1. GENERAL COUNTRY INFORMATION
2. FOREIGN INVESTMENT POLICY
3. INCENTIVES FOR INVESTORS
4. PROCEDURES FOR INVESTORS
5. TAX RATES
6. FREE PORT AND ZONE
7. PROCEDURES FOR THE ESTABLISHMENT OF AN INTERNATIONAL BUSINESS COMPANY AND MAIN INCENTIVES
8. PROCEDURES FOR THE ESTABLISHMENT OF A BANK
9. PROCEDURES FOR THE ESTABLISHMENT OF AN OFFSHORE  BANK AND MAIN INCENTIVES

8. PROCEDURES FOR THE ESTABLISHMENT OF A BANK
The establishment of a bank or opening of a branch by a foreign bank for the purpose of carrying on
business within the TRNC is subject to the approval of the Central Bank.
• Foreign real persons or corporate bodies intending to establish a bank shall be; residents
of or carrying on business in Turkey, OECD Countries or countries having diplomatic
relationship with TRNC and holding the control of a bank directly (at least 51% of the shares)
or indirectly. Corporate bodies shall have a valid business permission obtained from the
authorities of banking operations in these countries.
• Minimum amount of paid-up capital required is US$ 2,000,000 equivalent New Turkish Lira
on establishment and opening of a branch.
• Provisions concerning application and permission for establishment of a bank or opening of a
branch are regulated by a notification of the Central Bank.

• Where a bank does not commence business within six months beginning from the date
of the establishment authorization, such authorization is deemed to be cancelled.
• Having completed the establishment procedures a bank or a branch receive a banking licence
within six months at the latest, unless otherwise decided. The applicant has to certify the
deposit of US$ 20,000 equivalent New Turkish Lira at the Central Bank as licence fee during
application. The amount to be paid for the renewal of banking licence is US$ 10,000
equivalent New Turkish Lira. This amount has to be deposited every year in January,
otherwise the banking licence shall be deemed invalid.
• Foreign banks operating as a branch are obliged to declare the authorization of one of the
branches to represent the Head Office within a month at the latest beginning from the date of
opening of the second branch.