CHAPTER ONE

FINANCIAL PROVISIONS

I. Budget

A. Preparation and Implementation of the Budget

ARTICLE 161. The expenditures of the State and those of public corporations other than State economic enterprises shall be determined by annual budgets.

The beginning of the fiscal year and the preparation and implementation of the general and subsidiary budgets shall be defined by law.

The law may prescribe special periods and procedures for investments relating to development plans, or for business and services expected to last more than one year.

No provisions other than those pertaining to the budget shall be included in the Budget Act.

B. Debate on the Budget

ARTICLE 162. The Council of Ministers shall submit the draft of general and subsidiary budgets and the report containing the national budgetary estimates to the Turkish Grand National Assembly at least seventy-five days before the beginning of the fiscal year.

The draft budgets and the reports shall be considered by the Budget Committee, which shall be composed of forty members. In the composition of this Committee, the proportional representation of the various political party groups and independent members in the Assembly, shall be taken into consideration subject to the allocation of at least twenty-five seats to members of the party or parties in power.

Draft budget, which shall be adopted by the Budget Committee within fifty-five days shall thereafter be considered by the Assembly and shall be decided on before the beginning of the fiscal year.

Members of the Turkish Grand National Assembly shall express their opinions on ministerial, departmental and subsidiary budgets during the debates held in Plenary Session on each budget as a whole; the various headings and motions for amendments shall be read out and put to the vote without separate debate.

During debates in the plenary session on the draft Budget Act, members of the Turkish Grand National Assembly shall not make proposals which entail an increase in expenditure or a decrease in revenue.

C. Principles Governing Budgetary Amendments

ARTICLE 163. The appropriations granted under the general and subsidiary budgets shall indicate the limit of expenditure allowed. No provisions shall be included in the budget to the effect that the limit of expenditure may be exceeded in pursuance of a decision of the Council of Ministers. The Council of Ministers shall not be empowered to amend the budget by a decree having force of law. In draft amendments entailing an increase in appropriations under the budget for the current fiscal year and, in draft laws and law proposals providing for additional financial commitments in the budgets for the current or following year, the financial resources which would meet the stated expenditure shall be indicated.

D. Final Account

ARTICLE 164. Draft final accounts shall be submitted to the Turkish Grand National Assembly by the Council of Ministers within seven months of the end of the relevant fiscal year, unless a shorter period is prescribed by law. The Audit Court shall submit its notice of conformity to the Turkish Grand National Assembly within seventy-five days of the submission of the draft final accounts in question.

The draft final accounts shall be placed on the agenda of the Budget Committee together with the Draft Budget Act for the new fiscal year. The Budget Committee shall submit the draft Budget Act to the Plenary Assembly in conjunction with the draft final accounts; the Plenary Assembly shall consider, and decide on the draft final accounts in conjunction with the draft Budget Act for the new fiscal year.

The submission of the draft final accounts and the notice of conformity to the Turkish Grand National Assembly shall not preclude the auditing of accounts for the relevant year which have not already been dealt with by the Audit Court and shall not indicate that a final decision has been taken on these accounts.

E. Auditing of State Economic Enterprises

ARTICLE 165. The principles governing the auditing, by the Turkish Grand National Assembly of the accounts of public establishments and partnerships in which more than half of the capital directly or indirectly belongs to the State, shall be regulated by law.