The Decision Amending the Decree No. 32 on the Protection of the Value of Turkish Currency (the “Decision”), published in the Official Gazette on March 15, 2025, has introduced significant changes to the financial regulations in Turkey. In this context, let us examine the newly introduced regulations and the updated provisions together.
General Framework of the Amendments
The main regulations introduced under the Decision can be summarized as follows:
Increase in the Cash Limit Permitted to Be Taken Abroad [Article 3/(d)]: The cash limit that can be taken abroad, previously set at TRY 25,000, has been increased to TRY 185,000. Amounts exceeding this threshold may be taken abroad in accordance with the principles to be determined by the Ministry of Treasury and Finance.
Derivative Transactions [Article 6/(7)-(8)]: The requirement for trading derivatives exclusively on organized exchanges has been removed.
Prior to the Decision, derivative transactions could only be conducted through intermediary institutions authorized by the Capital Markets Board ("CMB"). With the new regulation, the scope has been expanded to include banks authorized by the CMB among the institutions permitted to carry out derivative transactions. Accordingly, as a general rule, derivative transactions to be conducted abroad must be carried out through banks and intermediary institutions authorized by the CMB.
As an exception, derivative transactions conducted by Turkish residents on their own initiative with financial institutions located abroad are exempt from the obligation to use an intermediary institution or bank, provided that such foreign institutions do not engage in marketing or advertising activities in Turkey. However, the transfer of funds related to these transactions must still be executed through banks.
Leveraged Transactions and Derivative Transactions Subject to the Same Provisions as Leveraged Transactions [Article 6/(9)]: It has been explicitly prohibited for persons or entities other than those authorized by the CMB to intermediate leveraged transactions or derivative transactions deemed subject to the same provisions as leveraged transactions1, and to transfer funds abroad in relation to such transactions.
Measures Against Unauthorized Intermediation Activities [Article 6/(9)]: Banks and payment/electronic money institutions have been assigned the obligation to take necessary measures to prevent unauthorized intermediation activities. In order to enable the implementation of such measures, the CMB, the Banking Regulation and Supervision Agency (BRSA), and the Central Bank of the Republic of Turkey will share any relevant information they possess, within their respective areas of authority, upon request of the relevant institutions. Any violations of this provision shall be reported to the Ministry of Treasury and Finance of the Republic of Turkey.
Amendments Regarding Foreign Currency and Precious Metal Loans [Article 18/(4)]: With the new regulation, a significant flexibility has been introduced regarding foreign currency or precious metal-denominated loans obtained domestically by persons resident in Turkey.
Accordingly, it is now permitted to provide guarantees or sureties in foreign currency or precious metals to banks and financial institutions located in Turkey as collateral for such loans, by either:
- Group companies of the borrower that are resident in Turkey, or
- Individuals or legal entities that are direct shareholders of the
In order to benefit from this regulation, the following conditions must be met collectively:
- Loan: Must be denominated in foreign currency or precious
- Guarantor or Surety Provider: Must be either a group company of the borrower or a direct shareholder (individual or legal entity).
- Recipient of the Guarantee/Surety: Must be a bank or financial institution resident in Turkey.
- Form of Guarantee/Surety: Must be in foreign currency or precious
Unless these conditions are met, persons resident in Turkey are not permitted to provide guarantees or sureties in foreign currency or precious metals on behalf of another resident in Turkey. This regulation introduces an exception only under the specified conditions; otherwise, providing guarantees or sureties in foreign currency remains prohibited.
New Regulations on Precious Metal and Deposit Accounts [Article 19/(3)]: It has been explicitly regulated that trading transactions conducted in precious metal deposit accounts without physical delivery shall be considered as foreign exchange transactions.
Conclusion
The Decision allows group companies or direct shareholders to provide guarantees and sureties for foreign currency or precious metal loans obtained domestically by persons resident in Turkey. Authorization and transfer rules concerning derivative instruments and leveraged transactions have been further clarified, and mechanisms for preventing unauthorized intermediation have been strengthened. Additionally, the upper limit for the amount of Turkish lira that may be taken abroad has been increased to TRY 185,000. These amendments aim to enhance clarity in financial regulations while also introducing new obligations and limitations for market participants.
1 Pursuant to Article 25/A, paragraph 3 of the Communiqué on Investment Services No. III-37.1, over-the-counter (OTC) derivative instruments such as Contracts for Difference (CFDs) are subject to the provisions applicable to leveraged transactions.
By Murat Develioglu, Senior Counsel, and Nesli Turker, Lawyer, Guleryuz Partners
