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Banks’ short-term external debt stock increased by 4.1 percent to USD 58.0 billion in Turkey

18.02.2021

Short-Term External Debt Statistics Developments

December 2020

  • Short-term external debt stock recorded USD 138.7 billion at the end of December, indicating an increase of 12.9 percent compared to the end of 2019. Specifically, in this period, banks’ short-term external debt stock increased by 4.1 percent to USD 58.0 billion and other sectors’ short-term external debt stock increased by 1.0 percent to USD 59.3 billion.
  • Short-term FX loans of the banks received from abroad increased by 17.3 percent to USD 8.9 billion. FX deposits of non-residents (except banking sector) within residents banks decreased by 4.6 percent in comparison to the end of 2019 recording USD 20.1 billion, and FX deposits of non-resident banks recorded USD 13.2 billion decreasing by 1.1 percent. In addition, non-residents’ Turkish lira deposits increased by 15.3 percent and recorded USD 15.7 billion.
  • Trade credits due to imports under other sectors recorded USD 53.4 billion reflecting an increase of 5.4 percent compared to the end of 2019.
  • From the borrowers side, the short-term debt of public sector, which consists of public banks, increased by 2.5 percent to USD 25.6 billion and the short-term debt of private sector increased by 2.5 percent to USD 91.7 billion compared to the end of 2019.
  • From the creditors side, short-term debt to monetary institutions under private creditors item increased by 35.3 percent to USD 61.0 billion and short-term debt to non-monetary institutions decreased by 0.2 percent to USD 77.3 billion. Short-term bond issues amounted to 456 million as of the end of December increasing from USD 67 million observed at the end of 2019. In the same period, short-term debt to official creditors recorded USD 84 million.
  • As of end of December, the currency breakdown of short-term external debt stock composed of 43.6 percent US dollars, 28.3 percent euro, 13.1 percent Turkish lira and 15.0 percent other currencies.
  • Short-term external debt stock on a remaining maturity basis, calculated based on the external debt maturing within 1 year or less regarding of the original maturity, recorded USD 188.8 billion, of which USD 16.4 billion belongs to the resident banks and private sectors to the banks’ branches and affiliates abroad. From the borrowers side, public sector accounted for 22.0 percent, Central Bank accounted for 11.3 percent and private sector accounted 66.7 percent in total stock.

Source: Central Bank of the Republic of Turkey Head Office
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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In 2020, Turkey’s merchandise exports decreased by 6.3% compared to the previous year

18.02.2021

Developments in Turkey’s External Merchandise Trade in 2020

In 2020, merchandise exports amounted to 169 billion 482 million US dollars with a decrease of 6.3% compared to the previous year. Meanwhile, merchandise imports increased by 4.3% and reached 219 billion 397 million US dollars. Imports excluding gold fell by 2.4% to 194 billion 213 million US dollars. Foreign trade volume in 2020 realized as 388 billion 879 million US dollars with a slight decline of 0.59% compared to the previous year. In 2020, the export/import coverage ratio was 77.2%. The export/import coverage ratio excluding gold realized as 85.8% (Figure 1).
Since March, the world economies have been dealing with severe economic recession due to the Covid-19 epidemic, which has caused significant contraction in the whole world economy. As a result, Turkish exports declined to 32.4 billion US dollars in the second quarter of 2020. Despite the negative effects of the pandemic, exports started to recover in the third quarter of the year. In the third quarter of the year, exports increased by 33.8 percent compared to the previous quarter and reached 43.3 billion US dollars with a rapid recovery. In the last quarter of the year, the growth phase started and the quarterly exports exceeded 50 billion US dollars for the first time and reached 51.2 billion US dollars, the highest quarterly Turkish export figure ever (Figure 2). In terms of international comparison, Turkey showed strong performance in the second half of 2020 (Figure 3). In December 2020, exports reached the highest monthly value (17 billion 850 million US dollars) in the history of the Republic of Turkey. In the same period, the export/import coverage ratio reached 87.0% excluding gold.

