State Control of Turkish Companies Expands, Sparking Criticism
The number of Turkish companies under the control of the Savings Deposit Insurance Fund (SDIF) has seen significant growth, increasing by 44.7 percent in one year to reach 1,002. Balıkesir Deputy Burak dalgın remarked on the scale of this expansion, stating, “The SDIF is among the biggest holdings of Türkiye.” He further suggested that, factoring in the turkish Asset Fund and state-owned enterprises, “the state may have become the greatest entrepreneur.”
Financial Markets Specialist Iris Cibre noted that, excluding Park Holding and its affiliated companies, the SDIF continued to act as trustee for 699 companies as of september 2024. Cibre described the SDIF as a “huge fund” managing over 1,000 companies, with an active size nearing 500 billion TL as of June. While the total number of employees across these companies isn’t fully known, it was reported in April 2025 that 770 of these companies employ over 40,000 people.
TÜSİAD Criticism and Subsequent Detentions
Recent actions by the SDIF have drawn criticism, particularly from the Turkish Industry and Business Association (TÜSİAD). The Istanbul Chief Public Prosecutor’s Office cited legal grounds for the appointment of a trustee to companies, referencing Article 7 of Law No. 7539, published on Febuary 4, 2025, and also Articles of the Criminal Procedure Code (CMK) 133/1, CMK 133/1, CMK 133/1, CMK 4-A-7. The trustee was appointed by the 4th Criminal Judge of Istanbul.
The detention of TÜSİAD executives followed criticism leveled at the government during a TÜSİAD meeting on February 13th. TÜSİAD Chairman of the Board of Directors, criticized recent legal regulations, stating, “With the new legal regulations, the dismissal of public officials by the State Supervisory Board and the appointment of the SDIF to the companies as a trustee, it is easier to establish a crime.”
Ömer Aras, Chairman of the High Consultation Board, also voiced criticism regarding the dismissal of mayors. President Erdoğan responded by stating the association management had “exceeded its limits.” Following the meeting, both Turan and Aras were detained and taken to the prosecutor’s office, where thier case remains ongoing.
