Economist proposes transferring TRNC industrial zones to entrepreneurs: Lefkoşa industrial zone could generate TL 12 billion

Economist Ahmet M. Karvelioğlu has proposed restructuring the system of organized industrial zones in the TRNC and granting entrepreneurs ownership of the premises they currently occupy at their market appraised value. According to his calculations, the sale of premises in the Lefkoşa industrial zone alone could bring the state around TL 12 billion.

Organized industrial zones are state-owned sites where manufacturing and repair businesses operate in premises they use but do not own. Karvelioğlu believes that the current users should become the owners: “Rights holders should become the owners of the premises they occupy, at market prices.”

The second part of the proposal concerns management. The economist suggests transferring management to an entity to be established by the premises’ owners themselves, describing this option as the most reasonable and logical way to resolve the problems facing the industrial zones.

Karvelioğlu proposes financing the purchases through banks or the Development Bank (Kalkınma Bankası), with low-interest loans for the acquisition of industrial premises.

According to him, the proceeds would provide substantial support for the state treasury and make it possible to invest in the infrastructure of the industrial zones themselves. The economist notes that “vacant premises, an unorganised appearance, confusion over responsibilities and an atmosphere of chaos” still persist there.