Turkey’s Statutory Interest Rate Is Now Linked To The Rediscount Rate

A significant change to Türkiye’s statutory interest regime was introduced by Law No. 7589, published in the Official Gazette No. 33326 on July 31, 2026. The fixed-rate approach under Article 1 of the Law on Statutory Interest and Default Interest has been abandoned. For obligations that bear interest but for which the applicable rate has not been contractually agreed, the annual interest rate will now be linked to the rediscount rate applied by the Central Bank of the Republic of Türkiye to short-term lending transactions. Under the new system, the statutory interest rate may change in response to economic conditions, and a different rate may apply during the second half of the same year if certain statutory conditions are met. Consequently, it will not always be possible to calculate interest on long-term receivables by applying a single rate.