The Ministry of Treasury and Economy amended the Communiqué No: 2008-32/35 on the Decree No. 32 Regarding Protection of the Value of the Turkish Currency (the “Amendment“) with respect to gold, silver and platinum loans. The Amendment entered into force upon its publication on the Official Gazette No. 30830 dated July 13, 2019.
What Do the Amendments Say?
Before the Amendment, banks could extend gold, silver and platinum loans to persons resident in Turkey or abroad provided that the loan amount is a minimum of USD 5 million and the average term is more than a year. The Amendment removes this allowance for gold, silver and platinum loan extensions.