greater anatolia guarantee facility
DESCRIPTION
This project is co-financed by the European Union and the Republic of Turkey. GREATER ANATOLIA GUARANTEE FACILITY. Presentation by the Eur opean Investment Bank Group 18 May 2011, Ankara. Agenda. Background, Structure and Targets Implementation: Q1 Results and Current Status. - PowerPoint PPT PresentationTRANSCRIPT
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GREATER ANATOLIA GUARANTEE FACILITY
Presentation by the European Investment Bank Group
18 May 2011, Ankara
This project is co-financed by the European Union and
the Republic of Turkey
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11 April 2011
Agenda
1. Background, Structure and Targets
2. Implementation:
Q1 Results and Current Status
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11 April 2011
Agenda
1. Background, Structure and Targets
2. Implementation:
Q1 Results and Current Status
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11 April 2011
Problem statement: disparity in regional development and access to finance of SMEs
• 25% of SMEs in the country• Representing 22% of employment generated by SMEs• Receiving only 10% of SME lending
NUTS II Regions having an income per capita above the 75% of Turkish national average
15 Growth Centres
NUTS II Regions having an income per capita below the 75% of Turkish national average
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GAGF as a means of addressing the problem
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EIB Greater Anatolia SME Loan Programme€250m
• A holistic programme designed for credit enhancement for SMEs and microenterprises in the Target Region
– Micro-credit guarantees: through counter-guarantee provided to KGF
– SME loan guarantees: through portfolio guarantees provided to five banks effectively linked to EIB lending
– Capacity building for key actors in implementation
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Pillar 1: Micro-Credit Guarantees
TargetEUR 37.5m / TRY 74.6m Credit Volume
1,500 Micro-enterprise
EIF KGFAll banks
in the Target Region
Counter-guarantee
Guarantee
Micro-enterprise
...............
...............
Micro-enterprise
Micro-enterprise
Micro-enterprise
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Pillar 2: SME Loan Guarantees
Target
2,500 SMEs
EIFGuarantee
SME
SME
SME
SME
...............
...............
Akbank
Denizbank
Halkbank
Yapı Kredi
Vakıfbank
EIBLoan
EUR 250 millionEIB Loan
+ EUR 250 millionBanks’ Resources
= EUR 500 millionCredit Volume
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Pillar 3: Capacity Building & Promotion
• Capacity building designed for key implementing partners to ensure effectiveness and sustainability– KGF, five banks and DGIT as end-recipient
• Promotion designed for increasing SMEs awareness of the Facility and visibility of stakeholders– EU, CFCU, MoIT, EIB Group, KGF, five banks
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Major Milestones
Official Launch of the Facility 16 July 2010
Signature of Agreements 22 October 2010
Completion of Internal Procedures by FIs June 2011
Kick-Start Promotion of the Facility
KGF Needs Assessment Results
June 2011
September 2011
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11 April 2011
Agenda
1. Background, Structure and Targets
2. Implementation:
Q1 Results and Current Status
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2011 Q1 Results
• Total Volume: TRY 102.2 million
(~ EUR 46.5 million)
• Total Number of Loans: 1022
• Total Number of SMEs: 978
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Volume – Regional Breakdown
TR-907%
TR-A24%
TR-C310%
TR-C210%
TR-C18%
TR-B23%
TR-B18%
TR-A13%
TR-8317%
TR-826%
TR-711%
TR-6313%
TR-A1 Erzurum, Erzincan, Bayburt
TR-A2 Agri, Kars, Igdir, Ardahan
TR-B1 Malatya, Elazig, Bingol, Tunceli
TR-B2 Van, Mus, Bitlis, Hakkari
TR-C1 Gaziantep, Adiyaman, Kilis
TR-C2 Sanliurfa, Diyarbakir
