EBRD to deploy supply-chain finance for Turkish firms

The EBRD is also planning to cooperate with other financial institutions to provide higher amounts of financing for Turkish firms, the bank said in a statement on Tuesday.

Furthermore, Turkey's treasury and finance ministry and the TaiwanBusiness-EBRD Technical Cooperation Fund will provide grants to firms for advisory services to improve digital capacity to participate in the technology-based financing tool.

“Due to the pandemic, supply chains are once again under pressure. Supply-chain finance can provide lower financing costs and improve business efficiency for buyers and sellers alike. For large firms, it is an opportunity to build more sustainable and resilient supply chains, and for SMEs it is a way to access affordable, stable and recurrent financing,” EBRD managing director for Turkey, Arvid Tuerkner, said.

Supply-chain finance is a cash-management arrangement under which suppliers are paid early and buyers can extend their payment terms.