The Ministry of Treasury and Finance Releases Details and Exemptions Regarding the Denomination of Agreements in Foreign Currency

Presidential Decree No. 85, which was released on 13 September 2018 and which entered into force on the same day, amended Decree No. 32 on the Protection of the Value of Turkish Currency (“Decree”).

Details regarding how the Decree would be enforced, and certain exemptions from the rule established in the Decree, were expected to be clarified in a communique. The expected communique, called the Communiqué (No. 2018-32/51) Amending the Communiqué (No. 2008-32/34) Regarding Decree No. 32 On the Protection of the Value of Turkish Currency (“Communiqué”), was published in the Official Gazette on 6 October 2018 and entered into force on the same day. The Communiqué provides details on which agreements are barred from being denominated in foreign currency or being indexed to foreign currency, and the exemptions from that rule.

For full copy of the alert, please click here.