Pursuant to Article 12 of the Turkish Citizenship Law No. 5901 and Article 20 of the Regulation on the Implementation of the Turkish Citizenship Law, foreign real persons who open an account in banks operating within the borders of the Republic of Turkey and deposit the equivalent of USD 500.000,00 in the bank with the condition of keeping it in the account for 3 years are eligible to apply for citizenship.
1. Who Can Acquire Turkish Citizenship by Deposit Money in a Bank?
Foreigners who deposit USD 500.000,00 in the bank and the investor’s spouse and children under the age of 18 can be included in the citizenship application and acquire citizenship together with the investor.
As is known, there are some citizens of some countries who are not allowed to buy real estate in Turkey, for example Syria. On the other hand, the acquisition of Turkish citizenship through deposit Money in the bank is open for all citizens of all countries without any nationality restrictions. Therefore, we can say that it also possible for Syrians who cannot buy real estate to acquire citizenship by deposit money in a bank.
2. What are the Conditions for Turkish Citizenship by Deposit Money in a Bank?
a) The investor must firstly open accounts in one of the banks operating in Turkey in both Turkish Lira and the foreign currency that the investor wants to invest in, such as Dollar, Euro or Sterling.
b) After opening the accounts, the investor is required to send 500.000,00 US Dollars from their own country or from any country where they have an account, as a swift transfer, in Dollar, Euro or Sterling to their account in Turkey. The important point here is that the investment does not enter the account in Turkish Lira in the first step, it enters the account in Turkey for the first time as foreign currency.
c) When the deposit of USD 500.000,00 is received by the investor’s bank in Turkey, the investment amount is must be sold to the Central Bank of Turkey by the banks and with the help of your attorney who is an expert on citizenship cases. Do not forget that the minor mistake to be made at this stage may prevent you from applying for citizenship. You need to work with a professional team to avoid this situation.
d) This deposit, which has been converted into Turkish Lira, must be blocked at the bank for 3 years, and after the blocking, all documents are sent to the Banking Regulation and Supervision Agency for approval. It is the investor’s decision how to keep this investment for 3 years, but it is not a very common scenario for the investor to keep it in Turkish Lira deposits. Considering the constant fluctuations in dollar and euro exchange rates and the depreciation of the Turkish Lira, we provide full support to our clients in opening a YUVAM account.
3. Is it compulsory for the money to be deposited to be only US Dollars?
500.000,00 US Dollars and/or Turkish Lira corresponding to this amount, convertible foreign currencies determined by the Central Bank of the Republic of Turkey and precious metals can be deposited. It is sufficient for the amount to be convertible and equivalent to USD 500.000,00.
4. Is it compulsory to send USD 500.000.00 in a single transfer or can it be sent in more than one transfer?
As it is known, nowadays due to the low transfer limits and some political reasons, the transfer limits have been changed and it is almost impossible to transfer deposits equivalent to USD 500.000,00 in a single transfer.
Therefore, it is not required for the investor to transfer USD 500,000.00 in a single deposit. As long as the bank to which the money is sent is a bank opened in the name of the investor, it does not matter how many parts the deposit is divided into. However, as mentioned above, it is important that the USD 500,000.00 deposits to be transferred from foreign countries come from an account opened in the investor’s own name (with the same name as investors passport). There is no difference between bringing the money to be used in the application from abroad and having it in Turkey. However, even if it is in Turkey, this money must be in foreign currency. The bank to be used for the citizenship application must sell this money to the Central Bank of Turkey. In other words, the Turkish Lira already in Turkey cannot be used for citizenship applications.
5. Is it compulsory to convert the money into Turkish Lira for Turkish Citizenship by Deposit to the Bank?
Yes, it is compulsory. This obligation was introduced by the Regulation Amending the Regulation on the Implementation of the Turkish Citizenship Law published in the Official Gazette on January 6, 2022. Paragraph 10 of Article 20 of the Regulation has been amended as follows;
“The foreign currency amounts specified in subparagraphs (b), (ç), (d), (e) and (f) of the second paragraph shall be sold to a bank operating in Turkey and by this bank to the Central Bank prior to the transaction. As a result of the sale; Turkish Lira amounts obtained pursuant to subparagraph (ç) of the second paragraph shall be kept in Turkish Lira deposits, Turkish Lira amounts obtained pursuant to subparagraph (d) of the second paragraph shall be kept in Turkish Lira denominated government debt instruments, Turkish Lira amounts obtained pursuant to subparagraph (f) of the second paragraph shall be kept in funds determined by the Insurance and Private Pension Regulatory and Supervisory Authority in the private pension system for three years. The implementation principles regarding this issue shall be determined by the Central Bank of the Republic of Turkey.”
As it seen, before January 2022, foreign currencies can be blocked in US Dollars, Euros and Pounds for 3 years, whereas as of January 2022, all foreign currencies must be sold to the Central Bank and converted into Turkish Lira. In this case, how will foreign investors protect the value of their foreign currency investments against the Turkish Lira? In response to these questions, a new type of account has been developed by the Government of Turkey and the Central Bank. This type of account is called YUVAM account and this type of account is used in almost all citizenship applications.
6. What is the YUVAM account, how does it work and what are the benefits?
It is an advantageous TL participation account type that allows non-resident real and legal investors to invest their USD, EUR, GBP and CHF foreign currency savings in any bank operating in Turkey, and that offers the chance to earn additional return in addition to the exchange rate protection assurance provided by the Central Bank and protects investors’ gains under all circumstances. Bank accounts can be opened with maturities of 3 months, 6 months, 12 months and 24 months.
