ISTANBUL — VakıfBank has secured €1.5 billion in external financing with a 10-year maturity, backed by a partial guarantee from the World Bank Group, according to a statement from the bank.
The financing, supported by the International Bank for Reconstruction and Development (IBRD), aims to promote financial inclusion and expand access to funding, particularly for women, young people, and small and medium-sized enterprises (SMEs).
Under the program, the funds are expected to support initiatives that could create or improve employment conditions for around 800,000 women and young people, while also strengthening access to finance for micro, small, and medium-sized businesses. The financing is also intended to contribute to economic recovery efforts in regions affected by earthquakes.
The agreement has been approved by the executive board of the World Bank. The transaction represents the largest funding deal carried out with international development institutions in the Turkish banking sector, as well as the largest financing agreement signed by the World Bank with a single financial institution in Türkiye.
Speaking on the development, VakıfBank CEO Abdi Serdar Üstünsalih said the new funding marks an important milestone in the bank’s cooperation with the World Bank, which began in 2010.
He added that the transaction demonstrates growing confidence in Türkiye’s economy and VakıfBank’s standing among international development institutions, and described the agreement as a strategic step that will further deepen cooperation between the two institutions.
The financing will be directed toward projects that support employment, enhance financial inclusion, and improve financing opportunities for businesses across Türkiye.
Source: Anadolu Ajansı/ Prepared by: İlayda Gök