New Decision about the Restriction on Domestic Contracts Involving Foreign Currency
According to the Presidential Decree published in the Official Gazette No.30534, it was stated and entered in force on 13th September 2018 that the determination of the payments to be made in the contracts cannot be in any currency but Turkish Liras (this decision has been taken in order to protect the value of Turkish currency). Although this decision has been announced, it was also announced that there would be some exceptions.
Subsequent to this Decision, the Communiqué Amending the Communiqué on the Decision No.32 on the Protection of the Value of Turkish Currency was published.
In the anticipated Communiqué, it is said that an agreement has to be made between parties, for the contract to be agreed with Turkish Lira.
However, if the parties do not agree, the exchange rate of the 2nd January 2018 (which was USD/TL 3,76) will be considered for the contracts done before 2nd January 2018. On the other hand, the contracts concluded after January 2, 2018, the exchange rate at the date of the contract will be the one effective.
