Türkiye’s Banking System: Account Opening and International Transactions
Current Structure and Operational Landscape
As of August 2025, Türkiye’s banking sector consisted of 67 active banks. This included 38 deposit banks, 20 development and investment banks, and 9 participation banks. The total asset size of the sector amounted to 41.9 trillion Turkish lira, equivalent to approximately 1.02 trillion US dollars.
Deposit banks held around 85.2% of the sector’s total assets, while the share of participation and development-investment banks had been gradually increasing. In terms of ownership, public banks represented 46.8% of total assets, privately owned domestic banks accounted for 28.7%, and foreign-owned banks constituted 24.6%.
For detailed sector data, you can visit the Banking Regulation and Supervision Agency (BDDK) website.
Regulatory Framework for International Transactions
Money Transfers and MASAK Oversight
New money transfer regulations effective from January 1, 2026, introduced mandatory declarations for high-value transactions. This adjustment forms part of Türkiye’s broader strategy to exit the Financial Action Task Force (FATF) “grey list” monitoring process.
The Financial Crimes Investigation Board (MASAK) has strengthened its technical infrastructure by deploying artificial intelligence and data analytics-based supervision systems. These tools enhance monitoring of cash and remittance operations, contributing to a more resilient financial ecosystem.
Turkish Lira-Focused Policy
Türkiye’s banking policy prioritizes expanding the share of Turkish lira-denominated assets. In this context:
- Increasing the proportion of Turkish lira deposits in the banking system is encouraged
- Regulatory limits are applied to prevent excessive foreign currency lending
As of August 2025, the loans-to-deposits ratio reached 86%, reflecting a healthy liquidity position within the sector.
Account Opening and Financial Access
Deposit Insurance System
All 38 deposit banks and 9 participation banks were members of the deposit insurance system. As of 2025, deposits of individuals and legal entities were insured up to 950,000 lira by the Savings Deposit Insurance Fund (TMSF).
In August 2025, the total insured deposit amount stood at 6.7 trillion lira, with total reserves reaching 466 billion lira. The insurance coverage ratio of 6.9% is considered high by international standards, ensuring strong depositor confidence.
Open Banking Infrastructure
Developed through cooperation between the Central Bank of the Republic of Türkiye (TCMB) and the Interbank Card Center (BKM), the open banking ecosystem has become a key part of Türkiye’s digital financial landscape.
By March 2026, the system reached 16.4 million users and processed an average of 12.3 million daily transactions across 53 participating institutions. This infrastructure supports payment system efficiency and promotes financial innovation across the sector.
Compliance with International Standards
Final Basel III Implementation
Türkiye’s banking framework is transitioning to full compliance with the final stage of the Basel III regulations, in line with European Union directives. According to the Regulatory Consistency Assessment Programme (RCAP), Türkiye’s banking legislation is fully aligned with Basel standards, granting it a competitive advantage compared to countries such as Switzerland, the United Kingdom, and the United States.
Capital Adequacy
The sector’s capital adequacy ratio stood at 18.3% as of August 2025, well above the regulatory minimum of 12%. This robust capital structure highlights the sector’s financial stability and its strong resilience in managing international transactions and risks.
Operational Challenges and Cost Structure
Türkiye’s banking institutions face increased operational burdens related to MASAK compliance and enhanced transfer regulations. Rising administrative and compliance costs in both foreign currency and Turkish lira lending operations remain significant factors affecting institutions’ cost structures.
Despite these challenges, access to international borrowing channels continues, though at elevated costs due to higher risk premiums.
Digital Infrastructure and Payment Systems
In 2026, Türkiye’s financial sector sustained efforts to enhance efficiency and interoperability. Measures were introduced to eliminate anti-competitive practices between banks and non-bank payment service providers.
By promoting the shared use of digital infrastructure and integration of core operations, the sector achieves cost reduction and ensures that all institutions can access essential systems on equal terms.