Turkey's Postal Service Handed Over to Wealth Fund, Again

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According a to new decree signed by President and Justice and Development Party (AKP) Chair Recep Tayyip Erdoğan, which was published on the Official Gazette today (December 12), all the shares of the Post and Telegraph Organization (PTT) owned by the Treasury will be handed over to the Wealth Fund.

However, the shares were already handed over to the fund with a cabinet decree on January 24, 2017. The Wealth Fund, which was formed in 2016 and is headed by President Erdoğan, owns most major public enterprises including Turkish Airlines, Ziraat Bank, Halk Bank and Turkish Petroleum.

CLICK - Treasury Hands Over Shares in 11 Companies Including PTT, Halk Bank to Wealth Fund

2017 handover forgotten

In the 4th Presidential Decree that came into force today, the 2017 decree was forgotten:

"All of the capital of the PTT belongs to the treasury. All the rights and authority which the Ministry of Treasury and Finance holds over the PTT is reserved and used by the Ministry of Transportation and Infrastructure. As of the 4th Presidential Decree comes into force, all the shares The Treasury holds are decided to be transferred to the Wealth Fund of Turkey."

What is the Wealth Fund?

Wealth Fund was established in 2016 to be managed by the Türkiye Wealth Fund Management Co. The aim of the fund was announced as helping the economy to overcome its structural problems.

However, since the fund has been exempt from taxes, free from laws on protection of natural and cultural property and its inspection has not been undertaken by the Court of Accounts, the fund has sparked debates.

Despite these debates and objections, the bill foreseeing the establishment of the fund was approved in parliament by the MPs of the AKP. (HA/VK)