EBRD invests in innovation in Turkey
ANKARA – Anadolu Agency
REUTERS PhotoThe European Bank for Reconstruction and Development (EBRD) has been investing in Turkish companies’ innovative works to help them become more competitive in the global market, said EBRD President Sir Suma Chakrabarti on Feb. 20 during his Turkey visit.
He said the bank has invested in the R&D works of many Turkish companies, including Ford Otosan, Türk Traktör and Vestel, to help them become competitive in the international market and the EBRD will continue to provide funds for the country’s innovative companies.
Chakrabarti said Turkey has great export potential in diverse sectors and goods.
“Turkey has great potential. The question is how Turkey will achieve this potential. The key of success is developing products for exports with higher added value. This requires more energy productivity investments, higher corporate management standards and more investments in innovation,” he said.
He also pointed out significant potential for the country’s agricultural sector.
“We have learned that long term loans are very limited for small- and medium-scaled enterprises (SMEs). The EBRD provides some agricultural SMEs with our partnering banks. For instance, we provided around $127 million of loans to Turkey’s İş Bank to support the country’s SMEs,” he said.
He added the EBRD is working to create more competitive and sustainable financing mechanisms for the country’s farmers in cooperation with the Ministry of Agriculture.
The EBRD, established initially to help Central and Eastern Europe, as well as the former Soviet Union countries, to develop well-functioning market economies, began investing in Turkey in 2009. It currently operates from offices in Istanbul, Ankara and Gaziantep.
In 2014, Turkey became the leading recipient country of the EBRD, with new investments worth 1.4 billion euros.
In six years, the EBRD has invested over 5 billion euros in Turkey over 140 projects in infrastructure, energy, agribusiness, industry and finance. It has also mobilized over 12 billion euros for these ventures from other sources of financing.