TSKB became the first financial intermediary to borrow on-lending facility from AIIB to finance private sector investments

28 September 2018
- 4 min Read

The Industrial Development Bank of Turkey (TSKB) borrowed a loan up to USD 200 million from AIIB. Borrowed under the repayment guarantee of the Ministry of Treasury and Finance, the loan will be extended for the financing of renewable energy, energy efficiency, transportation, energy transmission, waste water management and telecommunication investments by private firms all around Turkey.

Reminding that 68 percent of TSKB's loan portfolio is composed of sustainability investments, TSKB CEO Suat İnce expressed their pleasure in supporting investments in this area through this new loan amounting to USD 200 million.

İnce reinforced, "Sustainable energy and infrastructure investments are of utmost importance for our country in terms of both combating climate change and reducing dependence on foreign energy resources. Thus, at TSKB, we prioritize renewable energy, energy efficiency and infrastructure investments. Since 2002, we have provided financing for 245 renewable energy and 78 energy efficiency projects in this field through medium and long-term funds."

Suat İnce: "Turkey is still an environment of trust for new investments"

Underlining the fact that the loan borrowed from AIIB, which was established in 2016 so as to support sustainable infrastructure projects in Asia and has provided direct financing to investments in its members, is the first on-lending facility in the world, İnce said, "We would like to offer our endless thanks to the Ministry of Treasury and Finance of Turkey for their key support in this pioneering step and to the AIIB for their valuable cooperation in our development journey. This loan also looms large as it points to the Turkish economy and the environment of trust. The Turkish economy maintains the proper environment for a myriad of investments due to its robust structure. We also continue to assist the economy and private sector through our financial supports. We take pride in bringing this source of financing into our country. We will go on prioritizing inclusive development and sustainability loans in the upcoming period".