TSKB obtains US$ 250 mln World Bank loan

Industrial Development Bank of Turkey (TSKB) obtained a US$ 250 million equivalent loan from the World Bank for the Innovative Access to Finance Project. The loan will be intermediated by TSKB through participation banks and factoring companies targeting SMEs and exporting enterprises.

Industrial Development Bank of Turkey (TSKB) and the World Bank signed the loan agreement on August 22, 2014 for the “Innovative Access to Finance Project” to be implemented by TSKB. TSKB will be intermediating the US$ 250 million equivalent financing which is the first World Bank loan in Turkey to be used for on-lending to and financing participation banks and factoring companies.

TSKB intends to extend financing to the small and medium sized enterprises and medium sized exporting enterprises through participation banks and factoring firms with the World Bank loan obtained under the guarantee of the Turkish Treasury. The US$ 250 million loan approved by the World Bank’s Board of Directors for the Innovative Access to Finance Project represents TSKB’s sustainable relations with international financial institutions and its global reliability. CEO of TSKB, Mr. Özcan Türkakın, noted at the signing ceremony of the loan agreement: “With the previous World Bank loans we had obtained for whole-sale banking, we have been funding the real sector through commercial banks and financial leasing companies. ‘The Innovative Access to Finance Project loan is of particular importance for being the first to be on-lent to participation banks and factoring companies.”