Tech Shortage of IT specialists slows Turkish business growth By William Sellars September 17, 2024, 8:11 AM Creative Commons/OCHA/Salih Zeki Fazlıoğlu Almost half of all Turkish accommodation and food service providers took advantage of IT, up from 36 percent in 2022 43% of companies struggle to hire Fall in ecommerce activity Education system inadequate A shortage of trained IT specialists is slowing Turkish companies’ growth and their development of artificial intelligence applications, according to a new report. The report, issued by Turkey’s state statistics agency Turkstat, found some sectors had a strong uptake of ecommerce sales and services. Almost half of all accommodation and food service providers took advantage of IT, up from 36 percent in 2022. Most other sectors however reported a fall in ecommerce activity, including the information and communications segment itself. Underlying this dip was a shortage of skilled IT specialists, the report said. Among companies that recruited or tried to recruit expert staff over the past year, 43 percent of them had difficulties in filling positions. NewsletterGet the Best of AGBI delivered straight to your inbox every week Central to this shortage is the failure of Turkey’s education system to meet the need for a workforce with specialised skills. It hasn’t adapted the curriculum to keep up with the rapid changes in the sector, said Ali Yazıcı, the vice general president of the Turkish Informatics Association. “Many universities providing these courses, but they are not producing qualified employees to meet the sectoral demand,” Yazıcı told AGBI. “To achieve this one either goes on to masters’ degree studies or on particular courses giving certificates in niche or vertical areas such as blockchain, or in the defence industry working on specific applications.” Another area of IT activity that was impacted by the shortfall in qualified personnel was AI. According to the Turkstat report, just 4 percent of Turkish enterprises made use of AI in 2024, down on the 5.5 percent posted the previous year. Turkish retailers’ confidence wavers as inflation bites Turkey transfers shares in 12 companies to its wealth fund Turkish exports to the UK hit all-time high Almost one in ten companies that did not use AI in their business said they were considering deploying it in future operations. But the lack of IT specialists was again cited as a stumbling block. Lack of relevant expertise within the staff of companies was given by 79 percent of respondents as a reason for not making use of AI. High costs were the next greatest impediment to using the technologies. Just one in five companies said that AI would not be useful in their operations, suggesting there was an appreciation that AI had something to offer Turkish companies, if it could be deployed. “Turkey is not far behind in AI but it has its weaknesses,” said Yazıcı. “It is applied in many sectors. But Turkey is applying rather than producing AI, so our problem is to produce associated new technologies.”
Real Estate PIF worker housing company buys luxury compound Smart Accommodation for Residential Complexes Company (Sarcc), the company established to provide housing for workers employed on major projects, has bought a luxury residential compound in Riyadh. Sarcc acquired Al Nakhla Residential Resort in Riyadh for SR2.5 billion ($667 million). The development, located in northern Riyadh, has more than 600 apartments and over 500 villas. […] 4 hours ago
Finance Investcorp chairman weighs IPO or deal with strategic investor Investcorp is considering a tie-up with a strategic investor or an initial public offering in the next few years, its executive chairman has said. Mohammed Alardhi said the Bahrain-based alternative asset manager had streamlined its strategy and reshuffled its leadership and management teams. For its next period of growth, Investcorp may look to outside investment, […] 6 hours ago
Oil & Gas Iraq makes huge oil discovery but faces Opec restrictions Iraq has announced the discovery of a massive oil field expected to significantly increase the country’s hydrocarbon reserves, but Baghdad will face a number of challenges in its attempt to exploit the new resource. The field, located in the central part of the country, contains more than 2 billion barrels of medium and light crude […] 6 hours ago
Real Estate Turkish house sales rise as interest rates fall Turkish house sales rebounded strongly in 2024, driven in part by a surge in December prompted by a long-anticipated interest rates cut, and further reductions in borrowing costs are expected to fuel appetite in the market this year. Residential sales increased 20 percent last year, with just under 1.48 million units sold, up from the […] 7 hours ago