May 3 , 2025 – Developments In Legislation

1. The minimum sales ratio of export proceeds to the Central Bank was set at 35 percent until July 31, 2025:

Pursuant to the Communiqué on the Decree No. 2018-32/48 on the Protection of the Value of Turkish Currency No. 32 on Export Proceeds published by the Ministry of Treasury and Finance, the proceeds of export transactions carried out by Turkish residents shall be transferred or brought directly and without delay to the bank intermediating the export following the payment of the importer. The period for bringing the proceeds into the country cannot exceed 180 days from the date of actual export.

According to the Additional Article 3 of the Export Circular regulating the procedures and principles regarding the repatriation of export proceeds published by the CBRT based on the said Communiqué, which entered into force on 03.03.2025, at least 25% of the export proceeds linked to the Export Proceeds Acceptance Certificate (İBKB) or DAB are sold to the bank issuing the Export Price Acceptance Certificate (İBKB) or DAB. These amounts are sold by the bank to the Central Bank on the same day at the foreign exchange buying rate announced by the Central Bank and valid for the transaction day and transferred to the Central Bank’s account with the bank. The full equivalent of the said amount shall be paid by the bank to the exporter in Turkish currency.

With the provisional article 2 added to the aforementioned Export Circular, effective from 05.05.2025, based on the letter of the Ministry of Treasury and Finance dated 02.05.2025, it has been decided to apply the minimum sales ratio of export proceeds to the Central Bank of the Republic of Turkey (CBRT) as 35 percent until July 31, 2025.

2. Support for the Conversion of Foreign Currency into Turkish Lira was set at 3 percent until 31/7/2025:

In Article 2 of the Communiqué on Supporting the Conversion of Firms’ Foreign Currency Originating Abroad into Turkish Lira (Number: 2023/5) published in the Official Gazette dated January 26, 2023, it is stated that “During the sale of firms’ foreign currency originating abroad to the Central Bank through the bank, provided that a commitment is made not to purchase foreign currency for the period to be determined by the Central Bank, foreign currency conversion support of 2 percent of the amount converted into Turkish Lira at the conversion rate is paid to the companies with a commitment.”

With the following provisional article added to the Communiqué on Supporting the Conversion of Firms’ Foreign Currency Sourced Abroad into Turkish Lira (Number: 2023/5) published in the Official Gazette dated 26/1/2023, the Support for Conversion of Foreign Currency Sourced Abroad into Turkish Lira was determined as 3 percent until 31/7/2025