The Ministry of Commerce stated that in order to reduce the financing costs of exporters, a Banking and Insurance Transactions Tax (BSMV) exemption has been introduced for short-term rediscount loans as well as long-term rediscount loans provided by Türk Eximbank and commercial banks.
The Presidential Decree on Amending the Decision on Exemption of Taxes, Duties and Fees for Exports, Transit Trade, Sales and Deliveries Considered as Exports, and Foreign Exchange Earning Services and Activities and the communiqué on the subject entered into force after being published in the Official Gazette.
In the written statement made by the Ministry on the subject, it was stated that with the said decision, the BITT exemption was put into practice within the scope of rediscount loans provided by commercial banks.
In the statement, it was stated that in addition to short-term rediscount loans, BSMV exemption was also introduced for long-term rediscount loans provided by both Türk Eximbank and commercial banks.
"Many improvements within the scope of rediscount loans are being put into effect"
In the statement, it was pointed out that the competitiveness of exporters in global markets is directly related to export financing opportunities, and in this regard, it was emphasized that many measures continue to be implemented to improve export financing opportunities.
In the statement, it was stated that increasing the financing opportunities of exporters is one of the main foreign trade policy targets focused on investment, production, employment and exports, and the following was noted:
"The Rediscount Credit Program, the procedures and principles of which are determined and resources provided by the Central Bank of the Republic of Turkey (CBRT), is one of the most important policy tools in terms of export financing. Through the working groups established between the CBRT and our Ministry of Commerce, the demands of our exporters within the scope of rediscount credits are evaluated and many improvements are gradually put into effect."
In this regard, it was stated in the statement that the financing cost of rediscount loans was reduced to 23.95 percent with the recent change, and that the daily limit of rediscount loans, which was previously 300 million lira, was increased to 5 billion lira, and the daily limit per company was increased to 60 million lira.
In the statement, it was also underlined that the foreign currency export rediscount credit limit was 5 million dollars and the total program budget was created as 1 billion dollars, and it was stated that the obligation not to receive foreign currency in rediscount loans was abolished, the "exporter score" application was introduced instead of the net exporter application in rediscount credits, and the aim was to improve exporters' opportunities to access financing by removing the additional foreign currency exchange obligation.
"We are reducing the financing costs of our exporters"
It was pointed out that with the new regulation, BSMV exemption was provided for rediscount loans originating from the CBRT provided by commercial banks, and the following expressions were used:
"A significant improvement has been made available to our exporters by including long-term rediscount loans as well as short-term loans. Thus, on the one hand, we have increased the volume of rediscount loans and provided more exporters with access to financing, on the other hand, we have reduced the financing costs of our exporters by reducing costs and reducing the tax burden. At the point of increasing the competitiveness of our exporters, improving their financing opportunities and ensuring that they can access financing under favorable conditions is one of the priority areas of work. The issue of access to financing is followed closely in all its aspects." "Demands in this scope are received firsthand, and our intense efforts to produce fast and effective solutions to the demands and to develop new mechanisms continue uninterrupted."
"The decision strengthens the financing opportunities of our exporters"
Minister of Commerce Ömer Bolat, in his assessment of the issue on his NSosyal account, stated that an important opportunity has been implemented that will further increase the global competitiveness of exporters and reduce financing costs.
In this regard, Bolat pointed out that all short and long-term rediscount loans are included in the scope of exception and said:
"In this way, we reduce the tax burden on our exporters, facilitate their access to financing, and contribute to their access to financing at more affordable costs. I would like to express my gratitude to our President, Mr. Recep Tayyip Erdoğan, for this important decision that strengthens the financing opportunities of our exporters. With the permission of God Almighty, in line with our Turkey Century targets, we will continue to stand by our exporters who produce, provide employment and bring foreign currency to our country, and to support our exports with stronger financing opportunities."
