Banking in Turkey

All quasi-banking activities were carried out by money-changers during this era, and the Galata bankers were largely ethnic minorities in Istanbul.

During this time, officials from a number of foreign banks traveled to Istanbul with the intention of giving high-interest financing to the Empire.

In exchange for their loans to the state, several Galata Bankers were granted powers to form banks during the Ottoman Empire's last decades.

[4] In 1920, İş Bank was founded with funds transported to Ankara by Muslim Indians who wished to help the Turkish government in their war with the Greeks.

As a result, residents turned to moneychangers or the state office, which held the assets of widows and orphans.

[6] The first Security Fund was established in 1863 in Ruse (in modern-day Bulgaria) with Ottoman capital thanks to Midhat Pasha.

The Security Fund was established to gather public property, and people who asked for loans were granted money in pawns or with guarantors.

Banking institutions' outstanding loans in Turkey account for 71 percent of GDP, making it one of the biggest in the BSTDB Region.

[1] The main legislation in relation to the regulatory and supervisory framework for financial institutions are as follows:[7] The Banking Regulation and Supervision Agency (BDDK) was established under the new Law to protect depositors' rights and benefits.

[7] The General Directorate of Financial Markets and Foreign Exchange (Turkish: Finansal Piyasalar ve Kambiyo Genel Müdürlüğü) is part of the Ministry of Treasury and Finance and regulates the public financing, global economic relations, exchange regimes and private insurance companies.

It is a department of the Ministry of Treasury and Finance that has the jurisdiction to oversee, audit, and demand information from financial institutions.