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Record financing from the UK to Turkey: Loan of €2.3 billion to Turkish Government

England provided a loan of €2.1 billion for the 503-kilometer Ankara-Izmir electric high-speed train line. This transaction is the country’s largest ever infrastructure financing.

The UK will provide Turkey with the largest infrastructure financing ever made. Within the framework of the agreement reached between the UK Government and Turkey, it was accepted to give a loan of €2.1 billion to the Turkish Government for the construction of the 503 km long Ankara-Izmir electric high-speed train line. This support of the UK Government to Turkey was announced by the UK Minister of International Trade Anne-Marie Trevelyan and the Minister of Treasury and Finance Nureddin Nebati at the UK-Turkey Green Finance Conference held in London. This highest-value sustainable infrastructure financing agreement by the UK’s official Export Credit Agency (UKEF) to date will contribute to the financing of a new electric high-speed train line for low-carbon travel in Turkey. The structuring and coordination of the banks performing the transaction are undertaken by Credit Suisse and Standard Chartered Bank.

A FIRST AFTER 160 YEARS

This project will be the first support given by the UK to railway works in Turkey after more than 160 years. Nureddin Nebati, Minister of Treasury and Finance, said, “During this project, we placed the highest emphasis on environmental and social procedures. We are very pleased with our cooperation and strong and deep-rooted relations with the UK Government.”

TURKEY IS A VITAL PARTNER

International Trade Minister Anne-Marie Trevelyan said: “Turkey is a vital trading partner for the UK. Our shared global outlook on free trade and the environment is the driving force behind our economic growth. This contract, which is the largest construction infrastructure financing contract that UKEF has ever signed, also has a strong sustainability dimension.”

Source: Sabah / Translated by Irem Yildiz

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