Turkish habit of stashing gold "under the pillow' hurts economy, government says

Jewelry displays gold at the Grand Bazaar in Istanbul, Turkey, on Aug. 26, 2026.

Finance Minister Mehmet Şimşek has said that about $640 billion in gold and foreign currency is held outside the financial system. For many Turkish savers, physical gold is still a safe way to protect their money from inflation and economic uncertainty. This practice is known as "yastık altı altın," or "gold under the mattress," referring to the tradition of keeping wealth in physical assets rather than in banks. Emre Çaylak for NPR hide caption

ISTANBUL — In Turkey, gold is far more than a decorative accessory. It is gifted throughout life's major milestones and stashed safely at home—a time-honored practice designed to protect savings against frequent currency devaluations and a volatile national economy.

However, Turkish officials and economists warn that this culture of gold hoarding is actively undermining the country's financial future.

At the bustling Mahmutpaşa Yokuşu market in the heart of Istanbul, store owners call out their wares while shoppers dart between stalls, snapping up everything from kitchen gadgets and blankets to elaborate wedding dresses.

Locals and visitors shop for traditional wedding items at the historic Mahmutpaşa Bazaar, next to the Grand Bazaar in Fatih, Istanbul, Turkey, on Aug. 26, 2026.

Mahmutpaşa is one of Istanbul's largest shopping areas and is known for its wide range of wedding goods, from bridal dresses and tuxedos to rugs and household items. Many people still come here to prepare for their weddings because of its affordable prices and wide selection. Emre Çaylak for NPR hide caption

Among them is Nefise Asker, a 23-year-old bride-to-be searching for the perfect outfit for her upcoming wedding photoshoot—one of six outfits she plans to wear over a multi-day celebration this September. Like many Turkish brides, Asker is eager to receive the traditional staple of Turkish wedding gifts: gold.