Currency-protected deposit accounts cannot be subject to derivative transactions.

With the amendment made by the Central Bank of the Republic of Turkey (CBRT) in the implementation instruction regarding currency-protected deposit products, the relevant KKM accounts will not be subject to derivative transactions.

In the change in the implementation instruction sent by the CBRT to the banks dated today, it was indicated that “It is stipulated that revolving deposit and participation accounts within the scope of said instructions may not be subject to derivative transactions.”

In the article, which was also seen by Reuters, it was stated that “Alternate deposit and participation accounts can be used as options, swaps, etc. it cannot be subject to or associated with any derivative product.

It was also stated in the article that the CBRT will not “pay” exchange rate/price differences for accounts found to be in violation of this provision. (Reuters)