THE APPLICATION OF THE PROHIBITION ON CONTRACTING IN FOREIGN CURRENCY IN WORK CONTRACTS UNDER DECREE NO. 32 ON THE PROTECTION OF THE VALUE OF TURKISH CURRENCY

Abstract

The prohibition on contracting in foreign currency refers to the regulation that prohibits the determination of payment obligations arising from a contractual relationship in foreign currency or foreign currency-indexed. Whereas, the primary legal basis for the prohibition on contracting in foreign currency is Law No. 1567 on the Protection of the Value of Turkish Currency (“Law No. 1567”)1, the regulations regarding this prohibition are set forth under Decree No. 32 on the Protection of the Value of  Turkish Currency, dated 07.08.1989 (“Decree No. 32”)2, and the Communiqué No. 2008-32/34 on Decree No. 32 on the Protection of the Value of  Turkish Currency (“Communiqué on Decree No. 32”)3, issued by the Ministry of Treasury and Finance (“Ministry”) pursuant to Decree No. 32. In this study, first of all, a brief overview of the legal regulations concerning the prohibition on contracting in foreign currency will be provided. After addressing the legal basis and scope of the prohibition on contracting in foreign currency, this prohibition will be analyzed within the context of work contracts. Then, exceptions to the prohibition applicable to work contracts will be examined, and finally, the legal consequences of non-compliance with the prohibition will be discussed.

Keywords: Decree No. 32, Communiqué on Decree No. 32, Work Contract, Payment Obligation, Foreign Currency, Foreign Currency-Indexed, Prohibition, Exception

I. INTRODUCTION

With Presidential Decree No. 85 and dated 12.09.2018 on Amendments to Decree No. 32 on the Protection of the Value of Turkish Currency (“Decree No. 85”)4, an additional subparagraph (g) was added to Article 4 of Decree No. 32, and it was stipulated that, except in cases specified by the Ministry, residents in Türkiye are prohibited from agreeing to set the contract price and other payment obligations arising from contracts, including contracts for the purchase and sale of movable and immovable property, transportation and financial leasing, as well as any lease, employment, service, and work contracts, in foreign currency or foreign currency-indexed (prohibition on contracting in foreign currency). The prohibition on contracting in foreign currency applies solely to the types of contracts listed in the relevant article. The focus of this study is the examination of the application of this prohibition in relation to work contracts, as regulated under Articles 470 to 486 of the Turkish Code of Obligations No. 6098 (“TCO”)5.

II. LEGAL REGULATIONS REGARDING THE PROHIBITION ON CONTRACTING IN FOREIGN CURRENCY

In order to establish the procedures and principles for the implementation of  Decree No. 85, which forms the primary basis for the prohibition on contracting in foreign currency, the Ministry initially issued the Communiqué on Amendments to Communiqué No. 2008-32/34 on Decree No. 32 on the Protection of the Value of Turkish Currency (“Communiqué No. 2018-32/51“)6, and the cancelled Article 8 of the Communiqué on Decree No. 32 was rearranged under the title “Foreign Currency and Foreign Currency-Indexed Contracts“. However, as the regulations introduced by Communiqué No. 2018-32/51 proved insufficient in resolving uncertainties regarding the implementation of Decree No. 85, the Ministry issued the Communiqué on Amendments to Communiqué No. 2008-32/34 on Decree No. 32 on the Protection of the Value of the Turkish Currency (“Communiqué No. 2018-32/52“)7. With the Communiqué No. 2018-32/52, the Article 8 of the Communiqué on Decree No. 32 was amended again, the scope of the prohibition was determined more clearly and the exceptions to the prohibition on contracting in foreign currency under Decree No. 85 were regulated.

In order to clarify the questions arising from the implementation of Decree No. 85 and the secondary regulations issued pursuant to it, and to resolve the uncertainties that have emerged, the Ministry issued announcements titled “Frequently Asked Questions” on 12.10.2018, 16.10.2018, and finally on 27.02.2019, which were published on the Ministry’s website.8

Since the publication of Communiqué No. 2018-32/52 until today, legal regulations enacted by the Ministry have resulted in occasional amendments to Article 8 of the Communiqué on Decree No. 32, however, no additional obligation or exception has been introduced regarding the determination of payment obligations in work contracts in foreign currency or indexed to foreign currency. Therefore, the subsequent amendments to the Communiqué on Decree No. 32 are not included in this study.

