The Istanbul Finance Center Law No. 7412, which provides important exemptions and exceptions to its participants, was published on June 22, 2022, and we have previously announced its scope in our previous bulletins.
Although the law was published, a regulation was awaited for its implementation. The implementation regulation for Law No. 7412 on the Istanbul Finance Center entered into force with the Official Gazette published on July 7, 2023.
The regulation does not provide explanations on how exemptions and exceptions will be implemented, but it contains important information on the operation of the Istanbul Finance Center.
The regulation provides explanations on the management and operation of the Istanbul Finance Center, real estate, common areas, leasing transactions, participant certificate, procedures and principles regarding participant candidates and participants, as well as the one-stop office and various provisions.
The priority activities expected to be carried out by participants operating in the Istanbul Finance Center are summarized as follows:
Transportation by sea, air, land, and railway, customs and logistics services related to all kinds of goods that can be subject to international trade, commodity trading and storage services in organized markets, and financial advisory services related to these commodities, primarily precious metals and minerals, Support and ancillary services for financial activities such as auditing, accounting, rating, valuation, electronic infrastructure and software, telecommunications, media, intellectual and industrial property, legal consultancy, and similar services, High-value-added sectors, especially energy and infrastructure, and any one or more of their divisions, healthcare and health technologies, agriculture and agricultural technologies, artificial intelligence, and similar fields, as well as services related to investing in and financing these areas, Regional treasury and financial management operations established within or as a separate legal entity to create investment and management strategies for legal entities and carry out their financial operations, Financial services supporting green finance, sustainable finance, and international trade, Financial services or other activities supporting the financial sector that are in line with the strategic priorities of the Istanbul Finance Center.