In 2020, the main export destination for Turkish exports was Germany representing an export value of 15 billion 975 million US dollars. Germany was followed by the United Kingdom and the USA with 11 billion 237 million US dollars and 10 billion 184 million US dollars of exports, respectively. In the same year, the top origin for Turkey’s imports was China with 23 billion 20 million US dollars. The country was followed by Germany and Russia with 21 billion 714 million US dollars and 17 billion 859 million US dollars of imports, respectively.

In 2020, according to the broad economic activities categories classification, the export value of intermediate, consumption and capital goods were 80 billion 276 million US dollars, 68 billion 210 million US dollars and 19 billion 782 million US dollars, respectively. In the same year, the import value of intermediate, capital and consumption goods were 162 billion 924 million US dollars, 31 billion 811 million US dollars and 24 billion 95 million US dollars, respectively.
In 2020, Turkey exported motor land vehicles (22 billion 79 million US dollars), machinery (16 billion 783 million US dollars) and electrical machines and devices (9 billion 300 million US dollars) most. In the same year, mineral fuels and oils (28 billion 931 million US dollar), precious or semi-precious stones (26 billion 590 million US dollars) and machinery (25 billion 249 million US dollars) were what Turkey imported most.
In 2020, the number of exporter companies increased by 3.6% compared to the previous year and exceeded 87,400. The number of companies exporting for the first time in 2020 was 18.123.


Source: Republic of Turkey Ministry of Trade
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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Domestic Goods Certificates approved in January 2021 increased by 10.3% compared to January 2020

18.02.2021

According to the Domestic Goods Communiqué (SGM 2014/35), which was prepared by the Ministry of Industry and Technology in accordance with Article 63 of the Public Procurement Law No. 4734 and published in the Official Gazette dated September 13, 2014 and numbered 29118, TOBB approved 1,464 Domestic Goods Certificates in January 2021.​

In January 2021, there are 1,427 Domestic Goods Certificates active in the system. Of the 1,427 documents active, 900 are high and medium-high-tech, and 527 are medium-low and low-tech.

Of the domestic goods documents approved in January, 391 were İstanbul, 226 in Ankara, 186 in İzmir, 90 in Tekirdağ, 88 in Adana, 62 in Konya, 45 in Antalya, 41 in Kocaeli, 35 in Bursa and 24 in Sakarya.

In January 2021, 1,464 Domestic Goods Certificates were approved, an increase of 10.3% compared to January 2020 (137). The total number of Active Domestic Goods Documents in the TOBB Domestic Goods Certificate Database was determined to be 15,532.


Source: The Union of Chambers and Commodity Exchanges of Turkey (TOBB)
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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German DHL Makes New Investments in Turkey

16.02.2021

​Frank Appel, CEO of the German logistics leader Deutsche Post DHL Group, pledged further investment in Turkey in his statement to Turkish media.
Appel said, “DHL is investing EUR 135 million to build a state-of-the-art operation center at the new Istanbul Airport. We are ready to enlarge our operations in Turkey as it offers great opportunities for investors to grow and enhance their export activities.”
Appel further stated that DHL will doubtlessly make new investments in Turkey in the future by adding more service centers and warehouses.
Airing his hopeful opinions on the global economy in the post-COVID-19 period, he said, “Despite the pandemic’s large devastating effects on all sectors, the consumer behavior has changed with the rise of e-commerce. We will see further increase in online sales and an acceleration in the B2B sector again in 2021.”

Source: Republic of Turkey Investment Office
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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Turkey’s Specialized Free Zones Primed for Investments

16.02.2021

Minister of Trade Ruhsar Pekcan called on international investors to look out for opportunities in Turkey, addressing the questions of Anadolu Agency (AA).
Minister Pekcan underlined the fact that Turkey offers investors a wide range of incentives, particularly for innovation and technology-oriented investments in the specialized free zones (SFZs). “We plan to expand the SFZ model for other high-tech and high value-added industries in the future”, Minister Pekcan said. “It was initially rolled out for the software and information technology sector. But now I invite investors to consider offshoring to Turkey’s SFZs,” the minister added.
Turkey’s qualifications, including its competitive edge in logistics, young and qualified labor, robust manufacturing capabilities and highly developed infrastructure set her apart from other investment destinations, Minister Pekcan highlighted.

