- €50 million loan to expand access to finance for Turkish businesses
- EBRD promotes leasing as a tool to address financing needs of Turkish enterprises
- €10 million syndicated under EBRD’s A/B loan structure
Turkey’s micro, small and medium-sized enterprises (MSMEs) are to benefit from greater access to finance as the EBRD is extending a new loan to QNB Finansleasing, a leasing subsidiary of the Turkish lender QNB Finansbank.
The Bank is providing a syndicated loan of €50 million, of which €10 million will be syndicated under the EBRD’s A/B loan structure. The financing follows a previous loan of €25 million extended in 2018 and comes as medium-term lending in Turkey remains constrained by economic vulnerabilities. The loan will help strengthen the financial sector in the country and contribute to the wider proliferation of leasing.
Although often a viable alternative to bank financing, the share of the Turkish leasing market in the country’s GDP is one of the lowest among comparable economies.
The EBRD is a major investor in Turkey. Since 2009 it has invested €11.5 billion in various sectors of the Turkish economy, with almost all investment made in the private sector.