Turkish tram maker gets €10M development bank loan

By Muhammed Ali Gurtas

ANKARA (AA) - The European Bank for Reconstruction and Development (EBRD) is providing €10 million (around $10.5 million) in financing to a Turkish producer of transportation vehicles, the EBRD said Wednesday.

The EBRD said the loan agreement with Ankara-based Bozankaya, which specializes in designing and manufacturing trams, electric buses, and metros, was considered a move to strengthen the integration of the local economy with global markets.

"Bozankaya has partnered with Siemens, the largest manufacturing and electronics company in Europe, to produce 22 four-wagon metro trains for Bangkok, the capital of Thailand," the bank said, adding:

"The EBRD loan will finance the capital expenditure needed to fulfil this order".

Bozankaya will manufacture the metro cars at its Ankara plant and will be investing in a robotic automated welding machine and a new facility to be able to expand production, the bank said.

"Bozankaya is a pioneer in Turkey when it comes to environmentally friendly electric buses and trams. Now this partnership with Siemens is taking it to a new level," said Jean-Patrick Marquet, EBRD managing director for Turkey.

Marquet also stressed that not only Bozankaya but also the entire Turkish manufacturing sector would benefit enormously from the know-how that Siemens is bringing to this joint undertaking.

Aytunc Gunay Bozankaya, head of the company, underlined the company's high-level capabilities in manufacturing and designing and said:

"With this new landmark partnership with Siemens, and with the support of the EBRD, we will be flying the flag for Turkish engineering across the world.”

The EBRD, which operates from three offices in the cities of Istanbul, Ankara, Gaziantep, has been investing in the country since 2009.

In mid-January, the EBRD announced it invested more than €8.57 billion ($9.15 billion) in 207 projects over the past eight years in Turkey, which is a top destination for the bank’s finance.