APEX BANKING AT TSKB

With APEX Banking TSKB reaches many SMEs which act as the locomotive of Turkish economy and meet their financing needs.

TSKB is the leader of APEX banking in our country. With the credit packages supplied from supranational institutions including three successive EFIL credit (Export Finance Intermediary Loan) lines that are secured from the World Bank, TSKB undersigned a success story in APEX banking in 2000’s.

APEX lending is new among TSKB’s conventional business lines. APEX credits comprise 1/3 of TSKB’s total outstanding load and represent the largest group of clients. It is an efficient model for TSKB to reach SME clients.

The long term resources through APEX activities are provided mostly to SMEs, manufacturing and exporting companies through the intermediation of commercial banks and financial leasing companies (PFI- participating financial institutions). TSKB cooperated with 20 different intermediary institutions within the context of EFIL II - III - IV Loans, Kreditanstalt für Wiederaufbau (KfW) APEX Loan and European Investment Bank (EIB) SME APEX Loan.

TSKB is the primarily preferred business partner regarding intermediation activities in Turkey for international institutions like the World Bank, EIB and KfW. APEX lending is a very valuable implementation for TSKB with limited number of branches that enables to reach all sectors which contribute to the GNP.

EFIL loans are important part of APEX lending at TSKB
The common aim of the EFIL loan packages secured from the World Bank is to finance the export producer companies to support their capacity enlargement investments and to increase their power to compete.

Another aim of the project is to enlarge the lending capacities of commercial banks and leasing companies which act as distribution channels. Working with leasing companies within the context of APEX Banking plays an important role to reach SMEs.

EFIL packages also serve to create new business areas and to increase employments which are both of great importance for Turkey. The related data is given in the following table:

TSKB - WORLD BANK EFIL CREDITS- BASIC INDICATORS
Name of Program Year Amount of resource (million USD) Number of companies using credits Number of employment created Current status of the program
EFIL IV* 2008 300 86 800 Continues
EFIL III 2005 300 168 2,588 Completed
EFIL II 2004 300 249 4,993 Completed

*Represents the status of EFIL IV program as of 2009/3rd quarter end.

TSKB APEX banking infrastructure is accepted as “the best practice” among developing countries.
TSKB APEX Banking has a web based technological infrastructure focused on the process of lending. It also enables the Bank to integrate the loan applications to electronic business and loan evaluation/approval processes of TSKB. The financial, environmental and technical information about the company suggested by the intermediary are sent to TSKB through internet application system and as TSKB approves the credit the company sends the disbursement documents facilitate using the loan.

The innovative and successful TSKB APEX Banking model is accepted as “the best practice” among developing countries by the World Bank.

TSKB proactively supports and consults the participating financial institutions and the borrowing companies about environmental issues and processes. TSKB’s environment sensitive point of view is shared by all mediation institutions and companies. With this approach TSKB leads to generalize environment sensibility among various sectors besides Turkish financial sector.

TSKB aims to maintain its leadership in APEX banking and continue to finance an increasing number of export-oriented companies.