Source: Republic of Turkey Investment Office
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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Social Security Rights in Turkey in the Process of Membership to European Union

15.02.2021

1. Ankara Agreement: Basic Foundations of Social Security

Ankara Agreement, signed on 12 September 1963 and came into effect on 1 December 1964, constitutes the beginning of a process which provides for some significant rights in the field of social security between Turkey and the European Union. The following provisions of Ankara Agreement are the basis for social security rights and accepted as a ground for the right to move freely for Turkish citizens. These are,

  • Article 9: The Contracting Parties recognize that within the scope of this Agreement and without prejudice to any special provisions which may be laid down pursuant to Article 8, any discrimination on grounds of nationality shall be prohibited in accordance with the principle laid down in Article 7 of the Treaty establishing the Community.
  • Article 12: The Contracting Parties agree to be guided by Articles 48, 49 and 50 the Treaty establishing the Community for the purpose of progressively securing freedom of movement for workers between them.
  • Article 13: The Contracting Parties agree to be guided by Articles 52 to 56 and Article 58 of the Treaty establishing the Community for the purpose of abolishing restrictions on freedom of establishment between them.

The mentioned articles of the Treaty establishing the Community, which are referred to in these articles, include provisions on right to move freely and equality of treatment. Ankara Agreement, which stipulates a three-term’s period for the realization of right to move freely, establishes the conditions, procedures, sequence and duration of the mentioned Transition Period in the Additional Protocol. In this Protocol, the principles of social security are specified in the Articles 36-41. Article 36 includes the regulations regarding the realization of workers’ right to move freely gradually within the specified period. Article 37 refers to the issue of not making any discrimination in terms of working conditions and salary of the Turkish workers employed in the Community. Other articles in the agreement are as follows:

  • Article 38: While freedom of movement for workers between Member States of the Community and Turkey is being brought about by progressive stages, the Council of Association may review all questions arising in connection with the geographical and occupational mobility of workers of Turkish nationality, in particular the extension of work and residence permits, in order to facilitate the employment of those workers in each Member State. To that end, the Council of Association may make recommendations to Member States.
  • Article 39: Before the end of the first year after the entry into force of this Protocol the Council of Association shall adopt social security measures for workers of Turkish nationality moving within the Community and for their families residing in the Community.
  • These provisions must enable workers of Turkish nationality, in accordance with arrangements to be laid down, to aggregate periods of insurance or employment completed in individual Member States in respect of old-age pensions, death benefits and invalidity pensions, and also as regards the provision of health services for workers and their families residing in the Community. These measures shall create no obligation on Member States to take into account periods completed in Turkey.The abovementioned measures must ensure that family allowances are paid if a worker’s family resides in the Community.
  • Article 41: The Contracting Parties shall refrain from introducing between themselves any new restrictions on the freedom of establishment and the freedom to provide services.

