- Loan of US$ 25 million to support entrepreneurs amid coronavirus pandemic
- Financing to support companies affected by economic impact of crisis
- Funds will boost resilience of Turkey’s financial sector
The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to US$ 25 million (€22.5 million) to Alternatif Bank for on-lending to small and medium-sized enterprises (SMEs) and corporates affected by the economic impact of the coronavirus pandemic.
In parallel, the International Finance Corporation is providing a similar-sized loan.
Arvid Tuerkner, EBRD Managing Director for Turkey, said: “The EBRD has responded rapidly to the needs of local companies with investments in Turkey already exceeding €1 billion this year to date. The new loan will enable Alternatif Bank to continue lending to Turkish businesses and will help to counter the impact of the coronavirus outbreak on the economy.”
Kaan Gür, Alternatif Bank CEO, commented: “We will channel US$ 50 million in loans from the EBRD and IFC to SMEs impacted by the pandemic and make a significant contribution to the development of the Turkish private sector.”
Founded in 1991, Alternatif Bank is 100 per cent owned by Commercial Bank of Qatar, the third-largest bank in Qatar.
The EBRD is a major investor in Turkey. Since 2009, the Bank has invested almost €12.5 billion in various sectors of the country’s economy, with almost all investment being in the private sector. The EBRD’s €6.7 billion Turkey portfolio is the largest among the 38 economies where the Bank invests.