I. Yuvam Account Return on Foreign Currency
The YUVAM account has two different returns. One of them is the interest yield to be applied to USD, EUR, GBP and CHF accounts. The interest rates are as follows;
| YEAR OF MATURITY | INTEREST RATE ON USD, EUR, GBP, CHF |
| 3 months | %3 |
| 6 months | %4 |
| 12 months | %5 |
| 24 months | %6 |
For our clients who want to acquire Turkish Citizenship by depositing money in the bank, we recommend the type of account that is opened for 2 years with an interest rate of 6% at the first account opening and then continues for 1 year with an interest rate of 5% to be recurring at the end of 2 years. With a simple calculation, if we calculate that there will be a return of 60.000 USD at the end of the 2nd year and 25.000 USD in the 3rd year, a total of 85.000 USD will be reflected in the account only as interest income.
II. YUVAM Account’s Return on Foreign Exchange Differences
In the calculation of the exchange rate, the change between the USD, EUR, GBP and CHF buying rate at the maturity date and the USD, EUR, GBP and CHF Conversion rate valid on the maturity date will be taken into account.
According to the exchange rate change amount calculated at the end of maturity and the profit share amount of the account; If the exchange rate at the end of maturity is lower than the Conversion rate, the investor will be paid principal + profit share + additional return. If dividend amount > exchange rate difference: the investor will be paid principal + dividend + additional return by the Central Bank of the Republic of Türkiye (Herein after “CBRT”) at the end of the maturity period. If dividend amount < exchange rate difference: The investor will be paid principal + dividend + “exchange rate difference – dividend” + additional return amount by the CBRT.
Shortly, at the end of 3 years, the investor will not lose money due to the exchange rate difference, and at the end of 3 years, the investor will be able to receive the principal amount of USD 500.000,00 that was put into the account.
7. Can interest and returns be used even though the account is blocked?
According to the agreement to be made with the bank where the money will be deposited or according to the type of account, all kinds of returns and interest can be freely used as long as this amount does not drop below USD 500.000,00.
8. What are the Documents Required for Foreigners to Open Accounts in Banks Operating in Turkey?
The documents required for investors to open an account in Turkey are listed below;
- Passport translation
- Turkish tax identification number
- Occupational and educational background
- Contact addresses
- Any document obtained from government offices showing his/her address in his/her own country (electricity, water, natural gas bill, ID card with address written on it, driver’s license, etc.).
- If it is declared that the address is outside the country where the passport is presented, the residence card of the country where the address is located and the document proving the address in that country
- Power of Attorney issued to authorize the law firm
9. What are the steps after blocking the investment amount for 3 years?
After the money is blocked, following the letter written to the Banking Supervision and Regulation Agency, the conformity letter is notified to the attorney between 3-5 weeks. The conformity letter confirms that the investor has realized the required investment amount with the correct transactions and that the account is blocked for 3 years and issues a document. This document is the basis for residence and citizenship applications.
10. Does the investor need to come to Turkey for citizenship application through bank investment?
There is no need for the investor to enter Turkey for any of the steps described so far. However, it has been made compulsory for the investor (only the investor, family members are not required) who receives the conformity letter to enter Turkey once, and to provide fingerprints from the Provincial Immigration Office as of February 2023.
11. What are the documents required for investor residence permit?
The legal representative of the investor who provides fingerprints will request a 1-year residence permit for the investor only. Required documents are listed below.
- LS Number for Fingerprint
- Conformity Letter issued by the Banking Regulation and Supervision Agency
- Notarized Passport Translation
- Entry and exit stamps on the passport
- Copy of visa (if applicable)
- Application Form
- 3 Biometric Photographs
- Birth certificate of the investor only. If this document is obtained from a country that is a party to the apostille, the Apostille attestation, if it is not obtained from a country that is a party to the apostille, the Seal of the Ministry of Foreign Affairs and the Seal of the Turkish Consulate of the country where it is obtained
- 1 year health insurance
- Tax office receipts showing that residence fees have been paid
- Power of Attorney
12. What are the documents required for citizenship application?
After the residence permit of the foreign investor is approved, his legal representative will apply for citizenship for the whole family. The documents required for citizenship application are listed below;
For the Main Applicant who is the investor:
a) 8 copies of a 50×60 mm white background, unpatterned biometric photograph.
b) Single status certificate if single, marriage certificate if married, divorce certificate if divorced, death certificate of the spouse if widowed.
c) Birth certificate or birth letter issued based on the birth certificate,
d) If the main applicant wants to apply only with his/her child without his/her spouse; For a child born in a marriage union; If there is a child who is under the custody of the mother or father and who is requested to acquire Turkish citizenship together with him/her, the consent of the other parent must be obtained in the presence of a notary public if the consent is given in Turkey, or by the Turkish Consulate of that country if the consent is given abroad.
e) If the applicant is divorced, the court decision indicates that the applicant has custody of the children
f) Notarized passport translation
g) Power of Attorney
For spouse:
a) 8 copies of a 50×60 mm white background, unpatterned biometric photograph.
b) Marriage certificate
c) Birth certificate or birth letter issued based on the birth certificate,
d)Notarized passport translation
e) Power of attorney
For children under 18 years of age:
a) 8 copies of a 50×60 mm white background, unpatterned and machine readable biometric photograph.
b) Birth certificate or birth letter issued based on the birth certificate,
c) Notarized passport translation The following points must be taken into consideration when attesting the documents listed above;
1. If the documents are obtained from a non-apostilled country such as China, all documents must first be certified by the Chinese government office (usually notaries), then by the Chinese Ministry of Foreign Affairs and then by the Turkish Consulate.
2. If the documents are obtained from an apostille country, such as the United States of America or most European Countries, the documents must be certified by a government office and an apostille attestation must be obtained.