III. EVALUATIONS REGARDING THE PROHIBITION ON CONTRACTING IN FOREIGN CURRENCY INTRODUCED BY DECREE NO. 85

The subparagraph (g) added to Article 4 of Decree No. 32 by Decree No. 85 only imposes restrictions on contracting in foreign currency for specific types of contracts to be executed between individuals residing in Türkiye. Therefore, contracts in which one of the parties is located abroad fall outside the scope of the provision of the relevant article.

For the purposes of the relevant provision, individuals residing in Türkiye include Turkish citizens working abroad as employees, freelancers, or independent contractors, as well as natural and legal persons who have their legal domicile in Türkiye.9 In other words, natural persons who do not have citizenship ties with the Republic of Türkiye but have their legal domicile in Türkiye, as well as legal entities with their legal domicile in Türkiye, are included within the scope of this regulation and are considered as residents in Türkiye for the purposes of the application of the relevant legal provisions. Additionally, the branches, representative offices, offices, liaison offices, funds operated or managed by persons residing in Türkiye abroad, as well as companies in which they hold directly or indirectly fifty percent or more of the shares, are considered as residents in Türkiye for the application of subparagraph (g) of Article 4 of Decree No. 32. However, this provision does not apply if the contract is executed abroad.10

Pursuant to the Communiqué on Decree No. 32, contracts indexed to precious metals and/or commodities priced in foreign currency on international markets and/or indirectly indexed to foreign currency are considered foreign currency-indexed contracts in terms of the application of subparagraph (g) of Article 4 of Decree No. 32.11

The regulation introduced by Article 4(g) of Decree No. 32 stipulates that not only the contract price specified in the contracts listed in Decree No. 32, but also any other payment obligations arising from the contracts cannot be agreed upon in foreign currency or indexed to foreign currency. Accordingly, this regulation encompasses any interest, late payment penalties, liquidated damages, and any other compensation obligations applicable to the contract price specified in the contracts.

Additionally, pursuant to Article 8 of the Communiqué on Decree No. 32, it is not possible for the amounts included in the negotiable instruments issued under contracts, where the contract price and other payment obligations arising from such contracts cannot be agreed upon in foreign currency or indexed to foreign currency, to be determined in foreign currency or indexed to foreign currency.12 However, negotiable instruments issued and circulated prior to the effective date of Decree No. 85, dated 13.09.2018, are exempt from the provisions of this article.

IV. FOREIGN CURRENCY PROHIBITON AND EXCEPTIONS IN THE CONTEXT OF WORK CONTRACTS

A. Regulation Regarding the Work Contract and the Exception of the Foreign Currency Prohibition in the Context of Work Contract

Under the TCO, a work contract is a contract in which the contractor undertakes to create a work, and the employer undertakes to pay a price in return. Therefore, construction and EPC contracts, contracts related to turnkey projects, or similar contracts where the personal characteristics of the contractor are significant in the creation of the work, are considered work contracts and are subject to the provisions related to work contracts under the relevant legislation.

Under regulations introduced by Communiqué No. 2018-32/51, Paragraph 5 of the rearranged Article 8 of the Communiqué on Decree No. 32 stipulated regarding work contracts that “residents in Türkiye may not agree on the contract price and other payment obligations arising from these contracts in foreign currency or indexed to foreign currency, with respect to work contracts, except for the construction, repair, and maintenance of ships defined in the Turkish International Ship Registry Law No. 4490 dated 16/12/1999 and the Law amending Decree Law No. 491.“

However, following the amendments made to the Communiqué on Decree No. 32 with the Communiqué No. 2018-32/52, the provision regarding the prohibition on work contracts was regulated in Paragraph 8 of the Article 8 of the Communiqué on Decree No. 32 as “residents in Türkiye may agree on the contract price and other payment obligations arising from such contracts in foreign currency or indexed to foreign currency in work contracts that involve costs in foreign currency.” As a result, all work contracts involving foreign currency costs have been included within the exception to the prohibition on contracting in foreign currency and the exception regarding work contracts has been significantly expanded.

In other words, as a general rule, it is prohibited to stipulate the contract price and other payment obligations arising from work contracts in foreign currency or indexed to foreign currency. However, where the work contract involves a cost in foreign currency, this constitutes an exception, and in such case, the contract price and other payment obligations under the work contract may be agreed upon in foreign currency or indexed to foreign currency.

