Turkey has introduced a new regulation to curtail Special Consumption Tax (OTV) on fuel products for keeping the prices stable for consumers, according to the country's Official Gazette on Thursday.
The new regulation stipulates that with increases in international oil prices and the dollar exchange rate against the Turkish lira - the two variables that determine the free market prices for refinery products, mainly gasoline and diesel - the OTV on fuel product prices will be capped and limited to the base price increase by cutting down the tax corresponding to the increase.
However, in the case of declines, OTV will be applied not exceeding the current tax amounts.
Moreover, if fuel products are imported, OTV will be implemented based on the new regulation.
The Turkish Council of Ministers' decision came into effect after Thursday's publication in the Official Gazette.
Reporting by Erdal Celikel
Writing by Firdevs Yuksel