EBRD to offer new financing facilities to Turkey
Posted by meb at February 28th, 2008
The European Bank for Reconstruction and Development (EBRD), which is getting prepared to withdraw from the countries in central Europe, plans to make investments in Turkey in the upcoming period.
Until 2010, EBRD will cut its financial support to the 8 former Eastern Block countries which have become EU member states in 2004, sources said.
The bank, known as the “World Bank” of Europe, plans to intensify its activities and investments in Turkey after such date.
According to officials, EBRD will hold an annual meeting in Ukrainian capital of Kiev in May during which it will announce its expansion strategy for the next 4 years.
Turkey will be the main target of such strategy, sources said.
Meanwhile, during the talks to be held with Finance Ministers of EU member countries next week, EBRD officials are expected to reveal their plans aiming to include Turkey in the bank’s scope of operations.
While some EU members express their support regarding Turkey’s benefiting from EBRD’s financial and other operations, USA supports such cooperation as well.
The bank is expected to encourage foreign entrepreneurs to invest in the banking, tourism, media, energy, real estate, health, IT, agriculture and foodstuff sectors of Turkey and to participate in projects related to SMEs and infrastructure in the country.
Officials say the bank will also support projects aiming to facilitate Turkey’s EU adhesion process.
EBRD
The European Bank for Reconstruction and Development was established in 1991 when communism was crumbling in central and eastern Europe and ex-Soviet countries needed support to nurture a new private sector in a democratic environment. Today the EBRD uses the tools of investment to help build market economies and democracies in countries from central Europe to central Asia.
The EBRD is the largest single investor in the region and mobilises significant foreign direct investment beyond its own financing. It is owned by 61 countries and two intergovernmental institutions.
It provides project financing for banks, industries and businesses, both new ventures and investments in existing companies. It also works with publicly owned companies, to support privatisation, restructuring state-owned firms and improvement of municipal services.
source: The New Anatolian
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