In September 2018, a presidential decree amended Decree No. 32
on the Protection of the Value of Turkish Currency, introducing a
ban on certain foreign currency transactions between Turkish
residents. Subsequently, the Ministry of Treasury and Finance
amended Communique No. 2008-32/34 on Decree No. 32 (the
"Communiqué") and clarified the
details of as well as exceptions to the implementation of the
ban.
The Presidential Decree and Communiqué provide that, any
contractual fees, prices and other payment obligations under
residence and roofed workplace lease contracts cannot be agreed
upon in foreign currency or as indexed on foreign currency.
Additionally, the Presidential Decree and Communiqué
required rental fees of residence and roofed workplace leases, that
were executed before the ban, to be converted into Turkish Lira
within 30 days following 13 September 2018, and continue to be
applied as Turkish Lira for a period of two years (the
"Transition Period").
