EBRD to extend €100mn loan to ING Turkey

By Akin Nazli in Belgrade November 24, 2023

The European Bank for Reconstruction and Development (EBRD) has extended a €100mn loan to ING Turkey, a unit of ING Bank (Amsterdam/INGA), the development bank said on November 23.

The EBRD will directly provide €95mn while its Clean Technology Fund (CTF) is to contribute with $5mn.

ING Turkey will use €80mn and $5mn of the facility to extend loans for green investments under its €520mn Green Economy Financing Facility (GEFF).

The remaining €15mn will be used to extend loans to women-led small and medium sized enterprises (SMEs) under its €600mn Turkey Women in Business II (TurWib II) programme.

The GEFF, launched in November 2021, builds on the Turkey Sustainable Energy Financing Facility (TurSEFF), launched in 2010.

In March, the EBRD approved a loan of up to €5mn for ING Leasing, or ING Finansal Kiralama, under the GEFF.

ING Leasing, launched in 2010 by ING Turkey, is the 10th largest leasing company in Turkey. 

There are 21 leasing companies in Turkey, mainly owned by local banks. The combined transaction volume of the industry was up 2% y/y to $4.1bn in 2022.

In line with local peers, ING Turkey, the 13th largest bank in Turkey, with Turkish lira (TRY) 145bn ($5bn) of assets at end-September, has a B-/Stable (one notch below Turkey’s sovereign rating and six notches below investment grade) from Fitch Ratings.

The EBRD is the largest single-entity creditor and institutional investor in Turkey. Since 2009, it has invested €19bn in the country. Its outstanding Turkey portfolio valued at €7bn is the largest country portfolio the EBRD has in terms of the 38 economies in which the bank invests.

In 2022, the development bank invested a total of €1.6bn in Turkey. As a result, Turkey was the lender's top investment destination for the third year running.

Related Articles

Shadowy Russia firm reportedly switches 60% stake in Uzbek gas storage facility to Hong Kong entity as Tashkent reacts to sanctions jitters

A shadowy Russian company has transferred its controlling stake in Uzbekistan's largest underground gas storage facility to a Hong Kong-registered holding company as Tashkent moves to prevent ... more

Four Czechs on Kyrgyzstan skiing holiday killed in avalanches

Four Czech citizens on a skiing holiday were killed in avalanches that occurred in Kyrgyzstan's northern district of Ak-Suu over the weekend, according to the Issyk-Kul regional police department. ... more

TSX-listed Condor Energies secures contract to boost natural gas production and cut emissions in Uzbekistan

TSX-listed Condor Energies has announced a contract with the government of Uzbekistan to enhance production at eight natural gas-condensate fields. The project aims to boost the country's domestic ... more