Finance UAE banks back Turkey Wealth Fund’s $1.2bn loan By Pramod Kumar March 26, 2025, 11:27 AM Pexels/Hobi Photography Turkey Wealth Fund owns almost half of Turkish Airlines State-backed Turkey Wealth Fund has secured its first loan without a treasury guarantee, backed by UAE-listed banks, a local newspaper reported. The sovereign fund raised €1.1 billion ($1.2 billion) two-year syndicated loan from 20 banks from 12 countries, Daily Sabah reported. The interest rate was set at Euro interbank offered rate, plus 2 percent annually for the €837 million tranche and secured overnight financing rate, plus 2.25 percent annually for the $285 million part. The order book exceeded twice the borrowing amount of 2023, leading to the addition of a dollar tranche. ICBC Türkiye Investment Securities, Emirates NBD Capital and First Abu Dhabi Bank acted as coordinators and lead bookrunners. Emirates NBD Bank was the documentation and credit agent, the report said. Turkish political uncertainty casts economic cloud Regulators take action to stabilise Turkish markets after arrests ‘Unprecedented’ cold weather hammers Turkey’s citrus crops In August 2024 the Turkish government transferred treasury shares of 12 companies to the Turkey Wealth Fund. The wealth fund manages assets worth $300 billion, according to its 2022 report. Total equity rose 60 percent year on year to $49 billion. The fund holds a 49 percent stake in Turkish Airlines, 100 percent of Ziraat Bankasi, 80.6 percent of Borsa Istanbul, and 100 percent of Turksat, a communications satellite company, according to its 2022 report. Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later