Additionally, no specific percentage has been established regarding the foreign currency component that must be included in such costs. Indeed, in the response to question 6 of the information letter published on the Ministry’s website under the title “Frequently Asked Questions Within the Scope of the Communique on Decree No. 32 on the Protection of the Value of Turkish Currency (2018-32/52)”13, it has been stated that it is not necessary for the work contract to contain a foreign currency cost above a certain percentage in order for the prohibition on contracting in foreign currency not to be applied, and that it is sufficient for a portion of the costs to be denominated in foreign currency for the contract price and other payment obligations arising from such contracts to be agreed upon in foreign currency or indexed to foreign currency.

B. General Exceptions Applicable to Work Contracts

Other exceptions to the prohibition on contracting in foreign currency in relation to work contracts are regulated in the other paragraphs of Article 8 of the Communiqué on Decree No. 32. In this context, within the projects to be carried out under the execution of foreign currency or foreign currency-indexed tenders, contracts, and international agreements to which public institutions and organizations are parties, it has been made possible to decide on determining the contract price and other payment obligations arising from these contracts in foreign currency or indexed to foreign currency in contracts to be concluded by contractors or responsible companies and the parties with whom they enter into contracts, or concluded within the framework of the mentioned projects, excluding real estate sales contracts and employment contracts.14

Since, the relevant paragraph only excludes real estate sale contracts and employment contracts from the scope of exceptions, the contract price and other payment obligations arising from these contracts can be decided in foreign currency or indexed to foreign currency in the work contracts to be concluded for the projects to be carried out within the scope of the execution of tenders, contracts and international agreements in foreign currency or indexed to foreign currency to which public institutions and organizations are parties.

The phrase “public institutions and organizations” mentioned in the relevant regulation refers to the institutions, administrations, and local administrations referred to in the Public Financial Management and Control Law No. 501815 as public administrations within the scope of general administration and mentioned in Annexes I, II, III and IV of the said Law, as well as companies in which these institutions and administrations directly or indirectly hold at least 50% of the ownership.

Similarly, subject to the exception for public institutions and organizations, another paragraph of Article 8 of the Communiqué on Decree No. 32 has made it possible for contract prices and other payment obligations arising from these contracts to be determined, paid, and accepted in foreign currency or indexed to foreign currency in contracts other than real estate sales and real estate rentals to which public institutions and organizations or Turkish Armed Forces Foundation companies are parties.16 The companies referred to as the Turkish Armed Forces Foundation companies are those whose capital is at least fifty percent directly or indirectly owned by the Turkish Armed Forces Foundation, established to strengthen the Turkish Armed Forces, such as ASELSAN, HAVELSAN, and ROKETSAN. Therefore, there is no impediment to the contract price and other payment obligations arising from these contracts being determined in foreign currency or indexed to foreign currency, in terms of the work contracts to which the companies in question are parties.

V. SANCTIONS

Within the scope of the hierarchy of norms, in case of non-compliance with the regulations included in the Communiqué on Decision No. 32, an administrative fine is imposed separately for each party to the contract under Paragraph 1 of Article 3 of Law No. 1567. The amounts specified in the relevant article of Law No. 1567 are the amounts determined by the amendment made to the said Law in 2008, and these amounts are updated every year by taking into account the revaluation rates per Paragraph 7 of Article 17 of Law No. 5326 on Misdemeanors.17 In the case of recurrence, these fines are applied at twice the amount. However, in order to initiate proceedings before the Chief Public Prosecutor’s Office regarding violations of the Communique on Decree No. 32, the notifications sent to the Ministry must include concrete information and supporting documents (invoices, contract samples, price offers, etc.) to substantiate the claims. No action is taken by the Ministry on notifications that are not based on any concrete documents.

VI. CONCLUSION

With subparagraph (g) added to Article 4 of Decision No. 32 by Decision No. 85 and the secondary regulations issued by the Ministry afterward, it is aimed to ensure economic stability in Türkiye and to encourage the use of Turkish Lira in contracts involving monetary obligations of real and legal persons resident in Türkiye.

Work contracts, which are regulated in the relevant articles of the TCO, were also included in the scope of the prohibition in Decree No. 32, but the exceptions to the prohibition that can be applied to work contracts were determined with the regulations introduced later. In case even one of the exceptions in question exists, it has been made possible for the contract price in work contracts and the payment obligations arising from it to be determined in foreign currency or indexed to foreign currency.

