Turkey cancels foreign currency transactions in sales and lease contracts

According to a presidential decree published in the Turkish Official Gazette on Thursday, the Turkish lira is to be used in contracts for the sale, purchase and rental of real estate and movable property, instead of foreign currencies.

 

According to the decree on the amendment of Resolution No. 32 on protecting of the value of the Turkish currency, the replacement of contracts for the sale, purchase and rental of movable property between persons residing on the territory of the Turkish State and the resulting financial obligations shall not be determined in foreign currency or its equivalent except for limited cases decided by the Ministry of Finance.

 

The contracts include the sale and purchase of real estate and movable property, the rental of all property including transportation and finance

 

Contracts previously concluded and denominated in foreign currencies shall be determined in Turkish lira between the parties to the contracts, except in cases decided by the concerned ministry within 30 days of the entry of the decree into Implementation

 

The decree noted that the Ministry of Treasury and Finance will supervise the implementing of the provisions mentioned before.

 

 

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