In its decision dated 17 June 2025 and numbered 2025/136, the Constitutional Court of the Republic of Türkiye annulled Article 1, the foundational provision of Law No. 1567 on the Protection of the Value of Turkish Currency, finding it unconstitutional. The decision is significant regarding the constitutional balance of power between the legislative and executive branches.
The Court determined that the annulled article granted the executive branch, the Presidency, excessively broad and indefinite regulatory authority in critical areas affecting fundamental rights, including the foreign exchange regime and capital movements. The Constitutional Court emphasized that the basic principles and legal framework must be determined by the parliament and that this power cannot be delegated, ruling that the existing regulation violated Article 7 of the Constitution. The decision will take legal effect on 15 July 2026, nine months after its publication in the Official Gazette.
During this period, the parliament must enact new legislation that clarifies the limits of authority and outlines the main framework, in line with the constitutional principles indicated by the Court. Until the annulment takes effect, all existing secondary regulations based on Law No. 1567 will remain valid.