The European Bank for Reconstruction and Development (EBRD) is continuing to boost Turkey’s Anatolian region by providing €3.7 million as loan to Kivanc Tekstil, a leading producer of clothing fabrics and yarn, based in the city of Adana, in southern Turkey.
According to a statement issued by EBRD, financing will allow Kivanc Tekstil to purchase more than 50 weaving machines to expand its operations.
Mike Davey, EBRD Director for Turkey, said the bank was impressed by the tight-knit family-owned company, which operates in the highly-competitive global textile market in a challenging economic environment.
The EBRD believes that the success of Kivanc Tekstil would set an example for other companies in Adana and beyond, he added.
The EBRD loan comes under the Local Enterprise Facility, a €400 million facility for business investment in Turkey, the Balkans (Albania, Bosnia and Herzegovina, Bulgaria, Croatia, FYR Macedonia, Kosovo, Montenegro, Romania and Serbia), and the southern and eastern Mediterranean (SEMED) region (Egypt, Jordan, Morocco and Tunisia).
The facility provides a wide range of flexible financial products, including equity, quasi-equity and debt financing to address the needs of companies.
Increasing support for small and medium sized enterprises is one of the ways in which the EBRD is aiming to boost growth in Turkey, and since the start of its operations there in 2009 the Bank has invested more than €3 billion in the country.
Last year, Turkey became EBRD’s second largest country of operations by annual business volume, with €1 billion of new investments in 2012 alone.
Fibre2fashion News Desk - India