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On the way to Europe

01.09.2007
Author: Darin GUSEVA
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on July 22 in Turkey were held early parliamentary elections. As a result, the authorities remained moderate Islamist Justice and Development Party. Soon the country will hold a presidential election, and, according to political scientists estimated that the chances of victory of the candidate from the ruling party, the current Foreign Minister Abdullah Gul. That he once insisted on Turkey's application for EU membership, and now all the forces of the country aimed at the implementation of the plan.
From the history of the issue
Negotiations with Turkey on joining the European Union started on October 3, 2005. The differences between the Turkish and European sides manifested themselves already at the first stage. Austria opposed Turkey's membership in the EU – in return, it offered the country a "privileged partnership", and supported another candidate, Croatia. In turn, Turkey refused to cooperate on such terms and was ready to abandon negotiations altogether. Officially, the relationship between the Turkish and Croatian issues was not recognized, but as soon as the EU announced the start of negotiations with Croatia, Austria made concessions. As a result, the European Parliament approved the start of negotiations with Turkey, and Ankara approved a framework agreement with the EU.
Last year, the parties completed negotiations on the first section – "Science and Research". But in December, at the EU summit, it was decided to freeze the negotiation process on 8 of the 35 articles of the integration dossier. The reason was Turkey's refusal to open its sea and air ports to Cyprus. Thus, Ankara violated its obligations under the additional protocol on the Customs Union between the EU and Turkey. As a result, Cyprus, as an EU member, exercised its veto power.
The conflict between Turkey and the Republic of Cyprus over the unrecognized Republic of Northern Cyprus, inhabited by ethnic Turks and guarded by Turkish troops, will probably come up more than once during the negotiations. The international community considers the unification of the two parts of Cyprus to be its strategic goal and has repeatedly developed appropriate plans, but both sides do not want to make concessions yet. At the same time, the EU members support the position of the Republic of Cyprus in this dispute.
Among the 8 points on which negotiations are frozen are the free movement of goods, services and capital, as well as fishing, agriculture, transport and trade. In addition, Ankara refused to exclude the 301st article from the Criminal Code - "Belittling the dignity of Turkey." According to the EU, punishment for insulting the Turkish nation and state violates the principle of freedom of speech.

Opponents and supporters
One of the main opponents of Turkey's membership in the EU is France and its current president, Nicolas Sarkozy. His main argument against Turkey is the Cyprus problem. In his opinion, it is impossible to negotiate accession with a country that does not recognize one of the EU members. Experts believe that the heads of European countries are afraid of joining the EU of a country whose population will soon number 100 million people. In addition, some Europeans do not support the accession of a Muslim country to the EU. However, at one time, Orthodox Greece was also afraid of joining the Catholic-Protestant European Union.
Representatives of Turkey, on the contrary, argue that their country could become a link between Europe and Muslim countries. The same opinion is shared by the British Foreign Ministry. The British believe that the rejection of Turkey may exacerbate the political and confessional conflict between Christian and Muslim peoples and, as a result, push Turkey towards radical Islamism. Not only Britain, but also most of the EU member states are in favor of accepting Turkey. For example, Italy believes that unification with Turkey is of strategic interest to Europe. Turkey and the United States support it – they are interested in a country that supports Washington's interests in the Middle East becoming an EU member.

