- OFID supports Turkey’s international trade financing through Şekerbank
OFID supports Turkey’s international trade financing through Şekerbank
Vienna, Austria, January 12, 2016. OFID has participated in a syndicated financing facility of a US$115m, to be provided in multicurrency, for the Turkey-based Şekerbank Turk Anonim Sirketi. The facility, arranged by Dutch Development Bank FMO and Korea Development Bank, will support Şekerbank in providing its clients with “green lines” to lend into energy efficiency and renewable energy projects, as well as supporting Turkish small- and medium-sized enterprises (SMEs) and businesses in cross-border trade activities.
OFID provided US$20m to this syndicated facility, which will be used by Şekerbank to support international trade financing-related services to its clients, which will in turn assist in employment generation and strengthen the country’s economic growth. The financing agreement was in December 2015 by OFID Director-General Suleiman J Al-Herbish and Halit Yildiz, General Manager and Zeki Önder, Executive Vice President, Şekerbank. It marks OFID’s first partnership with the bank. The tenor of this facility is for three years, with lump sum payment for the entire loan amount to be paid at the end of the maturity period.
Şekerbank was founded in 1953 with the small savings of hundreds of thousands of Anatolian sugar beet cooperative farmers with the aim of supporting rural development and the sugar industry. The bank has almost 300 branches, 11 regional offices across Turkey and one foreign representative. It was the first bank to enter the Borsa Istanbul Corporate Governance Index in Turkey.