Abstract

Terrorist activities affect and continue to cause social, political, cultural and economic problems for Turkey just as they do to many parts of the world. Investors would prefer to move their capital into safer regions due to the problem of terrorism and this affects the distribution of development. This study, aims at demonstrating the extent at which terrorism has affected development in the South-eastern Anatolia region of Turkey. This study will look at the investment volumes in 9 provinces located in southeast Turkey. We will also look at terrorist activities in these provinces as well as discussing the relationship between investment preferences and terrorism. Firstly, we will look at terrorist incidents in these provinces, the number of provinces affected by terrorist activities, number of people dying from terrorist related activities, state and industrial investments as well as determining the number of industrial workers in these provinces. For this purpose, as a case study, we will investigate investments in Gaziantep which is a city located in the Southern eastern Anatolia region and the sixth largest city in Turkey with a lot of private investments. In this study, a questionnaire was administered to ninety-three (93) big companies who are doing foreign trade with at least one country. The questionnaire administered was easy and used a detailed cross-question analysis. According to the study, it was discovered that there is an inverse relationship between the private investment demand and the frequency of terrorist incidences and then this relationship was discussed in detail.

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