Turkey to return to its former currency TL, replacing YTL in 2009

“Our banknotes and coins will be renamed as TL and Kurus and they will enter into circulation on January 1st, 2009 with new designs, sizes and enhanced security features," Yilmaz told a press conference.

 

"This is going to be the second part of the monetary reform," he added.

 

The inflation problem experienced in Turkey over the past few decades until early 2000s caused severe depreciation in value of Turkish lira. The currency came to trade at approximately 1.65 million lira per U.S. dollar in late 2001.

In 2003, Turkish parliament passed a law that allowed removal of six zeroes from the currency, and circulation of the new lira. It was introduced on January 1st, 2005 replacing the previous lira.

TL coins would also be altered and it would be different in design to euro coins, Yilmaz added. Some European countries have been complaining that YTL coins are used in vending machines instead of euro coins, which have a higher value.Â

Yilmaz added that Central bank would make public new sizes, designs and security features of the new banknotes and coins on October 3rd.

Both YTL and TL would be in circulation for one year until 2010 to complete a full replacement with the new currency.

As of Jan 1, the newly designed TL banknotes and coins would enter circulation.

Yilmaz said the image of Mustafa Kemal Ataturk, the founder of modern Turkey, would continue to be printed on all banknotes and coins.

Earlier media reports suggested the image of Yunus Emre, a 13th century poet from Anatolia who is considered by many as the most important name in the history of Turkish poetry, would replace Ataturk on TL banknotes and coins, an attempt possibly to raise eyebrows in Turkey.