The above specified articles generally constitute the basis for the opened cases in Court of Justice of the European Communities by Turkish citizens. Apart from this in the Article 6 of the Ankara Agreement it is stated that “To ensure the implementation and the progressive development of the Association, the Contracting Parties shall meet in a Council of Association which shall act within the powers conferred upon it by this Agreement.” By way of this provision, the judgement calls regarding social security reached during the meetings of the mentioned Council of Association are taken as grounds to the applications made to international authorities, especially to CJEC, for protection of the rights of Turkish citizens.
2. Decision No. 3/80 of the Council of Association and Social Security
In its relations to EU, Turkey has a privileged position with respect to other countries. This privilege stems from Ankara Agreement and the Additional Protocol and Association Council Decisions (ACD) signed within the framework of this agreement.
In Ankara Agreement discrimination has been prohibited with the provision of the Article 9 “The Contracting Parties recognize that within the scope of this Agreement and without prejudice to any special provisions which may be laid down pursuant to Article 8, any discrimination on grounds of nationality shall be prohibited in accordance with the principle laid down in Article 7 of the Treaty establishing the Community.” This principle should be viewed together with the Articles 12 and 14 of the same agreement. Likewise, Article 12 provides for being guided by the Treaty establishing the Community for the purpose of progressively securing freedom of movement for workers and Article 14 provides for the necessity of making required attempts to abolish restrictions on the freedom of providing service. It is specified in Article 41 of the Additional Protocol that the Contracting Parties shall refrain from introducing between themselves any new restrictions on the freedom of establishment and the freedom to provide services.
In light of these general provisions, the main part that should be analysed is ACD numbered 3/80 and dated 19 September 1980 regarding the social security regimes applied by EU member states to the Turkish workers and their family members.
In the second article of the ACD no 3/80 the personal scope is specified as follows:

  • to workers who are or have been subject to the legislation of one more Member States and who are Turkish nationals,
  • to the members of the families of these workers, resident in the territory of one of the Member States,
  • to the survivors of these workers.

However there are some problems regarding the direct applicability of this ACD No. 3/80. Because in the cases concluded by CJEC, there is a decision in the direction of unenforceability of some provisions because of the fact that there is not an implementing regulation of the said Decision.
Besides, for “directly applicable provisions” there is no need for an implementing regulation and the mentioned provisions can be applied directly. The directly applicable provisions of ACD No. 3/80 are mostly related to the way of making decisions on the issues within their areas of jurisdiction of their states in EU. ACD No. 3/80, which is based on Ankara Agreement and Article 39 of the Additional Protocol, shall not be applied directly within the legislation of the community. Because according to the community legislation the applicability of such decisions related to all member states, depends on the implementing regulation which will be issued by unanimous vote of the European Council after obtaining information from European Commission. Although European Commission presented its opinion on the respective ACD and submitted its proposed regulation to the Council, this regulation has not been approved by the Council yet.


Source: Social Security Institution (SGK)
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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In the last quarter of 2020 FDI inflows into Turkey reached USD 3 billion

15.02.2021

FDI Inflows Into Turkey Surge in Q4 2020

​​As a sign of the continuing investor appetite in Turkey and the quick recovery in the wake of the pandemic, FDI inflows into Turkey totaled USD 7.7 billion in 2020, when the global appetite for FDI throughout the world shrank at a considerable amount stemming from the negative effects of the novel coronavirus. With this figure, total FDI inflows into Turkey in the 2003-2020 period reached USD 225 billion.
In the last quarter of 2020, FDI inflows into Turkey reached USD 3 billion, reaching a share of 40 percent in total FDI amount in the entire year. Turkey recorded an FDI inflow of USD 1.3 billion in December 2020, a considerable 31 percent increase when compared to the same month of the previous year.
With this performance, Turkey once again proved resilient against crisis and shocks while demonstrating that it is a safe haven with robust economic fundamentals.
Diversified FDI Sources
Turkey also diversified its FDI sources in 2020. While the traditional FDI investments continue to originate from European countries, which have a 53.8 percent share in total, Turkey is now seeing higher FDI inflows from USA, the Middle East and Asian countries having respective shares of 14.1 percent, 7.1 percent and 6.5 percent in total FDI in 2020. On a country basis, Italy, USA, the Netherlands, the UK and Luxembourg accounted for the top five FDI sources of Turkey in 2020.
Increasing Share in Global FDI
Turkey’s share in global FDI inflows reached 0.9 percent in 2020 up from 0.6 percent in the previous year, according to the data of United Nations Conference on Trade and Development (UNCTAD). UNCTAD also unveiled that global FDI inflows throughout the world receded by 42 percent in 2020.

