Turkish Industry and Technology Minister Mustafa Varank on Friday said the project-based Incentive System will reduce the current account deficit by $1.2 billion.
In a Twitter post, Varank noted that the incentive system -- approved on Friday by the President Recep Tayyip Erdoğan -- will provide four new investments worth 8 billion Turkish liras (around $1.6 billion).
"Nearly 4,500 people will be employed [within the new incentive system]," Varank noted.
Data showed that annual deficit reached $47.1 billion in 2017, according to the Turkish Statistical office.
The system will grant incentives to national warplane production facility in Turkish Aerospace Industry, diesel engine and railway vehicles production facilities in BMC Automotive and the new generation high pressure petrol injector production in Bosch.
In April, President Erdoğan previously announced a set of incentives worth 135 billion Turkish liras ($33.16 billion) to support 23 projects by 19 selected Turkish firms.
The incentives aimed at encouraging more investment in the country, as well as supporting firms in several areas including health, defense, automotive, mining and metal sectors.
Incentives were estimated to add 169,000 jobs to the economy.
