Türkiye Prohibits Paying for Travel in Installments to Keep People From Spending Money Abroad

August 1, 2023 admin-dominor

The Turkish government is stopping people from paying for foreign travel in instalments in a move which is widely seen as attempting to prevent people from spending money abroad.

Türkiye’s banking watchdog said on Monday that it was introducing the measure to strengthen financial stability.

In a statement, the Banking Regulation and Supervision Agency said it would no longer be possible to pay in instalments to airlines, travel agencies and accommodations where the money is to leave Türkiye.

Analysts believe many Turks can only afford to go abroad if they pay in installments so the new measures will effectively curb the ability of most people to spend money abroad.

But while Türkiye is seemingly trying to discourage its own citizens from going abroad, the country is reaping the benefits of inbound tourism.

According to Türkiye’s official statistics recordkeeper, tourism revenues rose by 27% to $21.7 billion between January and June, with the country reporting 22.2 million foreign visitors during the same period.

On average, visitors are spending $99 per night which is up from $89 during the same period in 2022.

Istanbul Airport is also enjoying the benefits of the continuing boom in foreign travel with the airport becoming the busiest in continental Europe. Last month, the airport handled, on average, 1,472 flights every single day.

Opened in 2019, the $12 billion airport will eventually be able to handle up to 90 million passengers per year.