Türkiye steps up crackdown on unauthorized currency exchange in tourist areas

ANKARA

Turkish authorities have intensified inspections targeting unlicensed foreign exchange operations, particularly in major cities and popular tourist destinations, shutting down hundreds of businesses since 2018.

Under Turkish law, only banks, the national postal service (PTT) and officially licensed exchange offices are permitted to buy and sell foreign currency.

Contrary to common belief, jewelers and representatives of payment institutions do not have this authority.

Since regulatory changes were introduced in 2018, two main sanctions have been applied to violators: Temporary or permanent closure of business premises, and referrals to public prosecutors for administrative fines.

From 2018 to date, the activities of 859 businesses have been temporarily or permanently suspended for operating without a license.

Authorities found that such illegal activity is concentrated in areas with heavy trade and tourism.

In the same period, cases involving approximately 280 million Turkish Liras ($6.3 million) in administrative fines were referred to public prosecutors.

Treasury and Finance Minister Mehmet Şimşek said the government is determined to combat unlicensed operations as part of its campaign against the shadow economy.

“Both on-the-ground inspections and digital monitoring are crucial in shaping our audit plans,” Şimşek said. “In 2026, we will further increase planned, risk-focused inspections against unauthorized currency exchange activities.”

In 2025 alone, 147 businesses were shut down, with proceedings initiated for nearly 108 million liras ($2.4 million) in fines.