Sekerbank of Turkey has secured a USD-115-million (EUR 105.1m) multi-currency syndicated loan facility, part of which will go for green lines in support of energy efficiency and renewable energy projects.
The credit line was arranged by the Korea Development Bank (KDB) and Dutch development bank FMO, the latter said Monday. The proceeds will also be used by the Turkish financial institution to back local small and medium-sized enterprises (SMEs) and businesses in cross border trade activities, according to the statement.
The loan has a tenor of up to five years. FMO secured part of the financing through the ACTIAM FMO SME Finance Fund, whilst KDB underwrote the largest tranche of the facility. The OPEC Fund for International Development (OFID) also took part in the process.
This is the first syndicated loan in Turkey providing the local banking sector with up to three years of commercial funding combined with five years development finance institution (DFI) funding. “It should also be emphasized that this facility brought together the investors from Korea, Austria and the Netherlands to support sustainable development of our SME customers, their energy efficiency investments and foreign trade activities,” Sekerbank executive vice president, Zeki Onder, noted.