Amendments To the Capital Movements Circular

Significant amendments have been introduced to the Capital Movements Circular dated May 2, 2018 (“Circular”), published by the Ministry of Treasury and Finance (“Ministry”), through letter dated July 25, 2025 and issued by the Ministry.

The key amendments introduced under the Circular are summarized below:

• In foreign-currency-denominated convertible loan agreements entered into between (i) persons resident in Türkiye who are designated as holders of a technogirişim (technopreneurship) badge under the Regulation on the Identification and Certification of Technology- and Innovation-Oriented Startups published in the Official Gazette dated 3/7/2025 and numbered 32945 and (ii) venture capital funds established abroad, collective investment undertakings established abroad (excluding securities investment funds), or persons resident abroad who hold an angel investor licence, the maximum period for adding the transferred amount to share capital shall be 36 months.
• The revenues obtained by persons resident in Türkiye from the sale of carbon credits verified by internationally accredited institutions to persons resident abroad shall be considered as “foreign exchange income”.
• The threshold amount triggering the requirement for banks to obtain a written statement from the relevant company to determine whether Turkish lira transfers with unidentified purposes constitute loans has been revised from TRY 250.000 to TRY 1.250.000.

You may access the full text of the Circular via this link.