Conditions for Obtaining Turkish Citizenship 2022 Updated
There has been changes to the conditions for obtaining Turkish Citizenship. The Turkish government has changed the rules for applying for Turkish citizenship for foreigners in order to support the national currency. According to the new decision, published on the Official Gazette on January 6, 2022, effectıve since January 24, foreigners will first have to sell their foreign currency to the Central Bank through a Turkish bank and then submit the Foreign Exchange Purchase Certificate issued by the bank to the land registry directorate in real estate purchase transactions.
What are the ways to obtain Turkish Citizenship?
- Investing in fixed capital of at least $500.000 in or its equivalent in foreign currency or Turkish Lira equivalent,
- Buying a property worth of at least $250,000 or its equivalent in foreign currency or Turkish Lira, with the condition that it cannot be sold for three years,
- Depositing at least 500,000 US dollars (or its equivalent in foreign currency or Turkish Lira) are accepted in Turkish banks if they are held for three years,
- Purchasing government debt instruments’ worth of at least 500,000 US dollars (or its equivalent in foreign currency or Turkish Lira) for a period of three years,
- Participation shares in a venture capital investment fund worth at least 500,000 USD (or equivalent in foreign currency or Turkish Lira) must be held for at least three years,
- Establishing a business and hiring at least 50 Turkish workers, according to the Ministry of Labor and Social Security.
What has changed to the conditions for obtaining Turkish Citizenship?
Basically, nothing changed. You can still invest in Turkey and get Turkish citizenship with the conditions stated above. However, the new regulation omitted the phrase “or its equivalent in Turkish Lira.”
Foreigners seeking Turkish citizenship must now invest the amount specified in Article 20 of the Regulation, either in US dollars or the equivalent foreign currency (EUR, or GBP). Foreigners who invest in Turkish Lira will no longer be granted Turkish citizenship. The institution will define the principles that will be used to determine whether or not the investment criteria have been met.
To give you a summary, foreigners who do not have citizenship ties with the Republic of Turkey have to fulfill their payment obligations in foreign currency (USD, EUR, or GBP) for the real estate they purchase in Turkey. First, this foreign currency is sold to a bank, and from the bank to the Central Bank, by stating the reason before the title deed transactions. When you get the “Currency Purchase Document”, you can initiate your citizenship application process and obtain the certificate of conformity.
As a result of this change, no currency calculation will be made regarding the value of the sales promise contract prepared in the official sales deed to be drawn up at the land registry directorate or the notary public. And the “Currency Purchase Document” will be taken into consideration in the valuation report.
So, what has changed? Here’s a step-by-step summary!
- The payment of real estate purchased by foreigners must be paid in foreign currency (USD, EUR, or GBP).
- Before the title deed transactions, this foreign currency is sold to the Central Bank through a Turkish bank and the investor receives a “Currency Purchase Document” from the bank.
- The value is declared over the Turkish Lira amount included in the “Currency Purchase Document” when applying for the title deed.
- The Turkish lira amount registered in the “Currency Purchase Document” is declared as the sales price to the land registry office.
- In applications for a certificate of conformity in the citizenship process, the foreign currency amount on the “Currency Purchase Document” will also be considered investment value.
- It is possible to sell foreign currency to banks only by the buyer of the property, seller, their officially authorized consultants, or representatives of the relevant real estate.
How will the law amendment affect real estate investors?
The foreign currency paid by investors will be fixed because the exchange rate computation will be removed with the Currency Purchase Document system. This measure will protect investors from the effects of fluctuating exchange rates.
Did the legal amount of $250.000 for getting Turkish Citizenship by real estate investment change?
No, it did not. You can still invest in real estate for $250.000 and get Turkish citizenship. The only change is foreigners who want to get Turkish citizenship will now have to fulfill their payment in foreign currency (USD, EUR, or GBP).
I bought real estate before this change. Do I still need a currency purchase document?
In cases where the sale price is deposited into the seller’s account before the announcement of the new law, it will not be possible to exchange foreign currency in return for the price, and if this situation is documented with an approved bank receipt, there is no need to request a currency purchase document.
In this situation, the sales value stated in the official note should not be less than the value deposited in the buyer’s account. And in cases where a foreign currency payment is made to the buyer’s account, the Turkish Lira value is found at the previous Central Bank’s effective selling rate on the date of issue of the receipt.
We also have a comprehensive guide on how to get Turkish citizenship by investment in 2022. You can read all about it here. Also, if you are interested in investing in Turkey or getting Turkish citizenship, you can check out our most searched questions series on this link: https://www.youtube.com/playlist?list=PLo6x5iSthhaYx2HkILiyjC8DUhfs8PHqA.