In a strategic move, President Recep Tayyip Erdoğan has infused fresh expertise into Turkey’s central banking system by appointing Professor Fatma Ozkul, a renowned academic in the realm of digital finance, to the Monetary Policy Committee. With her tenure commencing at Marmara University in 2012, Ozkul’s portfolio boasts a deep dive into the intricacies of blockchain and cryptocurrency.
Her appointment, confirmed by a presidential decree on December 22, comes at a pivotal time as Turkey grapples with soaring inflation, which hit a staggering 61.98% last month. The Committee, under her influence, will continue to navigate the turbulent economic waters, having recently hiked interest rates to a hefty 42.5%.
Ozkul’s induction is part of a broader reshuffle by Erdoğan, who, after clinching victory in the May elections, brought on board former Goldman Sachs executive Hafize Gaye Erkan to govern the central bank. Together, they spearheaded the inaugural trials of the Digital Turkish Lira, marking Turkey’s foray into digital currencies.
Turkey’s burgeoning crypto activity, which Chainalysis ranks fourth globally, underscores the urgency for robust regulation. Authorities are now poised to introduce measures aimed at licensing and taxation to align with the Financial Action Task Force’s standards.
Upcoming regulations will likely encompass a suite of safeguards, from capital adequacy to digital security, ensuring the crypto marketplace operates with integrity and stability. This strategic appointment signals Turkey’s commitment to embracing the digital currency wave while fortifying its financial systems against the tides of inflation.
