A Proposal for a “Helalleşme (Reconciliation) Index” for Financial Disputes

At the “2nd Savings and Waste Symposium” organized by Üsküdar University, Instructor Durmuş Baysal, who presented a paper prepared by Iskenderun Technical University, proposed an innovative approach to financial disputes based on a “Helalleşme (Reconciliation) Index.”

In the presentation, attention was drawn to the concept of the “Reconciliation Index,” which is aimed to be introduced into the academic literature. It was stated that the understanding of helalleşme, deeply rooted in our ancient culture and civilization, could be conceptualized in the form of a measurable index within modern economic and legal literature.

Emphasizing that the mediation process represents an institutionalized form of the helalleşme culture, it was noted that the proposed Reconciliation (Helalleşme) Index would provide a technical and objective foundation for mediation practices.

In the symposium organized by Üsküdar University in memory of the late Prof. Ersin Nazif Gürdoğan under the theme “From Waste to Efficiency,” it was emphasized that financial disputes cause not only individual but also societal level waste of resources.

Supported by important stakeholders such as Üsküdar University Faculty of Health Sciences, the Turkish Foundation for Waste Reduction (TİSVA), Istanbul University Faculty of Economics, and Iskenderun Technical University, the event was held at the Ibn Sina Auditorium of the NP Health Campus in Ümraniye. Within this scope, a presentation titled “The Reconciliation Index in the Resolution of Financial Disputes: An Innovative Approach from Waste to Efficiency” was delivered.

As part of the study titled “The Reconciliation Index in the Resolution of Financial Disputes,” conducted by Iskenderun Technical University Rector Prof. Mehmet Duruel, Prof. Nazif Çalış, and Instructor Durmuş Baysal from the Department of Economics and Finance, the following statements were highlighted:

Waste is not merely spending, but a departure from discipline…

It was stated that the concept of waste should not be understood solely as excessive spending, but rather as exceeding the boundaries of legitimate, reasonable, and moderate behavior, and moving away from disciplined resource use. In this context, it was emphasized that inefficient use of physical and human resources in modern societies creates significant costs that reduce social welfare. It was noted that disputes between debtors and creditors generate not only direct costs such as litigation processes, enforcement expenses, and expert fees, but also indirect costs including loss of reputation, disruptions in commercial activities, and social tensions. It was stated that resolving such disputes in a swift and fair manner would contribute to directing public resources toward more efficient areas. The presentation also detailed the proposal to transform Anatolia’s ancient helalleşme culture into a financial indicator, stating that the Reconciliation (Helalleşme) Index to be developed would enable the parties to evaluate the real changes in monetary values over time in a more equitable manner.

The index should be based on a multidimensional portfolio, not only inflation…

It was stated that the index should not rely solely on inflation indicators, but rather on a portfolio consisting of multidimensional indicators such as gold prices, the real effective exchange rate, the deflator, the Consumer Price Index (CPI), the minimum wage, the housing price index, and Brent crude oil prices. This approach was emphasized as offering a more just and equity based alternative in cases where default interest is insufficient.

From Anatolia’s ancient helalleşme culture to reconciliation…

Within the scope of the proposal to transform Anatolia’s ancient helalleşme culture into a financial indicator, the concept of the “Reconciliation Index (Helalleşme / Reconciliation Index),” which is intended to be introduced into the literature, was elaborated. In this framework, it was emphasized that the consensus based approach described as the helalleşme culture in our ancient culture and civilization could be conceptualized in today’s literature in the form of a Reconciliation (Helalleşme) Index. It was stated that establishing such an index would allow parties to evaluate the real changes in the monetary values subject to dispute over time in a more just and equitable manner.

The Constitutional Court decision and the index…

Referring to legal developments, attention was drawn to the Constitutional Court’s decision dated July 8, 2025, and it was stated that the proposed index approach aligns with current legal needs. In this context, it was recalled that the Constitutional Court determined that high inflation erodes the real value of receivables and ruled that the Grand National Assembly of Türkiye must enact a legal regulation to protect the real value of receivables within six months. It was emphasized that the Reconciliation Index approach could make a significant contribution to these efforts as an innovative solution alternative that both reflects economic reality and strengthens the perception of social justice.

An integrated model with mediation

It was stated that integrating the proposed model with the existing mediation system would increase efficiency, and it was emphasized that the mediation process represents an institutionalized form of the helalleşme culture. In this framework, it was noted that the Reconciliation Index to be developed would provide a technical and objective infrastructure for the mediation process. It was stated that this transparent mechanism would strengthen the perception of justice and contribute to reducing social risks such as violence, domestic unrest, and loss of social trust.

The Reconciliation (Helalleşme) Index will provide a technical and objective foundation for the mediation process

It was emphasized that the consensus based approach referred to as the “helalleşme culture” in our ancient culture and civilization meets on common ground with both the Reconciliation (Helalleşme) Index and modern mediation practices in today’s literature. The evaluations were concluded with the following statements: “Mediation can be considered an institutionalized and legally framed form of the helalleşme culture, as it is a process aimed at reaching a solution based on mutual consent and goodwill between the parties. In this context, a Reconciliation (Helalleşme) Index to be developed may provide a technical and objective foundation for the mediation process, enabling a more transparent and fair evaluation of the real changes in the monetary values subject to dispute over time. Thus, both the traditional understanding of helalleşme and modern mediation practices will be integrated within a measurable and comparable framework. Indeed, the institution of mediation stands out as an important mechanism that reduces waste and increases efficiency both economically and socially in the resolution of financial disputes. The Reconciliation Index approach serves to strengthen the culture of consensus at both economic and social levels, while establishing a direct bridge between the principle of efficiency and the traditional understanding of reconciliation. Finally, it was assessed that integrating the Reconciliation (Helalleşme) Index with the existing mediation system would strengthen the perception of justice, increase social trust, and reduce the economic and social waste arising from financial disputes.

The practical implementation of this approach has been made accessible via the website https://www.helallesmeendeksi.com, allowing interested parties to obtain applied information on the subject.”