
14) 
14) 

14) 

Social cohesion 
Average nominal monthly wages and salaries (national currency) 
Index of real wages and salaries (index of nominal wages and 
salaries divided by the CPI/HICP) (2000=100) 
* Early school leavers - Share of population aged 18-24 with at most 
lower secondary education and not in further education or training (%)

Note
16) 

2001 
: 
: 

2007 
859.0 
: 

2008 
956.0 
: 

2009 
1 084.0 
: 

2010 
1 142.0 
: 

2011 
: 
: 

17) 

58.1 

46.9 

45.5 

44.3 

43.1 

41.9 

Standard of living 
Number of passenger cars per 1000 population 
Number of subscriptions to cellular mobile telephone services per 
1000 population 

Infrastructure 
Density of railway network (lines in operation, per 1000 km²) 
Length of motorways (km) 

Innovation and research 
Spending on human resources (public expenditure on education in % 
of GDP) 
* Gross domestic expenditure on R&D in % of GDP 
Percentage of households who have Internet access at home (%) 

Environment 
* Greenhouse gas emissions, CO2 equivalent (tons, 1990=100) 
Energy intensity of the economy (kg of oil equivalent per 1000 euro 
GDP) 
Electricity generated from renewable sources in % of gross electricity 
consumption 

Note

Note

Note

18) 
19) 

Note

20) 

2001 
70.1 
282.9 

2001 
11.1 
1 696 

2001 
: 

0.54 
: 

2001 
148.7 
259.6 

2007 
92.7 
887.8 

2007 
11.1 
1 908 

2007 
: 

0.72 
19.7 

2007 
203.2 
250.5 

2008 
96.3 
932.5 

2008 
11.1 
1 922 

2008 
: 

0.73 
25.4 

2008 
196.0 
246.3 

2009 
99.2 
877.8 

2009 
11.6 
2 036 

2009 
: 

0.85 
30.0 

2009 
197.6 
257.4 

2010 
104.0 
851.3 

2010 
12.2 
2 080 

2010 
: 

0.84 
41.6 

2010 
214.9 
252.5 

2011 
110.0 
886.0 

2011 
: 
: 

2011 
: 

: 
42.9 

2011 
: 
: 

19.9 

19.1 

17.4 

19.6 

26.4 

: 

EN 

93 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Road share of inland freight transport (% of tonne-km)  

95.2 

94.9 

94.5 

94.6 

94.4 

: 

Energy 
Primary production of all energy products (thousand TOE) 
Primary production of crude oil (thousand TOE) 
Primary production of hard coal and lignite (thousand TOE) 
Primary production of natural gas (thousand TOE) 

Net imports of all energy products (thousand TOE) 
Gross inland energy consumption (thousand TOE) 
Electricity generation (thousand GWh) 

Note

2001 
24 576 
2 679 
12 281 
284 
50 160 
75 402 
122.7 

2007 
27 454 
2 241 
14 797 
827 
80 688 
107 627 
191.6 

2008 
29 209 
2 268 
16 674 
931 
78 294 
106 421 
198.4 

2009 
30 328 
2 349 
17 402 
627 
75 295 
106 138 
194.8 

2010 
32 487 
2 671 
17 523 
625 
79 400 
109 260 
211.2 

Agriculture 
Agricultural production volume index of goods and services (producer 
prices, previous year=100) 
Total utilised agricultural area (thousand hectare) 
Livestock: cattle (thousand heads, end of period) 
Livestock: pigs (thousand heads, end of period) 
Livestock: sheep and goats (thousand heads, end of period) 
Production and utilisation of milk on the farm (total whole milk, 
thousand tonnes) 
Crop production: cereals (including rice) (thousand tonnes, harvested 
production) 
Crop production: sugar beet (thousand tonnes, harvested production) 
Crop production: vegetables (thousand tonnes, harvested production) 

Note

2001 
93.3 

2007 
: 

2008 
: 

2009 
: 

