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New regulation on foreign currency payments from the Turkish Ministry of Treasury! Affects sale of goods

The Ministry of Treasury and Finance introduced an important regulation on payments in foreign currency. The new communiqué, which entered into force upon its publication in the Official Gazette, re-allowed the fulfillment of payment obligations in foreign currency or indexed to foreign currency in securities sales contracts other than vehicle sales contracts.

New regulation on foreign currency payments from the Turkish Ministry of Treasury! Affects sale of goods

The communiqués of the Ministry of Treasury and Finance of Türkiye “Regarding the Decree No. 32 on the Protection of the Value of the Turkish Currency” were published in the Official Gazette and entered into force.

According to the statement made by the Ministry, this decision was taken within the scope of foreign exchange policies in line with the macroeconomic conjuncture. In Türkiye, payment in foreign currency was banned in certain types of contracts with a regulation that entered into force on September 13, 2018, followed by an amendment on April 19, 2022, which introduced the obligation to pay in Turkish lira in securities sales contracts. However, the Ministry monitored the effects of the implementation in the market and decided to remove this obligation introduced in 2022. Thus, it has become possible to fulfill payment obligations in foreign currency or foreign currency indexed in securities sales contracts other than vehicle sales contracts.

The following is published in the Official Gazette; “The ninth paragraph of Article 8 of the Communiqué on the Decree No. 32 on the Protection of the Value of Turkish Currency (Communiqué No: 2008-32/34) published in the Official Gazette dated 28/2/2008 and numbered 26801 has been amended as follows and the phrase ‘agreed, paid and accepted’ in the fifteenth paragraph has been amended as ‘agreed’.

“It is possible for Turkish residents to agree on the contract price and other payment obligations arising from these contracts in foreign currency or indexed to foreign currency in securities sales contracts other than vehicle sales contracts to be concluded between themselves.”

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