Sahap Kavcioglu asks Erdogan to let him go as the investment-fund probe reaches the banking regulator’s senior ranks.
MoneyTurkey Politics Desk | 11 November 2026
Key points
- Sahap Kavcioglu, chairman of the Banking Regulation and Supervision Agency (BDDK), says he has asked President Recep Tayyip Erdogan to relieve him of his post.
- He cited recent allegations about the agency and himself, which he denies, linked to Turkey’s investment-fund crisis.
- Senior BDDK officials have been jailed pending trial in the fund investigation, and 131 funds have been ordered into liquidation.
What happened
Kavcioglu said in a statement on X on Wednesday that he had asked Erdogan for permission to step down “in light of the recent allegations concerning the Banking Regulation and Supervision Agency and myself,” so that the agency “would not suffer any further damage,” according to Daily Sabah and Middle East Online. He thanked Erdogan for entrusting him with the role.
Earlier on Wednesday, in an interview with the Sozcu newspaper, Kavcioglu denied bribery allegations against him and said the BDDK had nothing to do with the fund business, Türkiye Today and Middle East Online reported. BBC Turkish said he had also filed a criminal complaint against Savci Sayan, a former ruling AK Party mayor who had publicly raised the claims.
The fund crisis behind it
Regulators in September ordered the liquidation of 131 funds run by seven asset managers after some could not meet redemption requests, according to Middle East Online and Türkiye Today. The funds had grown to roughly $20 billion in assets and drew nearly half a million investors chasing returns to offset a weak lira and high inflation.
Istanbul prosecutors are investigating more than 400 suspects over alleged market manipulation and irregular capital-market transactions, Daily Sabah and Türkiye Today reported. BBC Turkish said BDDK deputy chairman Muhammed Erisen and two department heads are among those jailed pending trial. Daily Sabah said bank licences granted to some groups named in the probe have become a point of controversy.
Why it matters
The BDDK licenses and supervises Turkey’s banks, so a leadership change in the middle of a fraud probe puts the credibility of financial oversight in focus for foreign investors. Kavcioglu was central bank governor from 2021 to 2023 before moving to the BDDK.
What to watch
- Whether Erdogan accepts the resignation and who is named to lead the BDDK
- Any review of bank licences linked to groups named in the fund probe
- Further detentions or charges in the investment-fund investigation
- The lira and Istanbul-listed bank shares as markets digest the change
Related on MoneyTurkey
For information only. Not investment advice.
Sources
- Reuters: Turkish banking watchdog chairman says he submitted resignation to Erdogan
- Daily Sabah: Turkish banking watchdog chair submits resignation to Erdogan
- Türkiye Today: Banking regulator chief steps down after remarks on fund scandal
- Middle East Online: Turkey’s banking watchdog chief offers to resign over fund crisis fallout
- BBC News Türkçe: BDDK Başkanı Şahap Kavcıoğlu görevinden istifa etti
