Erdogan vows action over fund probe as markets face scrutiny

Speaking after a Cabinet meeting, Erdogan said the government would take action against those found to have violated the public’s rights or misused assets through financial-market activities.

“Whoever reaches for the rights, law, property or assets of the nation will find us and the state standing against them,” Erdogan said.

The Cabinet reviewed the investment fund investigations in detail, with Justice Minister Akin Gurlek and Treasury and Finance Minister Mehmet Simsek providing updates on the measures implemented so far.

Financial system described as resilient

Erdogan said the issues under investigation affect only a limited segment of the investment fund market and have not developed into a broader financial-system risk.

“The problem that has occurred is limited to a small part of the fund market. There is no risk that has spread to our financial system,” he said.

He also said Türkiye’s capital markets have strong foundations and sufficient resilience to withstand the current period of scrutiny.

Investigations and fund oversight continue

Authorities are proceeding carefully in handling the liquidation of funds that have been closed, Erdogan said, pointing to the particular characteristics and sensitivities of capital markets.

He added that individuals determined to have used investment funds to carry out transactions that disrupted market conditions would face legal consequences. Investigations are also continuing into allegations of illicit or unfair gains involving investment funds and shares.

Government prepares further market measures

Erdogan said he would meet economic officials and representatives of relevant institutions Tuesday to assess the next steps in response to the investigations.

The government also plans to accelerate administrative and legislative measures designed to strengthen the operation of Türkiye’s capital markets and reduce the possibility of similar problems emerging again.