References

  1. Official Gazette dated 25.02.1930 and numbered 1433 ↩︎
  2. Official Gazette dated 11.08.1989 and numbered 20249 ↩︎
  3. Official Gazette dated 28.02.2008 and numbered 26801 ↩︎
  4. Official Gazette dated 13.09.2018 and numbered 30534 ↩︎
  5. Official Gazette dated 04.02.2011 and numbered 27836 ↩︎
  6. Official Gazette dated 06.10.2018 and numbered 30557 ↩︎
  7. Official Gazette dated 16.11.2018 and numbered 30597 ↩︎
  8. Ercüment Özkaraca, “Türk Parası Kıymetini Koruma Hakkında 32 Sayılı Kararın İş Sözleşmelerinde Uygulama Alanı”, Marmara University Faculty of Law Journal of Legal Studies, Volume 25, Issue 1, 2019, p. 188. ↩︎
  9. Decree No. 32, article 2(b) ↩︎
  10. Communiqué on Decree No. 32, article 8/24 ↩︎
  11. Communiqué on Decree No. 32, article 8/23 ↩︎
  12. Communiqué on Decree No. 32, article 8/22 ↩︎
  13. https://www.hmb.gov.tr/finansal-piyasalar-ve-kambiyo-sikca-sorulan-sorular ↩︎
  14. Communiqué on Decree No. 32, article 8/16 ↩︎
  15. Official Gazette dated 24.12.2003 and numbered 25326 ↩︎
  16. Communiqué on Decree No. 32, article 8/15 ↩︎
  17. Official Gazette dated 31.03.2005 and numbered 25772 (repeating) ↩︎
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POSSIBILITY FOR PARTICIPANTS OPERATING IN THE ISTANBUL FINANCIAL CENTER TO KEEP THEIR BOOKS IN FOREIGN CURRENCY

Abstract

Since its establishment, the Istanbul Financial Center (“IFC”) has been quickly advancing towards becoming a global attraction center, with a proactive vision that not only provides tax incentives to participants in the region but also continuously adds new operational conveniences. In this context, most recently, participants in the region are allowed to keep their books and records in any currency of their choice.

Keywords: Istanbul Financial Center, Book Records, Foreign Currency, Central Bank of the Republic of Türkiye, General Communiqué of the Tax Procedure Law

I. INTRODUCTION

IFC, which set out with the goal of offering integration with international markets and an efficient ecosystem in the field of finance, aims to become a regional center in the short term and a global center in the medium term. In line with this vision, it brings together public and private sector banks, portfolio management companies, brokerage firms, insurance companies, professional service companies, international transit trade companies, and national and international financial institutions from various categories.

In line with this vision, in addition to offering various tax incentives and operational advantages to participants in the region, within the scope of providing new opportunities and conveniences over time, it is aimed to enable these participants to keep their books in the foreign currency of their choice, allowing more accurate reporting and facilitating integration with their headquarters through a common currency. Participants who utilize this option will also be able to minimize the additional tax burdens arising from expenses that are not legally accepted due to the changes in exchange rate, compared to institutions that keep their books in Turkish Lira.

In accordance with the authority granted to the Ministry of Treasury and Finance (“Ministry”) by Istanbul Financial Center Law numbered 74121 (“Law”), which allows participants in the region to keep mandatory books and issue documents in foreign currencies, the Ministry has published Tax Procedure Law General Communiqué numbered 5692 (“Communiqué”), and the procedures and principles regarding the implementation, which is set to commence from the 2025 fiscal period, have been established. The procedures and principles introduced by the Communiqué are outlined in our article.

II. PARTICIPANTS INCLUDED IN THE SCOPE OF THE IMPLEMENTATION

Those who are eligible to keep their books in foreign currencies must first obtain a participant certificate and be a participant according to Law. As per Law, the “Participant” is defined as real and legal persons, their branches and representative offices, ordinary partnerships, liaison offices, regional management centers and sovereign wealth funds that will operate in the office area by obtaining a certificate of participation. Additionally, as per paragraph 2 of the Article 3 of the Communique, to be eligible to keep books in foreign currencies, the activities of these participants must exclusively consist of the activities that form the basis for the deductions and exemptions listed in the first paragraph of Article 6 of the Law, or of the activities that qualify for income deductions under subparagraph (i) of the first paragraph of Article 10 of the Corporate Tax Law numbered 5520 (“Covered Activities”).