New negotiations and new reforms
At the end of March this year, Turkey and the European Union resumed negotiations. The EU has opened the second section of the integration dossier – "Enterprises and industry". And on June 25, the parties started the following articles – "Statistics" and "Financial control". But the new stage of negotiations was not without obstacles. France vetoed another article – "Economic and monetary union".
Nevertheless, Turkey is actively continuing the process of integration into the European community. Over the past three years, the country's authorities have taken a number of steps aimed at meeting EU requirements. The government of the ruling Justice and Development Party (AKP) is carrying out liberal economic reforms in the country and making democratic changes to legislation.
In January of this year, Ankara began to develop the so-called "roadmap". This is a government program of structural reforms aimed specifically at integration into the European Union. The goal of the program, designed until 2013, is to bring Turkish living standards to the European level. About 200 state and public organizations worked on the creation of the roadmap. It affects 33 areas of the negotiation process between Turkey and the EU, including providing for reforms under the 8 articles that caused the suspension of negotiations.
The changes will take place in several stages. First of all, it is envisaged that the Turkish side will lift restrictions on foreign capital. It is planned to reform the social security system and reform a number of government departments. Then laws should be passed that will provide more independence to the Turkish Central Bank, competition laws, laws providing for the creation of a National Oil Exchange, increasing the participation of foreigners in the media, regulating the use of atomic energy, as well as improving the Turkish legal system. In addition, the program includes making it easier for foreigners to obtain work permits in the country and taking measures to counteract crimes using the Internet.
The AKP called for the adoption of a number of amendments to the Constitution. They concern the provision of direct national presidential elections for a maximum of two five-year terms. Currently, the President is elected by Parliament once for seven years. The term of office of the Parliament has also been proposed to be reduced from five to four years. The country will vote for these and some other amendments to the Constitution in the upcoming national referendum.
EU representatives are particularly strict about changes in the rights and freedoms of Turkish citizens. In order to accelerate integration into the European community, the country needs to improve the situation in the field of religious freedom, respect for women's rights and trade union rights. The EU countries urge Turkey to pay special attention to reforming the current legislation in the field of protection of freedoms, including religious, and human rights. Here, the stumbling block is again the mentioned 301st article. On the grounds of this article, many Turkish scientists and journalists have been criminally prosecuted, including Orhan Pamuk, winner of the 2006 Nobel Prize in Literature.

Integration into the EU and the real estate market
The final date of Turkey's accession to the EU will be determined only at the last stage of negotiations. According to political analysts, Turkey's accession to the EU may take place no earlier than in 10-15 years. But now we can talk about the impact of Turkey's integration into the EU on the country's economy in general and the real estate market in particular.
The current situation in the real estate market as a whole does not prevent Turkey from joining the EU, since the main requirement – the inviolable and unconditional ownership of real estate objects – is guaranteed by the Turkish Constitution. EU and Russian citizens already have the right to purchase real estate in Turkey, while the principle of reciprocity applies in relations between Russia and Turkey. Since Turkish citizens do not have the right to purchase land in the Russian Federation, Russians have the same restrictions in Turkey. However, this applies only to vacant land, and the plot at the villa or townhouse becomes the property of the buyer.
There are quantitative restrictions on the acquisition of land by foreigners, but they are unlikely to become an obstacle to Turkey's membership in the EU. As for the legislation on real estate in Turkey, it is, as Nina Volkova, director of the Moscow representative office of Sultan Homes, notes, "as close as possible to the European one." If any changes in Legislation are to be expected, it is only for the better. So, recently, the mandatory procedure for checking the buyer of real estate by the military was canceled.
Undoubtedly, due to the prospect of joining the EU, the Turkish real estate market will attract many foreign buyers in the near future. First of all, the British and Germans – as in Bulgaria before and after joining the EU. The development of negotiations with the EU has a direct effect on the value of Turkish real estate. Now the growth in housing prices ranges from 13 to 18% per year. In some areas, the growth reaches 25%. But experts expect a boom in the Turkish real estate market. Most likely, the surge in prices will occur closer to the date of Turkey's accession to the EU. "An example of markets such as Bulgaria and Cyprus,– says Anton Parygin, project manager AKDENIZ.RU "It says that immediately after determining the date of the country's accession to the EU, a rapid increase in real estate prices begins, which can last for several years and reach 100-150% per year."
Ankara still has a lot of work to do to meet all the requirements of the European Union. Among other things, the country needs to bring its legislation into line with the 80,000 printed pages of the EU code of rules. But the European Community unanimously recognizes that the current Turkish authorities have advanced very far on the path of integration into the European Union and they have already managed to make many transformations, so that the EU countries are more determined than ever to continue negotiations on unification with Turkey.

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