Turkey’s Vakifbank has raised a US$750mn one-year loan via 25 banks from 12 countries.

The facility consists of a US dollar tranche and a euro tranche. It has an all-in cost of 77 basis points over Libor for the US tranche and 77bp over Euribor for the euro tranche. The pricing is over 40bp higher than its previous syndicated loan.

The facility is a roll-over of a syndicated US$700mn loan signed in 2007, plus an increase of US$50mn. It will be used to fund pre-export finance and support Turkish exports, particularly those from the SME sector. Vakifbank's CEO Bilal Karaman comments: "Despite the ongoing financial turmoil in global markets; we, as Vakifbank, raised US$750mn. The roll-over of US$700mn syndicated loan in 2007 with an increase of US$50mn with participation of 25 banks from 12 countries is an indicator of continuing trust to potential and bright prospects of both Turkey and Vakifbank.

“We will increase our support to industry with this new loan secured for pre-export finance and contribute Turkish exports especially through SMEs."