Turkey’s Dormant Wealth Fund Plans to Borrow one billion dollars

Turkey’s largely nact ve sovere gn-wealth fund w ll borrow one b ll on dollars from nternat onal lenders, more than two years after t was founded, three people w th knowledge of the plan sa d. The fund, formally known as Turk ye Varl k Fonu, w ll borrow the money early next year, the people sa d, ask ng not to be dent f ed because the plan hasn’t been made publ c. The synd cated loan w ll have a matur ty of two years w th an opt on to extend another year,

accord ng to two of the people. The Istanbulbased fund decl ned to comment. A person w th d rect knowledge of the fund’s off c al mandate sa d earl er that the fund plans to borrow to nject cash nto compan es n ts portfol o. The fund owns stakes n a number of government enterpr ses, nclud ng Turk Hava Yollar AO

(Turk sh A rl nes), Turk ye Halk Bankas AS and Turk Telekomun kasyon AS. Turkey’s postalserv ces company, PTT, was also taken over by the fund through a pres dent al decree publ shed n the Off c al Gazette on December 12.