European bank lends $170M to Turkish firm Arcelik

By Tuba Sahin

ANKARA (AA) - The European Bank for Reconstruction and Development (EBRD) lent Turkish lira equivalent of €150 million (some $170 million) to Turkey's white goods manufacturer Arcelik.

Arcelik will use loan of almost 1 billion Turkish lira to finance development and manufacturing of more energy-saving home appliances, according to a statement from the EBRD on Friday.

The company plans to bring all research and development activities under one roof in a new state-of-the-art R&D center.

Progress in this field will strengthen the export potential of Arcelik.

"The support of an international financial institution such as the EBRD is a sign of recognition of our strong and sustainable business in Turkey as well as of our global ambitions," Arcelik’s Chief Financial Officer Polat Sen said.

Arvid Tuerkner, EBRD managing director for Turkey, said as Arcelik continues to innovate, the bank is delighted to provide financing and become part of the company’s success.

Founded in 1955, electronics and appliances manufacturer Arcelik exports to nearly 150 countries with 30,000 employees.

Since 2009, the EBRD has invested nearly €11 billion (approximately $13 billion) in Turkey -- a top destination for the bank’s finance -- through more than 280 projects.