Türk Eximbank, UKEF to jointly finance defense projects in third Countries

ISTANBUL  

Türk Eximbank and U.K. Export Finance, the U.K. government’s export credit agency (UKEF), have signed a new memorandum of understanding.

The MoU aims to pave the way for both parties to jointly secure finance for defense projects in third countries, involving exports from the U.K. and Türkiye, Türk Eximbank said in a statement.

Both institutions have previously signed an MoU, as well as a comprehensive reinsurance agreement in 2017, under which energy and highway projects have been jointly financed.

With respect to the projects related to the MoU, Türk Eximbank and UKEF may also cooperate under the mechanism foreseen in the reinsurance agreement, added the statement.

Any financing arrangement that may arise from the MoU must be fully in line with both sides’ international liabilities and subject to OECD rules and regulations, it said.

Under the agreement, the parties also plan to engage in mutual information sharing, provide expertise support and advisory services, and hold meetings and consultations.

Ali Güney, CEO of Türk Eximbank, said that UKEF has long been one of Turkish Eximbank’s key partners and that the memorandum of understanding will further strengthen the already solid ties between the two institutions.