The signatures of three loan agreements worth EUR 885 million with the Undersecretariat of Treasury and a number of its long-standing banking partners mark a milestone for the EIB's lending activity in Turkey.

First, a EUR 335m facility has been signed with the Treasury, in support of public sector research activities. The facility will part-finance R&D activities performed by academic staff of the top 15 public universities in Turkey as well as the investments in scientific instruments and equipment required in all of the public universities of Turkey over the period 2008-2010.

Two further facilities have been put in place with some of EIB’s long-standing banking partners in support of their SME lending.

An EIB Loan for SMEs was concluded with TSKB, TKB and Vakifbank for a total amount of EUR 400m. TSKB is Turkey’s largest private development and investment bank in SME financing. TKB is the state development bank whose primary objectives include the provision of financing to the less developed regions of Turkey. Vakifbank is one of the leading banks in Turkey with an extensive nationwide coverage through its 529 local branches.

The EIB also entered into a loan agreement in support of SME lending with Halkbank, signing a first EUR 150m tranche of a total facility of EUR 300m. Halkbank is one of the most prominent SME banks in Turkey with a particularly strong reach at the level of the smaller enterprises.