Some articles of the Regulation on the Implementation of the Turkish Citizenship Law (“Regulation”) have been amended by the regulations published in the Official Gazette dated January 6, 2022 and numbered 31711 and entered into force on the same date.
Article 20 of the Regulation carries the title of “Exceptional Acquisition of Turkish Citizenship, Required Documents for Application and Procedures“, and the explanations regarding this article are detailed in our previous article dated March, 17, 2021. However, in accordance with the new regulation, as of January 6, 2022, in this article the stated values in cases where foreigners acquire Turkish citizenship through investment are required to invest only in US Dollars or in foreign currencies corresponding to these lower limits. The phrase “corresponding to Turkish Lira” in the text of the old Regulation have been removed.
In this case, it has been determined that foreigners must invest in foreign currency in order to qualify for Turkish citizenship by investment. As of the effective date of the amendment (06/01/2022), investments to be made in Turkish Lira equivalent to foreign currency will not be accepted.
In addition, additional conditions have been introduced in some cases where foreigners are entitled to Turkish Citizenship by Investment. In these cases, the applicant is under the obligation to sell the required amount of foreign currency to a bank operating in Turkey and convert it into Turkish Lira before the transaction. Such as:
- Purchase of immovable property worth at least 250.000 USD or equivalent in foreign currency, provided that it is not sold for three years in the land registry or establishment of a flat ownership or construction servitude.
- Promising the sale of the real estate with a notarized contract, provided that at least 250.000USD or its equivalent in foreign currency is deposited in advance and an undertaking that it will not be transferred or canceled for a period of three years in the land registry.
- Depositing at least 500.000USD or equivalent foreign currency deposits in banks operating in Turkey, provided that they are kept for three years.
- Purchase of government debt instruments of at least 500.000 USD or equivalent foreign currency, provided that they are kept for three years.
- Purchasing real estate investment fund participation shares or venture capital investment fund participation shares of at least 500.000 USD or equivalent foreign currency, on the condition that they hold for at least three years.
Following this stage, the bank where the foreign exchange sale is made will sell the relevant foreign currency amount to the Central Bank of the Republic of Turkey. Sales result; The Turkish Lira amounts obtained in case of depositing at least 500.000 USD or equivalent foreign currency in banks operating in Turkey, provided that they keep the deposit for three years, The Turkish Lira amount is kept in the Turkish Lira State debt instruments for a period of three years, even though it has purchased government debt instruments of at least 500.000 US Dollars or equivalent foreign currency, provided that they are kept for three years.
With these regulations, it is aimed to increase the demand for the Turkish lira by evaluating the demands more effectively.
The full text of the Regulation can be accessed here.
You can contact us for further information and to take advantage of our advocacy and consulting services. You can find detailed information about our office’s work on Family and Persons Law on our website.
Seray ÇİNAR (Apprentice Attorney)
Uçar Law & Consultancy Office