The European Bank for Reconstruction and Development (EBRD) has launched a US$50mn trade facility for Turkey’s Șekerbank under its trade facilitation programme (TFP).
The EBRD will issue guarantees in favour of banks covering the political and payment risks of Șekerbank’s transactions, as the Turkish lender becomes the country’s first issuing bank under the TFP.
“This new facility will not only strengthen our mutual relationship, but will help us to expand our ability to serve our clients active in international trade finance,” says executive vice-president at Șekerbank, Zeki Onder. “We have been building our relationship with the EBRD over the past years with the different products it provides to the Turkish market.”
Șekerbank becomes Turkey’s first issuing bank under the TFP.
Șekerbank became a confirming bank for the EBRD in Turkey in 2003. According to a statement from the EBRD, the bank focusses on lending to SMEs and the agricultural sector, including to the under-developed south east of the country.
“Under the trade finance facility, the EBRD will help Șekerbank to support its local clients which will strengthen Turkey’s international trade flows,” says country director for Turkey at the EBRD, Michael Davey.