The Startup Ecosystem of Turkey

The Turkish ecosystem enjoyed a growth period which stopped several years ago due to geopolitical and economic challenges. The substantial devaluation of Turkish Lira raised concerns among both foreign and local investors who now face increased uncertainty about the future of their investments in the ecosystem. Moreover, in the first quarter of 2023, Turkiye was massively affected by the tragic Turkiye-Syria earthquake, causing the loss of tens of thousands of lives and creating reconstruction needs that will cost upwards of US$ 100 billion.
Despite these challenges, many tech startups and companies in the country initiated relief measures using open-source websites, social media, artificial intelligence, machine learning, and drones. This showcases the agility of startups in mitigating the consequences of natural disasters. Further, the gaming industry is attracting global interest with unicorns such as Dream Games, and Turkiye is pushing forward in other industries; Getir, a leader in delivery services, recently became a decacorn. Success stories like these have empowered the Turkish startup ecosystem to raise record investments in 2022.
The Turkish public sector understands the massive potential startups have as an economic engine, and municipal development agencies such as Istanbul Development Agency and Izmir Development Agency focus on creating policies and programs to grow local ecosystems. The nationwide initiative Turcorn 100 is a public sector program that supports startups out of early stages with the growth potential to reach a US$ 1 billion valuation. The program provides mentorship, financial support, one national accelerator, and one global accelerator, along with access to a network of ecosystem stakeholders.
The Turkish startup ecosystem offers entrepreneurs a foothold in Europe, Asia, and the Middle East while allowing access to a talented population focused on entrepreneurship and scaling startups. Turkish entrepreneurs are highly skilled, prefer a proactive approach, and exhibit a sense of community and true interest in helping the local startup ecosystem grow. If the public sector gives the tech ecosystem the stability and tools it needs, Turkiye will move closer to fulfilling its immense potential. Specifically, the international ecosystem of Istanbul could evolve into a regional MENA startup hub.