2010 
: 

21) 

40 967 
10 548 
2.7 
33 994 
: 

39 505 
11 037 
1.8 
31 749 
: 

39 122 
10 860 
1.7 
29 568 
: 

38 911 
10 724 
1.9 
26 878 
: 

39 011 
11 370 
1.6 
29 383 
: 

38 247 
12 386 
1.8 
32 310 
: 

29 571 

29 257 

29 287 

33 577 

32 773 

35 202 

12 633 
24 164 

12 415 
25 661 

15 488 
27 218 

17 275 
26 780 

17 942 
25 997 

16 126 
27 547 

2011 
: 
: 
: 
: 
: 
: 
: 

2011 
: 

: = not available 
- = not applicable 
p = provisional 
f = forecast 
e = estimated value 
b = break in series 
* = Europe 2020 indicator 
The  balance  of  payments  sign  conventions  are  used  for  FDI.  For  FDI  abroad  a  minus  sign  means  investment  abroad  by  the  reporting 
economy exceeded its disinvestment in the period, while an entry without sign means disinvestment exceeded investment. For FDI in the 
reporting  economy  an  entry  without  sign  means  that  investment  into  the  reporting  economy  exceeded  disinvestment,  while  a  minus  sign 
indicates that disinvestment exceeded investment. 
Footnotes: 
1) 

Population  (Total,  15-64  and  20-64)  for  2008-2011  is  given  from  ABPRS  annual  results  and  the  rest  is  given  from  population 
projections; demographic indicators were based on 2008 Address Based Population Registration System and Demographic and 
Health Surveys; population projections have been revised according to the final result of 2008 Turkey Demographic and Health 
Survey.  
Including lakes. 
Mid-year population figures were used.  
Industrial production index according to NACE Rev. 2; index data prior to 2005 are backcasted using exchange  ratio regarding 
average of 1997 and 2005 years.  
Central Bank of Turkey (CBRT) selling rate is used when converting money supply data in national currency (TRY) to Euro. 
Before  December  2005,  M1  included  currency  in  circulation  and  demand  deposits  (TRY).  From  December  2005  onwards,  M1 
included currency in circulation and demand deposits (TRY,FX). 
Monetary liabilities of Participation Banks, Investment and Development Banks and amount of Money Market Funds are added to 
money supply data beginning from December 2005. 
Before  December  2005,  M2  included  M1  and  time  deposits  (TRY);  from  December  2005  onwards,  M2  included  M1  and  time 
deposits (TRY, FX). 
Before December 2005, M3 included M2 and official deposits (time/demand).  From December 2005 onwards, M3 included M2, 
fund  received  from  repo  transactions  and  money  market  funds  (B  type  liquid  funds).  Also  beginning  from  December  2005, 
deposits of Central Government are removed from M3 and other general government deposit items are classified in M1 and M2 
according to maturity. 
Averages of monthly data, lending to enterprises more than one year.  
Averages of monthly data, up to one year or longer.  
Indices  were  based  on  1994  from  1995  to  2002,  after  2002,  based  on  2003.  The  base  year  of  the  both  indices  has  been 
rearranged as 2000=100.  
2001 - 2008, data according to NACE Rev 1; 2009 - 2011, data according to NACE Rev 2. 
Calculations  on  unemployment  are  made  in  line  with  harmonized  EU  definition  (4  weeks  criterion  is  used  for  definition  of  job 
search).  
Data are given by the results of labour force survey. 
2007 - 2009, data is based on Income and Living Conditions Survey. 
Annual LFS results; the variable ‘participation in non-formal education or training (COURATT)’ was added into the calculation from 
2004 (This variable was not asked in previous years). 
Revised GDP series (base year 1998) have been used for computing R&D share in GDP since 2007.  
From 2007 onwards, calculated according to mid-year population estimates.  
2001 - 2009, Kg of oil equivalent per 1000 euro GDP 1998. 
Excluding buffaloes. 

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