Europe and Middle East lead Turkish Eximbank $650m fundraising

The UK, the US and the Middle East were among the top investors in Turkish Eximbank’s $650 million bond issuance.

The order book for the three-year bond totalled $2.5 billion despite the ongoing conflict in the Middle East, the state-run Anadolu news agency reported.

The final yield on the bond tightened by 47.5 basis points from the initial level after the issuance size was increased from $500 million due to strong demand.

A total of 116 global institutional investors participated in the transaction. 

In terms of investor allocation, Europe ranked first with 59 percent, followed by the Middle East and Asia (21 percent) and the Americas (20 percent).

International asset management companies and institutional investors constituted 78 percent of the investor base.

The risk premium level relative to US Treasury bonds was the lowest in Eximbank’s previous transactions, the report said.

Eximbank has raised $4 billion in new funding in the first four months of 2026.

Last month, Turkey unveiled a raft of incentives to attract overseas investors after being badly affected by the war in Iran and the closure of the Strait of Hormuz.

Some of the proposed incentives include a 20-year corporate tax exemption for overseas companies that move their regional headquarters to the Istanbul Financial Centre, and an exemption from income tax on earnings of up to $3,000 a month for eligible employees. 

Further reading:

• Gulf should expand and diversify local-currency bonds, experts say
• Mena debt investors urged to look at Egypt’s short-term bonds
• Turkey back on carry-trade radar