In this context, financial institutions that obtain a participant certificate and operate in the IFC, whose activities are exclusively related to the export of financial services, as well as institutions that obtain a participant certificate and operate in the IFC by selling goods purchased from abroad without bringing them to Türkiye or by acting as intermediaries in the purchase and sale of goods from abroad, will be able to benefit from this implementation.

III. START TIME OF THE IMPLEMENTATION

A. Participants Whose Activities Consist Exclusively of the Covered Activities

As per paragraph 2 of the Article 3 of the Communique, participants whose activities consist exclusively of those within the scope of the eligible activities will be able to keep their books in any foreign currency for which the exchange rate is determined daily by the Central Bank of the Republic of Türkiye (“CBRT”), starting from the 2025 fiscal period (or from the fiscal period that begins in 2025 for those with a special accounting period). On the other hand, participants whose activities are exclusively within the scope but who have not yet obtained their participant certificate as of the publication date of the Communiqué which is 26.09.2024, but start operations by obtaining their participant certificate by 31/12/2024, can also keep their books in any foreign currency, the rate of which is determined daily by the CBRT, starting from the date they begin operations. Therefore, participants whose activities are exclusively within the scope of eligible activities may keep their books in any foreign currency, the rate of which is determined daily by the CBRT without the need for any application or permit.

B. Participants Whose Activities Do Not Consist Exclusively of the Covered Activities

As per paragraph 3 of the Article 3 of the Communique, in addition to the Covered Activities, participants who also conduct other activities within or outside the region and wish to keep their books in foreign currencies exclusively for their branches within the region, must submit a written application to the Revenue Administration (“Administration”) through the tax offices to which they are affiliated for income or corporate tax purposes.

For participants falling under this scope, who wish to keep their books in foreign currency for their activities in the region, as per paragraph 4 of the Article 3 of the Communique, the following conditions must be met in order to submit an application:

i. As of the application date, at least 30% of its capital must belong to businesses owned by persons whose residence, legal, and business headquarters are located outside of Türkiye.

ii. As of the end of the most recent fiscal period prior to the application date, at least 30% of the income from activities within the region must be derived from the Covered Activities.

The income condition mentioned in paragraph (ii) will not be required for participants starting their activities for the first time.

Participants falling under this scope must submit their request to keep books in a foreign currency at least two months prior to the start of the fiscal period in which the books will be kept. The application must be annexed with:

i. A copy of the participant certificate and the foreign currency in which the books are to be kept.

ii. Information regarding activities within and outside the office area, as well as details of the ownership structure.

iii. Information regarding the gross sales revenue reflecting the volume of activities within and outside the office area.

iv. The ratio of the gross sales revenue obtained from the Covered Activities to the total gross sales revenue from all activities within the region.

For participants starting operations in the region for the first time, it will be sufficient to provide the information specified in paragraphs (i) and (ii).

Applications will be concluded by the Administration by the end of the fiscal period in which the application is made. Upon review of the application, participants with a valid participant certificate whose situation is deemed appropriate can be granted permission by the Ministry to keep their books in foreign currency.

IV. EXCHANGE RATES TO BE USED IN BOOK KEEPING

As per paragraph 8 of the Article 3 of the Communique, participants who keep their books in foreign currencies will convert transactions made in Turkish Lira into the foreign currency in which the records are kept, using the buying rates of exchange announced by the CBRT on the date the transaction occurred. For transactions made in foreign currencies other than the currency in which the records are kept, the cross-exchange rates announced by the CBRT on the date of the transaction will be used. In cases where no cross-exchange rate is available, the transactions in foreign currency will first be converted into Turkish Lira using the buying rates of exchange announced by the CBRT, and then converted from Turkish Lira into the foreign currency in which the records are kept, based on the buying rates of exchange announced by the CBRT on the same day.

Example 1: The participant (A) J.S.C., operating in the IFC and keeping its books in U.S. Dollars, issues an invoice in Euros on 20/8/2026.

Accordingly, (A) J.S.C. will convert the invoice amount, which is in Euros, into U.S. Dollars using the Euro/U.S. Dollar cross exchange rate announced by the CBRT on the date the invoice was issued, and will record the transaction in its books accordingly.

Example 2: The participant (B) J.S.C., operating in the IFC and keeping its accounting records in Euros, receives an invoice in Romanian Leu on 9/9/2026. As of the invoice date, the CBRT has not announced a Romanian Leu/Euro cross exchange rate.

