In previous years, The Turkish Citizenship by Investment Program (CIP) was of great interest for global investors, especially in the real estate sector and the reason was its Foreign Exchange Currency Protection Scheme (KKM). The scheme provided protection to the investors against the frequent rise and fall in the value of Turkish lira.
However, in December 2025, The Central Bank of the Turkish Republic (CBRT) shifted its financial policy by ending the FX currency protection scheme. By this recent decision, the investors and stakeholders are reassessing the risks and rewards of entering the Turkish market.
Understanding FX Currency Protection
The FX currency protection scheme was a financial policy introduced by Turkish Government to allow foreign investors to convert their capital (usually in USD or EUR) into Turkish Liras without worrying about the potential issues due to currency depreciation. If the Turkish lira lost value while the investor held the property, the Central Bank would make up for the loss, helping investors feel more confident and secure in their decision.
Why FX Protection helped build Investor Confidence
For many people thinking about investing in Turkey’s Citizenship by Investment Program, on of the major concern was the risk of the Turkish lira losing value. The FX protection policy helped ease those worries. It gave investors peace of mind by making sure that even if lira dropped in value, their money would not lose its worth. This made the whole investment feel more secure and encouraged more people to confidently move forward with buying property in Turkey.
What makes Turkey’s CBI program stand out compared to Caribbean Programs?
One of the key attractions of Turkey’s CIP is that it offers more than just a second passport, it gives real value and flexibility. Here’s how it compares to most Caribbean programs:
Real estate investment instead of donation
- Unlike Caribbean programs that usually require a non-refundable donation, Turkey’s CBI allows investors to gain citizenship by buying real estate, helping them build assets.
Access to a major G20 economy
- Turkey is a large growing economy with global trade links. Investors looking to start or expand businesses saw more opportunity here than in the smaller Caribbean nations.
Strategic location
- Turkey’s location between Europe, Asia and Middle East made it attractive for those who wanted better global mobility, travel convenience or wanted access to multiple countries.
Stronger travel benefits for Asia
- Turkish passport holders enjoy visa-free or visa-on-arrival access to several countries in Asia like Japan and South Korea which are destinations not easily accessible with most Caribbean passports.
Eligibility for the U.S. E-2 Visa
- Turkey has a treaty with the U.S. which means Turkish citizens can apply for the E-2 Investor visa, a big advantage for those who want to live and run a business in the United States.
Previously had Currency Protection
- With the benefit of FX currency protection at the time, Turkey’s program felt like a secure and smart upgrade, even for those who already had a second passport.
Impact of Removing FX Protection
Now that FX protection has been removed, foreign investors are fully exposed to the rise and fall of the Turkish lira. In simple terms, if someone buys a property in Turkey using U.S. dollars or euros and the lira loses value, there is no longer any government guarantee to make up for that loss. So, the money an investor puts in today might be worth less tomorrow when converted back to their own currency.
This change is already starting to change how people view the Turkish Citizenship by Investment Program.
Here is what’s happening:
- In 2023, Turkey received over 1000 CIP applications per month, with real estate as the most popular route.
- The strong demand was largely driven by the trust investor had in the FX protection policy which made them feel their money was safe.
- With the policy now removed, experts predict a 10-20% drop in application numbers, especially in the short term.
- The drop can be more observed among first time investors and people who are more cautious about currency risks.
- Citizenship consultants and property developers in Turkey are already seeing fewer inquiries, especially from Middle East and South Asia, where many investors had shown interest before.
- For people coming from countries where their own currency isn’t stable, the idea of taking on more currency risk, without any protection, feels too risky.
What this means for Future Investors
If you are thinking of applying to Turkey’s Citizenship by Investment Program than things will be a bit different than before. By the removal of FX protection there will be more currency risk for the investors. This does not mean Turkey’s program is no longer attractive, but it means that you need to be more careful while investing.
Some might still consider turkey because of the long-term opportunities it offers while some might explore other countries CIPs like Dominica CIP or St. Kitts CIP where the process is usually based on fixed donation and is not affected by currency changes.
In short, Turkey’s CIP is still a valuable option, but it is no longer the easy choice as it used to be. So, if you are interested, take the time to understand and speak with a trusted advisor before making a decision.