Eximbank secures record $1 billion syndicated loan

ISTANBUL

The state-owned export credit bank Türk Eximbank has announced that it inked a deal for a $1 billion syndicated loan.

This marked the largest syndicated loan Eximbank has ever secured to date, it said in a statement.

The transaction was coordinated by MUFG Bank Ltd, Abu Dhabi Commercial Bank and ICBC Turkey, with MUFG Bank Ltd and Sumitomo Mitsui Banking Corporation serving as sustainability coordinators.

Eximbank said 33 international financial institutions from Europe, the Far East and the Gulf region participated in the syndicated loan, including nine new institutions, renewing the previous loan at 145 percent.

The financing was provided in three different currencies with maturities of one, two and three years: 499.5 million euros, $246 million dollars, and 1.34 billion Chinese yuan.

The funds will be used in line with strategic goals, such as increasing access to finance for women entrepreneur SMEs operating in regions with low per capita income and providing special financial support to SMEs exporting green products.

The cost decreased by 90 basis points compared to last year's syndicated loan, commented Eximbank General Manager Ali Güney.

“For the first time in nine years, a three-year maturity loan tranche was included in this transaction,” he said, adding that they have secured a total of $3.9 billion in international funding since the start of the year.