Türkiye’s finance ministry introduces new supports to boost record-high exports

Türkiye’s Ministry of Treasury and Finance introduces a new support package for Turkish exporters, featuring a ₺41 billion ($1.12 billion) guarantee limit.

This initiative is expected to generate approximately ₺50 billion in loan volume.

As part of the government’s efforts to ease exporters’ foreign exchange obligations, the mandatory conversion rate for foreign currency earnings repatriated to Türkiye has been reduced from 30% to 25%. Previously, exporters were required to sell a portion of their foreign income to the central bank.

Under the ministry’s new regulations, payment obligations for securities sales contracts—excluding vehicle sales agreements—can now be fulfilled in foreign currency or indexed to foreign exchange.

Additionally, companies securing foreign currency or precious metal loans from domestic sources will be able to receive guarantees and sureties from their group companies or direct shareholders in the same currency.

$30 billion boost for high-tech industries

Following the introduction of the latest economic program, the daily rediscount credit limit has been raised from ₺300 million to ₺4 billion to enhance exporters’ access to financing. The additional requirement to sell export proceeds when using rediscount credits has also been removed, reducing financial burdens on exporters.

Turkish Eximbank, the country’s official export credit agency, has increased its capital from ₺13.8 billion to ₺55.3 billion. Last year, the bank provided $49 billion in financial support to exporters. Additionally, the tax exemption on service export revenues has been raised from 50% to 80%.

To promote high-value-added production, updated financial instruments, such as the Investment Commitment Advance Loan (YTAK) and HIT-30 programs, have been introduced. The YTAK program has been allocated an annual limit of ₺100 billion, with a total of ₺300 billion planned over three years. This program offers loans with a maximum tenure of 10 years, including a two-year grace period and favorable conditions.

Meanwhile, under the HIT-30 initiative, $30 billion in funding will be allocated to high-tech sectors, including semiconductors, mobility solutions, green energy, advanced manufacturing, healthcare technologies, digital innovations, telecommunications, and space-related industries.

‘We stand by our exporters’

Speaking to Anadolu Agency, Minister of Treasury and Finance Mehmet Simsek stated that the government is actively using a treasury-backed guarantee system to improve exporters’ access to financing under favorable conditions.

“We always stand by businesses that produce, create jobs, and export. We will activate our new guarantee package within 15 days,” Simsek said. “We will continue supporting the business sector and facilitating their operations in line with industry demands.”

He also noted that regulatory changes are in the final stages to help companies manage foreign exchange-related costs, streamline commercial activities, and mitigate inflationary pressures in the economy.

Turkish exports reached an all-time high in 2024, totaling $261.85 billion, according to the Turkish Statistical Institute (TurkStat) and Turkish Exporters Assembly (TIM).