Macro Analysis /
Turkey

Turkey: Income tax discount for lira deposit returns extended again till year-end

    EmergingMarketWatch
    1 October 2021
    • Tax discount introduced in Oct 2020 to curb deposit dollarization, extended several times since then
    • FinMin estimates budget loses TRY 17.0bn revenues in Jan-Sep due to this tax waiver
    • Appeal of lira deposits weakens after policy rate cut, lira exchange rate slide