Hafize Gaye Erkan, the former governor of Turkey’s central bank, has joined Canada-based financial and insurance holding Fairfax Financial Holdings after leaving her post in Ankara following a brief and controversial tenure.
Fairfax CEO Prem Watsa said in his annual letter to investors dated March 7 that Erkan joined the company toward the end of 2025 as president of banking and fintech investments, according to Bloomberg.
In her new role, Erkan will oversee Fairfax’s banking operations and help develop the company’s investments in the fintech and insurtech sectors.
“She has a wealth of knowledge of the banking sector through senior positions at Goldman Sachs & Co, Co-CEO and President of First Republic Bank and most recently as Governor of the Central Bank of Turkey. Hafize will initially provide oversight to our banking operations and assist with developing opportunities in the Insurtech space. A big welcome to Hafize,” the letter says.
Her appointment marks a return to international finance after a turbulent period at Turkey’s central bank.
Eight-month tenure at central bank
Erkan was appointed governor of the central bank June 2023, becoming the institution’s first female chief. Her tenure, however, lasted less than a year.
She served from June 9, 2023, to February 2, 2024, stepping down after about eight months.
Under a legal regulation introduced in 2021, senior officials dismissed from institutions such as the central bank and the Banking Regulation and Supervision Agency (BDDK) continue receiving the same salary as their counterparts still in office for two years. As a result, Erkan reportedly continued to receive her salary until last month.
During her time at the bank, both economic policy decisions and internal controversies kept the institution in the public spotlight.
One of Erkan’s most widely discussed public remarks came in a December 2023 interview in which she said she had struggled to find affordable housing in İstanbul due to soaring rents and had temporarily moved in with her parents.
The comments drew widespread attention and became a talking point in debates about Turkey’s cost-of-living crisis and soaring inflation.
Allegations of family influence
A new controversy emerged in January 2024 when some former employees alleged that Erkan’s father had interfered in the central bank’s internal operations and exerted influence over staff.
Among the claims were allegations that he had confronted a bank employee.
The allegations were widely reported in the Turkish media but were not confirmed through any official investigation.
Erdoğan dismissed claims
President Recep Tayyip Erdoğan publicly defended Erkan at the time, describing reports suggesting family interference in the central bank’s operations as “unbelievable gossip.”
Despite Erdoğan’s backing, the controversy increased pressure on the central bank’s leadership.
On February 2, 2024, Erkan announced that she had asked to be relieved of her duties, saying she and her family had been subjected to a “character assassination campaign.”
Her resignation took effect the following day with a presidential decree.
After leaving the central bank, Erkan remained largely out of the public eye for months.