The Central Bank of the Republic of Turkey recently revealed that it has taken the decision to offer incentives to holders of gold deposits and equity funds who apply to convert them into lira term deposits, according to a statement. of the central bank.
Incentives to strengthen financial stability
The Central Bank of the Republic of Turkey (CBRT) has announced the launch of an incentive program that encourages Turkish residents to convert their gold deposits and participating funds into lira term deposit accounts.
In a brief statement released at the end of December 2021, the central bank explained that this incentive scheme is intended “to support financial stability”. As has been widely reported, Turkey is going through a deep economic crisis which has led to the sharp depreciation of the lira and the rise in prices.
In turn, this combination of a declining currency and a rising inflation rate has seen more Turkish residents seek refuge in alternative value stores like gold and digital currencies. As recently reported by Bitcoin.com News, the number of daily cryptocurrency transactions in this country recently passed one million. This milestone suggests that more and more Turkish residents are choosing to protect their savings with alternatives such as bitcoin and gold.
Conversion into term deposits in lire
Therefore, as part of the latest attempt by the Turkish government to halt the decline of the pound, the central bank explained in the statement that “holders of deposit and equity funds” choosing to convert their funds into pounds will get incentives.
“The Central Bank of the Republic of Turkey has decided to provide [an] incentive to deposit and participation fund holders in the event that their gold deposits and participation funds are converted into Turkish lira term deposit accounts at the request of the account holder, ”read a statement released by the central bank on December 29.
The statement, however, does not share details of how the CBRT plans to reward residents who agree to convert their gold or equity funds.
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