Authorities to tighten oversight on money transfers and cash transactions
ISTANBUL
Türkiye’s Financial Crimes Investigation Board (MASAK) is working on a regulation aimed at strengthening compliance with Financial Action Task Force (FATF) standards and enhancing transparency in financial transactions.
The draft work outlines tighter monitoring of EFT, wire transfers, and cash operations to combat illicit financial flows and the informal economy.
The regulation seeks to minimize disruption to daily cash transactions while improving traceability.
Financial institutions will be required to closely monitor customer cash activities, especially those that appear inconsistent with legal or economic norms or deviate from typical customer profiles.
Banks and payment institutions will offer predefined transaction categories for EFT and wire transfers.
These will include specific labels such as “real estate payment,” “vehicle purchase,” “loan repayment,” “gift/donation,” “tax/fee,” “insurance,” “legal/consulting,” “health,” “crypto/digital asset,” “gambling/betting” and “entertainment/social media payments.”
Generic options like “other” or “personal payment” will require a minimum 20-character explanation; otherwise, the transaction will be blocked.
For cash transactions between 200,000 and 2 million Turkish Liras (around $49,000), customers must select a transaction type and provide a detailed explanation if choosing “other” or “personal payment.”
Transactions between 2 million and 20 million liras will require a formal cash transaction declaration form. If the amount exceeds 20 million liras, the form must be supported by relevant documentation.
If enacted, the new rules will take effect on Jan. 1, 2026.
