World Bank project to support Turkey's industrial zones

A World Bank-funded project will help Turkey's Organized Industrial Zones (OIZs) become more efficient, environmentally sustainable, and competitive, the bank said on late Monday.

The project, worth $300 million, to be implemented by the country's Industry and Technology Ministry will support investments in basic infrastructure -- such as roads, water and gas pipelines, and logistics facilities.

"A smaller part of the loan will also be dedicated to enhancing the competitiveness OIZs through investment in innovation and training centers linking OIZs with science and research organizations, and academia," the bank said.

Turkey has 346 OIZs, which contribute to more than one-third of the country's exports with 2.1 million personnel.

Auguste Kouame, World Bank country director for Turkey, said: "The ongoing COVID-19 pandemic has further highlighted the need for this project, which is crucial for laying the foundations for a sustained and 'green' recovery.

"In addition, innovation centers will enable OIZ firms to maintain or deepen their participation in global value chains post-COVID by increasing the competitiveness of OIZs around the country."

The fixed-spread loan's final maturity is 10-and-a-half years, including a grace period of 5 years, the bank said.