TKYB and the World Bank Sign USD 500 Million Agreement to Support Earthquake-Affected Regions

Having worked for Türkiye’s sustainable development and growth for half a century, Development and Investment Bank of Türkiye added another agreement to the financing arrangements it has signed with international financial institutions in numerous areas including renewable energy and energy efficiency, infrastructure, climate finance, food security, emissions reduction and battery storage. The USD 500 million financing provided by the World Bank under a repayment guarantee from the Republic of Türkiye Ministry of Treasury and Finance aims to provide long-term financing to SMEs and large enterprises operating in the earthquake-affected region in order to preserve employment and create additional jobs. Following the successful completion of the first Formal Employment Creation Project signed in 2020, the new funding under the same theme will be available to 11 earthquake-affected provinces—Adana, Adıyaman, Diyarbakır, Elazığ, Gaziantep, Hatay, Kahramanmaraş, Kilis, Malatya, Osmaniye and Şanlıurfa—and seven neighbouring provinces: Batman, Bingöl, Kayseri, Mardin, Niğde, Sivas and Tunceli.

Commenting on the project, Kerem Dönmez, Director General of Foreign Economic Relations at the Republic of Türkiye Ministry of Treasury and Finance, said: “Following the February 2023 earthquakes, as the Ministry we have prioritised efforts that will reduce the adverse effects of the disaster on the regional economy and support our real sector. We believe this project, which will be implemented with World Bank financing, will make a significant contribution to preserving employment and creating additional jobs in the region. In line with our development objectives, we pursue cooperation with international organisations across all areas of the economy. As part of this cooperation, we will continue our efforts to reduce disaster risks, rebuild the earthquake-affected region and support the regional economy.”

World Bank Country Director for Türkiye Humberto Lopez said: “The World Bank has stood alongside Türkiye since the earthquakes occurred and has shared its international experience in disaster-risk management and reconstruction. This project is a very important step towards rebuilding local economies and providing much-needed employment opportunities in the formal sector.”

Commenting on the agreement, TKYB CEO İbrahim Öztop said: “In the year in which we celebrate our 50th anniversary as Türkiye’s development bank, we have added another agreement with international financial institutions in support of our country’s economic and social development. Following the earthquake disaster, healing the region’s wounds and revitalising it are of great importance. Through this new USD 500 million financing agreement signed with the World Bank, we aim to mitigate the effects of the disaster, promote long-term development and increase employment in the region by meeting local companies’ investment and working-capital needs. I hope the resource provided will be beneficial to our country’s economy.”