AMENDMENTS TO THE COMMUNIQUÉ ON THE DECISION NUMBERED 32 ON THE PROTECTION OF THE VALUE OF THE TURKISH CURRENCY
The Communiqué Amending the Communiqué on Decree No. 32 on the Protection of the Value of the Turkish Currency (Communiqué No: 2008-32/34) was published and entered into force on February 28, 2024 (the “Amending Communiqué”).
Previously, the Decree No. 32 on the Protection of the Value of Turkish Currency was amended by; (i) the Decree No. 85 ("Decree No. 85") published in the Official Gazette dated September 13, 2018 and numbered 30534, (ii) the Communiqué on Decree No. 32 on the Protection of the Value of Turkish Currency (Communiqué No: 2008-32/34) published in the Official Gazette dated November 16, 2018 and numbered 30597, (iii) the Communiqué Amending the Communiqué (Communiqué No: 2008-32/34) on Decree No. 32 on the Protection of the Value of Turkish Currency (Communiqué No: 2022-32/66)" published in the Official Gazette dated April 19, 2022 and numbered 31814, (iv) the press release by the Ministry of Treasury and Finance dated 21.04.2022.
The principle regulated by the Communiqué No: 2022-32/66 was to prohibit the acceptance of payment obligations subject to movable sales contracts other than vehicle sales contracts to be concluded by and between Turkish residents in foreign currency.
The Amending Communiqué introduces exceptions to the regulation on the fulfillment and acceptance of payment obligations in Turkish Lira in movable sales contracts other than vehicle sales contracts. Performance and acceptance of payment obligations in Turkish Lira is mandatory except for the cases stated below:
1- Payment obligations arising from negotiable instruments denominated in foreign currency and issued prior to the effective date of the amendment of the Communiqué dated 19/4/2022 within the scope of performance of movable sales contracts concluded before the Communiqué dated 19/4/2022 numbered 2022-32/66.
2- Payment obligations resulting from invoices issued before 19/4/2022.
3- Trade transactions of precious metals and precious stones carried out in foreign currency on Borsa İstanbul A.Ş. Precious Metals and Precious Stones Market, and the payment obligations within the scope of settlement of such transactions.
4- Payment obligations within the scope of (i) the movable sales contracts for exports via International Trading Companies or Sectoral Foreign Trade Companies under an intermediated export contract within the framework of the Communiqué on the Status of International Trading Companies and the Communiqué on the Status of Sectoral Foreign Trade Companies dated 2/7/2004; (ii) the movable sales contracts for exports to be realized based on an intermediated export contract through companies with the status of Export Consortium under the Decision on Export Subsidies No. 5973 and E-Export Consortium under the Decision on E-Export Subsidies No. 5986.
5- Payment obligations within the scope of movable sales contracts concluded for the delivery of goods subject to the transit and customs warehouse regimes as per Customs Law dated 27/10/199 numbered 4458, including the sale and delivery of the bunker fuel subject to a customs declaration, and the provisions of temporary storage and the free zone.
6- Payment obligations regarding the delivery of goods subject to the movable sales contracts made within the scope of foreign trade transactions with the companies operating in the free zone.
As per the Amending Communiqué, the exceptions specified in subparagraphs (1), (2) and (3) above will be effective as of April 21, 2022. Those specified in subparagraphs (4), (5) and (6) will be effective as of February 28, 2024.