"Ban on Inflation Accounting Application for Banks by BDDK"

BDDK Announces Its Final Decision on Inflation Accounting

The BDDK (Banking Regulation and Supervision Agency), which has a significant impact on the banking sector in Turkey, has made a new statement regarding inflation accounting.

Not Applicable to Banks and Financial Institutions

In the statement, it was noted that inflation accounting will not be applicable to banks as well as financial leasing, factoring, financing, savings financing, and asset management companies. This situation may lead to significant changes in the accounting practices of the relevant institutions.

Effects on the Financial Sector

This decision could have a significant impact on the overall health of Turkey's financial system. Especially in times of high inflation, it may affect the compatibility of banks' financial reporting with ESG criteria.