In this case, (B) J.S.C. will first determine the Turkish lira equivalent of the invoice amount in Romanian Leu using the CBRT’s buying rate of exchange on the invoice date. The Turkish lira equivalent will then be converted into Euros, and the transaction will be recorded in the company’s books accordingly.

V. DECLARATIONS TO BE SUBMITTED BY PARTICIPANTS KEEPING THEIR BOOKS IN FOREIGN CURRENCY

As per Article 4 of the Communique, participants who keep their books in foreign currency will convert their declarations, including the balance sheet and income statements attached to the declarations, into Turkish lira using the exchange rate announced by the CBRT on the first day of the month in which the declarations must be submitted. They will submit their reports and declarations in Turkish lira. For declarations related to provisional tax periods, the exchange rates announced on the first day of the month in which the provisional tax return must be submitted will be used. For the payment, offsetting, and refund of taxes subject to the declaration, Turkish lira will be used.

Example 3: The participant (D) J.S.C., operating in the IFC and keeping its books in Russian rubles starting from the 2025 fiscal period, will submit its corporate tax return for the 2025 fiscal period in Turkish Lira, based on the Russian ruble buying rate of exchange announced by the CBRT on the first day of April 2026.

In cases where the CBRT does not announce the exchange rate on the first day of the month in which the declaration is due, the exchange rates announced on the first business day prior to that date will be taken into account.

VI. NOTIFICATION OBLIGATION OF PARTICIPANTS KEEPING BOOKS IN FOREIGN CURRENCY

As per Article 5 of the Communique, participants whose activities exclusively consist of Covered Activities, and who can keep their books in any foreign currency determined daily by the CBRT without the need for any application or permission, must notify the tax office to which they are affiliated for income or corporate tax purposes about the foreign currency they will use for their book records. This notification must be made by the end of the first month of the fiscal period in which they begin keeping books in foreign currency.

Participants who begin their activities for the first time during the fiscal period must notify the tax office to which they are affiliated for income or corporate tax purposes of the foreign currency they will use for their book records by the end of the month following the date they begin keeping books in foreign currency.

Those who fail to notify on time or provide misleading information will be subject to the relevant penalty provisions of the Tax Procedure Law numbered 213.

Participants who are granted permission by the Ministry to keep books in foreign currency as a result of their application do not need to make any further notifications under this scope.

VII. OTHER PRINCIPLES REGARDING THE IMPLEMENTATION

i. Those approved to keep books in foreign currency must keep their books based on the balance sheet method.

ii. Participants keeping books in foreign currency will determine the values of the assets included in the business and their tax bases at the end of the period (including provisional tax periods) according to the currency in which the records are kept.

iii. The date of delivery of goods or performance of services will be considered as the transaction date. However, if an invoice is issued before the delivery of goods or performance of services, the date the invoice is issued will be accepted as the transaction date.

iv. No switch to another foreign currency other than the one initially used for the records can be made until the end of the third fiscal period, including the first fiscal period in which book records are kept in foreign currency.

Example 4: The participant (C) J.S.C., operating in the IFC, starts keeping books in Euros from the 2026 fiscal period. Accordingly, this participant cannot keep books in any other foreign currency until the end of the 2028 fiscal period. However, from the 2029 fiscal period onward, books can be kept in U.S. Dollars or any other foreign currency, the exchange rate of which is determined daily by the CBRT.

v. Taxpayers operating in the IFC and keeping books in foreign currency may switch to keeping books in Turkish lira from the beginning of the following fiscal period. However, taxpayers who switch to keeping books in Turkish lira must continue to do so for three consecutive fiscal periods.

vi. Participants operating in the IFC and keeping books in foreign currency, whose participant certificates are canceled during the fiscal period, must switch to keeping books in Turkish lira from the beginning of the following fiscal period.

VIII. CONCLUSION

Allowing financial institutions engaged in financial service exports, as well as institutions involved in transit trade and intermediary activities for transit trade, who are included in the ecosystem of IFC, to keep their mandatory books and issue documents in foreign currency under the relevant regulations and incentives provided by the IFC is a significant step towards making the region a center of attraction.

Similar proactive measures to be taken within this scope will make important contributions to the vision of the IFC becoming a major financial and trade center in the world and will help Türkiye secure a larger share of the global investments.

References

  1. Published in the Official Gazette dated 28.06.2022 and numbered 31880. ↩︎
  2. Published in the Official Gazette dated 26.09.2024 and numbered 32674. ↩︎
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