The Regulation on the Manipulation and Misleading Transactions on Financial Markets entered into force
The Regulation on the Manipulation and Misleading Transactions on Financial Markets (“Regulation”) entered into force through publication in the Official Gazette dated 07.05.2020 and numbered 31120.
Through the Regulation, the acts performed by banks that are within the scope of Article 76/A of the Banking Law No. 5411 which are deemed as manipulation and misleading transactions and practices on financial markets, are determined.
In this context, acts, among others, to influence the prices of financial instruments, to spread false and misleading information and rumors, to mislead; to conduct or to mediate to the transactions and practices to overcome Banking Regulation and Supervision Agency (“Agency”) decisions or limitations, through indirect methods or to disable Agency decisions regarding foreign currency swap, forward, option and other derivative transactions, conducted by the banks with foreign residents, having foreign currency on the one end and TRY on the other or provision of TRY liquidity abroad by banks are deemed as manipulation and misleading transactions and practices on financial markets.
Please find the Turkish version of the Regulation here.
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Other Contents
The Regulation on the Information Systems of the Banks and Electronical Banking Services (“Regulation”) is published in the Official Gazette dated 15 March 2020 and numbered 31069. Regulation will enter into force on 1 July 2020.
Important amendments are made through the Communiqué ("Communiqué No. 2020/11"), regarding the Amendment of the Communiqué on Procedures and Principles Regarding the Fees That Banks Can Charge Their Commercial Clients ("Communiqué No. 2020/4"), published in the Official Gazette dated March 29, 2020 and No. 31083. The Communiqué No. 2020/11 shall enter into force on April 1, 2020.
The Banking Regulation and Supervision Board ("Board") published its decision dated 02.04.2020 and numbered 8976 ("Decision") within the scope of the measures taken against COVID-19 outbreak.
As measures against the COVID-19 pandemic impacts business life, the aftermath also brings with it the necessity to re-visit financing agreements by the parties.
Through the press announcement (“Announcement”) dated 05.05.2020 and published on the website of the Banking Regulation and Supervision Agency, the measures taken by the Banking Regulation and Supervision Board (“Board”) with the Decision dated 05.05.2020 and numbered 9010 to be implemented until the extraordinary circumstances arising in relation to the COVID-19 outbreak, have been announced.
The Presidential Decree dated 08.05.2020 and numbered 2501 on the Amendment to the Decree on State Aids for Investments (“Decree”) entered into force through publication in the Official Gazette dated 09.05.2020 and numbered 31122.
The Communiqué (III-59.1.ç) on the Amendment to the Communiqué on the the Covered Bonds (III-59.1) (“Communiqué”) entered into force through publication in the Official Gazette dated 14.05.2020 and numbered 31127.
Through the Announcement dated 21.05.2020 (“Announcement”) released through the official website of Banking Regulation and Supervision Agency (“Agency”), the decision of the Agency dated 21.05.2020 and numbered 9033 (“Decision”) has been announced.
Through the promulgation of the Presidential Decision No. 2568 (“Decision”), published in the Official Gazette dated 24th May 2020 and No. 31136, the Bank and Insurance Transactions Tax (“BITT”) rate, which should be calculated over the sale amount of foreign exchange transactions is increased to 1%.
Through the promulgation of the Presidential Decision No. 2569 (“Decision”), published in the Official Gazette dated 24th May 2020 and No. 31136, the withholding tax rate is increased to 15% for the income to be obtained from those below & the earnings arising from their disposal:
The Law No. 7247 Amending Certain Laws and Decrees published on the Official Gazette dated June 26, 2020 and numbered 31167 (“Law No. 7247”) amends several laws including the Banking Law numbered 5411 (“Banking Law”) and the Capital Market Law numbered 6362 (“Capital Market Law”).
Through the promulgation of the President Decision No. 3032 (“Decision”), published in the Official Gazette dated 30th September 2020 and No. 31260, the withholding tax rates on the interest earned from Turkish Lira deposit accounts and the dividends paid to participation accounts by participation banks are temporarily reduced.
Through the promulgation of the President Decision No. 3031 (“Decision”), published in the Official Gazette dated 30th September 2020 and No. 31260, the Bank and Insurance Transactions Tax (“BITT”) rate, which should be calculated over the amount of foreign exchange (foreign currency) transactions, is reduced to 2 per thousand.