Source: Republic of Turkey Investment Office
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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House sales in Turkey decreased by 37.9% in January 2021 compared to the same month of the previous year

15.02.2021

House Sales Statistics, January 2021


Source: TurkStat
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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Producer Price Index of Agricultural Products in Turkey increased by 21.26% annually and 3.03% monthly

15.02.2021

Producer Price Index of Agricultural Products, January 2021


Source: TurkStat
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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Who can receive healthcare services abroad according to the social security agreements?

08.02.2021

Foreign Healthcare Transactions

23 of all the social security agreements signed by our country are still in force and the agreements with following countries include healthcare insurance: Germany, Netherlands, Belgium, Austria, France, TRNC-Turkish Republic of Northern Cyprus, Macedonia, Azerbaijan, Romania, Czech Republic, Bosnia-Herzegovina, Albania, Luxemburg and Croatia.

However, the provisions on healthcare insurance in the agreements signed between Azerbaijan and Albania cannot be implemented due to the reasons stemming from their legislations.

Which persons can receive healthcare services abroad according to the social security agreements?

Unless otherwise provided in the agreement on social security, the following persons have the right to receive healthcare benefits on behalf of our Institution;

  1. Insured persons (banks, insurance and reassurance companies, chambers of commerce, chambers of industry, stock markets and the workers employed in the unions constituted by them) under the scope of letter (a) of the first paragraph of Article 4 of the Law No. 5510 and of transitional Article 20 of the Law No. 506 and their dependent family members. Of the persons specified in this scope, the following can receive healthcare benefits while staying or residing in a foreign country:
    • Insured persons temporarily posted to a foreign country,
    • Persons who are permanently posted to a foreign country and their dependent family members,,
    • Dependent family members of the insured and retired persons staying abroad for educational reasons,,
    • Insured and retired persons staying abroad for touristic purposes and their dependent family members,,
    • Dependent family members of the insured persons who are permanently residing abroad and retired persons and their dependent family members,,
    • Members of universal health insurance who are sent to another country for treatment and their dependent family members.,
  2. Apart from this; according to the legislation of our Institution, the following persons can avail themselves from the right to receive healthcare benefits provided by our Institution under the scope of universal health insurance on behalf of the contracted countries;
    • For temporary stay; all the persons registered on the document (formulary) of right to healthcare benefits, only in cases of emergency,
    • For permanent residence; persons specified in the social security agreements.

In this context, in order to receive healthcare benefits in our country, respective persons are required to be an insured member of universal health insurance or dependent of the insured in question.

Conditions for Receiving Healthcare Benefits for the Persons Having Foreign Insurance

Persons having foreign insurance, who either temporarily stay or permanently reside in our country, are required to get a formulary from the institution to which they are registered and submit it to the Departments of Foreign Services operating within the scope of Social Security Provincial Directorates/Social Security Centers in their place of stay or residence; or to the Social Security Centers designated by Social Security Provincial Directorates.

Through the Document of Healthcare Benefits under Social Security Agreement, they can avail themselves from right to healthcare benefits in contracted health facilities, like other insured members of universal health insurance, free of charge excluding the rates of contribution and share which have to be paid legally by the insured himself/herself.

In cases of emergency, the insured persons, coming from countries with whom a social security agreement including healthcare insurance applications has been concluded and who are temporarily staying in our country, can receive the formulary for the right to healthcare services from the “Department of Foreign Services” in their place of stay in Turkey by submitting the document issued by the social security institution in their country. Besides, these documents can be confirmed through Social Security Centers designated by Social Security Provincial Directorates.

Benefiting from Emergency Healthcare Services for the People Having Foreign Insurance

In order to receive healthcare services, foreign insured people are required to make an application to the contracted health facilities of the Ministry of Health or to the private or training health facilities with the “Document of Healthcare Benefits under Social Security Agreement.”
Only through the referral of our contracted units, services can be provided from the non-contracted health facilities. When a person applies directly to a non-contracted health facility, regardless of this regulation, his/her expenses of treatment can be covered by the Institution on condition that it is an emergency situation.

