European bank backs Turkish firms against pandemic

ANKARA

The European Bank for Reconstruction and Development (EBRD) has announced a credit package of up to $25 million for Turkish private lender Alternatif Bank for on-lending to small and medium-sized enterprises (SMEs) and firms affected by the coronavirus pandemic.

Arvid Tuerkner, the bank's managing director for Turkey, said the EBRD has already extended €1 billion ($1.18 billion) loan facilities to local Turkish firms in 2020 so far.

''The new loan will enable Alternatif Bank to continue lending to Turkish businesses, and help counter the virus fallout on the economy," he said.

The International Finance Corporation will also provide a similar-sized loan for SMEs, the EBRD said in a statement.

Kaan Gur, the Alternatif Bank CEO, said: ''We will make a significant contribution to the development of the Turkish private sector.”

The EBRD is a major investor in Turkey, with total investments of around €12.5 billion since 2009 through more than 300 projects in various sectors.

Founded in 1991, Alternatif Bank is fully owned by The Commercial Bank of Qatar.