Breaking News: Erdogan heralds new regulation to protect citizens with TL deposits in banks against currency fluctuations
The last cabinet meeting of the year, chaired by President Recep Tayyip Erdogan, was held today. In the meeting, which lasted 2 hours and 45 minutes, issues such as the hike in the minimum wage, 3600 additional indicators, the corona virus epidemic, the fight against the Omicron mutation, as well as exorbitant prices and stocking were discussed.
In a statement after the meeting, President Erdogan said “We are commissioning new instruments in accordance with the rules of the free market economy to stop the exchange rate fluctuation and ensure relative stability. Now I would like to express to you the new measures that we will implement in the coming days in this context with their titles.”
NEW REGULATION FOR TL DEPOSITS
The President went on to say;
We are offering a new financial alternative to our citizens who want to overcome their concerns caused by the rise in the exchange rate when evaluating their savings. This new tool which will make it possible to reach/acquire the return on currency by staying in Turkish lira assets, will work as follows. If the deposit earnings of our people in TL in the bank are higher than the exchange rate increase, they will get this earning. But if the exchange rate increase remains above the deposit earnings, the difference will be paid directly to our citizen. This profit will also be exempt from withholding tax.
In addition, we will commission tools to ensure that Turkish LIRA assets are evaluated in a way that new foreign exchange demand will not be in question. Therefore, from now on our citizens will not need to transfer their deposits from Turkish lira to foreign currency thinking the ‘exchange rate will be higher’.
IMPORTANT NOTE: After these statements dollar TL rate saw a very sharp fall down to 14 (and 13.50) with a decrease of over 4 TL almost (23.00 hr). On the other hand the price increases in oil planned to be effective as of tonight was cancelled.
