Islamic Finance

Islamic Finance

In Turkey, some of the financial institutions have been gradually developing the Islamic Finance market since the 80s. Islamic banking has been regulated in Turkey within the frame of the Banking Law No. 5411 and the Communiqué on the Principles on Lease Certificates dated 2013, which introduces new forms of sukuk-type of lease certificates. In accordance with such legal and financial developments, Turkey has a number of dedicated Islamic Banks.

Our Islamic finance team is a dedicated group consisting of prominent Islamic finance consultants with highly developed Islamic finance capabilities and substantial international transactional experience. We assist our clients mainly on following issues related to the Islamic Finance:

  • Turkish legal framework governing Islamic Finance
  • Existing and pending regulatory developments
  • Structuring of Islamic Finance transactions in accordance with Turkish law (sukuk, murabaha, mudarabah, and ijarah)
  • Regulatory M&As involving Islamic Finance institutions

We have practitioners in other jurisdictions as well, advising on complex and sophisticated Islamic finance structures. Our Islamic finance team is capable to advice on Shariah compliant transactions including fund formation, equity investments, financing transactions and may offer services on:

  • Musharaka Sukuk Transactions (Joint Ventures)
  • Istisna Contracts (Construction and Production Agreements)
  • Bay’ Al-’Arbun Transactions (Sale Option Transaction)
  • Standard Form Documentation

In addition to advising on Islamic finance structures at their outset, we also advise on these structures once they are operational. Our dispute resolution lawyers are qualified in dealing with disputes where the transaction has been structured, in accordance with Islamic finance principles.