Access to Finance for Jobs and Growth MPA Phase 1 - Turkiye

pipeline

The project aims to increase the number of people and businesses using financial services in Turkiye, with a particular focus on women, youth, and underserved regions, through targeted lending instruments. It will be supported by a EUR 750 million IBRD loan guarantee to VakıfBank, enabling the bank to mobilize up to EUR 1.5 billion from international commercial lenders with a tenor of up to 10 years. The financing raised will be used by VakifBank to extend sub-loans to eligible micro, small, and medium enterprises (MSMEs) that contribute to women’s economic participation and broader access to finance. The project will support: (i) tailored finance for MSMEs and women entrepreneurs; (ii) sector-based financial incentives for firms that exceed female employment benchmarks; (iii) performance-based support for MSMEs that maintain or increase female and youth employment; and (iv) recovery lending for women-inclusive firms in earthquake-affected and underdeveloped regions. Eligible firms will be assessed using access to finance and gap criteria, with sub-loans structured to reward measurable commitments to equality, youth employment, and resilience. Through this approach, the project aims to promote growth and generate better employment opportunities, particularly for women and young people.