TR-C3 Mardin, Batman, Sirnak, Siirt
TR-63 Hatay, Kahramanmaras, Osmaniye
TR-72 Kayseri, Sivas, Yozgat
TR-82 Kastamonu, Cankiri, Sinop
TR-83 Samsun, Tokat, Corum, Amasya
TR-90 Trabzon, Ordu, Giresun, Rize,Artvin, Gumushane
Credit Volume / Kredi Hacmi(TRY 102 million / EUR 46.5 million)
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11 April 2011
Number of Loans – Regional Breakdown
Number of Loans / Kredi Sayısı(1088)
TR-90 9%
TR-A1 4%
TR-A2 5%
TR-C1 9%
TR-B2 2%
TR-B1 6%
TR-C2 6%
TR-C3 8%
TR-63 13%
TR-7212%
TR-82 5%
TR-8321%
TR-A1 Erzurum, Erzincan, Bayburt
TR-A2 Agri, Kars, Igdir, Ardahan
TR-B1 Malatya, Elazig, Bingol, Tunceli
TR-B2 Van, Mus, Bitlis, Hakkari
TR-C1 Gaziantep, Adiyaman, Kilis
TR-C2 Sanliurfa, Diyarbakir
TR-C3 Mardin, Batman, Sirnak, Siirt
TR-63 Hatay, Kahramanmaras, Osmaniye
TR-72 Kayseri, Sivas, Yozgat
TR-82 Kastamonu, Cankiri, Sinop
TR-83 Samsun, Tokat, Corum, Amasya
TR-90 Trabzon, Ordu, Giresun, Rize, Artvin,Gumushane
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Number of SMEs – Regional Breakdown
Number of SMEs / KOBI Sayısı(1044)
TR-90 9%
TR-A13%
TR-A2 5%
TR-B1 6%
TR-B2 2%
TR-C1 9%
TR-C2 6%
TR-C3 8%
TR-63 14%
TR-72 12%
TR-82 5%
TR-83 21%
TR-A1 Erzurum, Erzincan, Bayburt
TR-A2 Agri, Kars, Igdir, Ardahan
TR-B1 Malatya, Elazig, Bingol, Tunceli
TR-B2 Van, Mus, Bitlis, Hakkari
TR-C1 Gaziantep, Adiyaman, Kilis
TR-C2 Sanliurfa, Diyarbakir
TR-C3 Mardin, Batman, Sirnak, Siirt
TR-63 Hatay, Kahramanmaras, Osmaniye
TR-72 Kayseri, Sivas, Yozgat
TR-82 Kastamonu, Cankiri, Sinop
TR-83 Samsun, Tokat, Corum, Amasya
TR-90 Trabzon, Ordu, Giresun, Rize, Artvin,Gumushane
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Current Status (as of 12 May)
• Total Volume: TRY 177.5 million
(~ EUR 80.7 million)
• Total Number of Loans: 1875
• Main value-added concentrated on reduced collateral and interest rate
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Promotion
• Recruitment of a PR agency being completed• Presentation to Gaziantep and Samsun
Chambers of Commerce in April with participation of RDAs and other SME networks– GAGF is well-received and cooperation is ensured
• Presentation to SMEs to take place in second half of June in Gaziantep, Samsun and Kayseri (tbc)
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Take Aways
• Only 5 months into implementation
• Pillar 2 = Star of the Facility
• Results are visible High Expectations
• Pillar 1 & 3 less visible, but as important
• Reconvene in 12 months time
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Questions?
Contacts:
Jose RomanoEIFHead of Turkey & [email protected]
Thank you
Özlem Çotuk
EIF
Project Manager
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Back-up slides
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Sponsors and Partners of the Facility
• European Union and Republic of Turkey co-financing EUR 32m of funds (IPA+National Contribution)
• European Investment Bankproviding EUR 250m lending andlong-standing relationship with Turkish banks
• European Investment Fundmanaging the Facility andbringing expertise on risk-sharing
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Terms for the Micro-Credits
Max. Loan Amount EUR 25,000 / up to TRY 50,000
Min. Loan Maturity 6 months
Max. Loan Maturity 3 years
Currency TRY
Loan Type Investment or working capital
Beneficiaries Micro-enterprises (EU definition*) established or having majority operations in the Target Region
*Having less than 10 employees and annual turnover/total assets < EUR 2m
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Terms for the SME Loan
Max. Loan Amount EUR 500,000 / up to TRY 1,000,000
Min. Loan Maturity 2 years
Max. Loan Maturity 5 years
Currency TRY or EUR
Loan Type Investment or working capital
Beneficiaries SMEs (EU definition*) established or having majority operations in the Target Region
*Having less than 250 employees and annual turnover < EUR 50m or / total assets < EUR 43m