European bank boosts Turkish lira financing in 2018

By Tuba Sahin</p> <p>ANKARA (AA) – The European Bank for Reconstruction and Development (EBRD) in 2018 stepped up Turkish lira financing in Turkey to a record €331 million (some $390 million) through 13 transactions with Turkish companies. </p> <p>That was up from €228.8 million ($258.5 million) in 2017, according to a statement from the bank on Thursday.</p> <p>&quot;The EBRD increased its support for local currency financing in Turkey to a third of its total investment in the country in 2018, a particularly challenging year when an economic slowdown and a dramatic currency depreciation affected many private sector companies,&quot; the statement read. </p> <p>The bank invested €1 billion (some $1.18 billion) in Turkey through 34 projects.</p> <p>According to the statement, more than half of the EBRD's investment last year in Turkey was in support of sustainable use of energy. </p> <p>Arvid Tuerkner, EBRD managing director for Turkey, said deepening local capital and currency markets through investments and support for reforms remains among the bank's top priorities in the country. </p> <p>“At a time of high volatility in the lira, the right financing mix, including local currency financing, is critical for Turkish companies,&quot; Tuerkner said.</p> <p>Since 2009, the EBRD has invested over €11 billion in various sectors of the Turkish economy, with almost all investment in the private sector.</p> <p>The bank's €7 billion (some $8 billion) Turkey portfolio is the largest among 38 economies where the bank invests, it said.