Turkey to Launch Revolutionary “Citizenship Stipend” in June 2026

ISTANBUL – The Turkish government is finalizing a landmark social safety net program, colloquially known as the “Citizenship Stipend” (Universal Basic Income) , designed to consolidate existing welfare benefits into a single, unified income support system. Jointly developed by the Ministry of Family and Social Services, the Ministry of Labor and Social Security, and the Ministry of Treasury and Finance, the program aims to provide a guaranteed income floor for poor and low-income households.

Implementation Timeline and Target Groups

The initiative is scheduled for a pilot launch in June 2026 across selected provinces, followed by a gradual nationwide rollout. Legislative proposals are expected to be submitted to the Grand National Assembly of Turkey (TBMM) in the coming months.

The program specifically targets:

• Low-Income Households: Families whose monthly earnings fall below a designated threshold.

• The Elderly: Support tailored to the individual needs of Turkey’s growing elderly population.

• Low-Income Retirees: Specifically those receiving the minimum pension, who will be evaluated for permanent income support.

How the Stipend Works

The “Citizenship Stipend” operates as a “top-off” mechanism rather than a flat payment:

• The Income Floor: An annual income limit will be set, likely pegged to the poverty line or the minimum wage.

• The Gap Payment: The state will pay the difference between a family’s current earnings and the established minimum living amount. For example, if the threshold is 20,000 TL and a family earns 16,000 TL, the state will provide a 4,000 TL monthly stipend.

• Zero-Income Families: Those with no income will receive the full amount until employment is secured.

• Priority Zones: Initial rollout will prioritize provinces with the lowest per capita national income, earthquake-affected regions, and urban areas with high poverty density.

Analysis: The Fiscal Burden on the Treasury

While the government aims to consolidate existing welfare spending to streamline costs, the “Citizenship Stipend” represents a significant fiscal undertaking. To estimate the impact on the Treasury, we must look at the widening gap between the minimum wage and the poverty line.

The Cost of Closing the Gap

As of early 2026, the minimum wage serves as the primary income benchmark for millions. However, the poverty line (the amount needed for a family of four to live above the hunger and essential needs threshold) is significantly higher—often double or triple the minimum wage in high-inflation environments.

If the government sets the stipend threshold at the poverty line, the fiscal cost could be immense. However, early indicators suggest the threshold may be closer to the minimum wage to maintain fiscal discipline.

The Pensioner Factor

A critical cost driver is the inclusion of retirees. Currently, several million retirees in Turkey receive the lowest possible pension, which frequently lags behind the net minimum wage.

• The “Top-Off” Requirement: If the state commits to bridging the gap between the lowest pension and the minimum wage for millions of retirees, the monthly burden on the Treasury would run into the tens of billions of Lira.

• Beneficiary Pool: With an estimated 16 million retirees in Turkey, and a substantial percentage of those receiving “minimum” or “floor” payments, the inclusion of this group makes the “Citizenship Stipend” one of the largest redistributive policies in Turkish history.

Strategic Budgeting

To mitigate the cost, the government is expected to:

1. Consolidate Overlapping Aid: By merging various local and national aid programs, the Treasury hopes to eliminate administrative redundancies.

2. Focus on Regional Gradation: By starting with “pilot provinces” and earthquake zones, the initial fiscal impact in 2026 will be controlled before a full-scale 2027 rollout.