The turning point for regulating the market dates back to 2001
for Turkish banking industry after a major banking crisis in
Turkey. The remediation efforts of government authorities have been
supported by private banks and Turkey has had a new code on banking
( Law No 5411) in 2005.
The Banking Law set out many provisions in depth however the
offset banking was not promoted as it has never been a well
regulated trading activity in Turkey. In this article you will find
more about offshore banking in Turkey from legal perspective.
Before the Law No: 4389 abolished, offshore banking was much
considered as it has provided some correlation between free trade
zones and offshore banking. However the Law 4389 was not defining
what offshore banking means and where it is applicable from Turkish
law perspective. Pursuant to the Law No: 5411; the offshore banking
refers to the banking activities performed outside the borders of
Turkey or outside the coverage of the economic and