Whether the treatment is an emergency or not is determined through the inspection of the relevant submitted medical documents by the contracted health facilities.

In such a case, the insured person shall apply to the Social Security Provincial Directorate/Social Security Center together with the reports regarding his/her treatment and invoices if he/she has made the payment. If the treatment is accepted as an emergency, a reimbursement shall be made to the insured in accordance with the provisions set forth in Medical Enforcement Declaration (SUT).

Duration of Benefiting from Healthcare Services for Foreign Insured People who are Temporarily Staying in our Country and Determination of the Family Members to Receive Healthcare Benefits

People, who are temporarily staying in our country, have the right to healthcare benefits for the period specified in the documents that they brought with them. For temporary stay, people to receive healthcare benefits are determined according to the legislation of the country issuing the document.

In case healthcare benefit is needed after the expiration of the document;

  • A new document for treatment period shall be requested from the contracted country by applying to the relevant unit of the Institution.
  • Insured person shall directly contact with the insurance institution of the country to which he/she is subject and request a new document for treatment period. The healthcare services provided meanwhile have to be paid for.
  • After the document for the extension of the period is received from the contracted country, a “Document of Healthcare Benefits under Social Security Agreement” shall be issued retrospectively and the expenses shall be reimbursed to the respective people pursuant to the provisions of Medical Enforcement Declaration (SUT).

Duration of Benefiting from Healthcare Services for Foreign Retired People who are Permanently Residing in our Country and Determination of the Family Members to Receive Healthcare Benefits

People, who are permanently residing in our country, have the right to receive healthcare benefits for the period specified in the documents issued by the institutions of the contracted countries until a notification regarding the termination of the right to healthcare benefits is received.

For the permanent residences, the people to receive healthcare benefits subject to the agreement.

In our agreements with Germany, Netherlands, Belgium, France, Czech Republic, T.R.N.C., Luxemburg and Croatia, family members are determined pursuant to the legislation of our Institution; while in our agreements with Macedonia, Romania, Azerbaijan, Bosnia-Herzegovina and Albania they are determined according to the legislation of the relevant country.

Documents of right to healthcare benefits in cases of permanent residence are sent to our Institution by the insurance institutions of contracted countries either for a long time or without specifying the date of termination of the right.

However, the rights of foreign insured people in order to receive healthcare benefits are sometimes terminated by the relevant sickness funds for various reasons.

For the purpose of checking whether foreign insured people’s rights to healthcare benefits are continuing or not, the mentioned documents are issued in every six months’ period and given to the relevant persons.

Where the Costs of Treatment can be reimbursed by Foreign Insured Persons who pay for Their Treatment without a Document of Right to Healthcare Benefits?

Foreign insured persons who pay for their treatment in our country without obtaining the document (formulary) for receiving healthcare benefits from the insurance institution to which he/she is registered shall keep their reports and invoices regarding the treatment. After returning to his/her country to which he/she is registered, he/she shall request a reimbursement by submitting the relevant reports and invoices indicating the healthcare expenses to the institution to which he/she is affiliated. In this case, if it is set forth in the agreement, the insurance institution receiving the application shall request information from our Institution on the specified cost of the treatment provided in our country by sending the relevant reports and invoices. Following the receipt of the notification on the specified cost of that treatment, institution shall reimburse the notified amount to relevant person.

Who can Receive Healthcare Benefits in Germany in Accordance with the Social Security Agreement between Germany and our Country?

Only our workers and retired workers were to avail themselves of the healthcare provisions of the Social Security Agreement signed with Germany.

By way of reaching a consensus with German liaison body, craftsmen and civil servants and people who are retired in this context and also their dependants are covered by the healthcare provisions of the Social Security Agreement between Turkey and Germany.

As a result of this regulation, all the insured and retired persons and their dependants going to Germany, have the opportunity to avail themselves of healthcare benefits.


Source: Social Security Istitution (SGK)
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.


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