Cover facilities are available subject to a strict case-by-case review for transactions particularly deserving of promotion.
Cover facilities are available subject to a strict case-by-case review for transactions particularly deserving of promotion. When assessing the buyer’s creditworthiness, the focus is on the transaction’s capacity to generate foreign exchange for the buyer, the repayment profile and the share of foreign exchange debts in total debts, the financial reserves, the integration into an international group of companies as well as investments and equity investments abroad.
For short-term transactions and transactions with longer credit periods but contract values not exceeding EUR 5 million with public buyers, a guarantee of a Turkish commercial bank has to be provided prior to the commencement of risk. For transactions with longer credit periods and contract values exceeding EUR 5 million, a guarantee from the Minister of State and Deputy Prime Minister, represented by the Undersecretariat of Treasury and Foreign Trade, or its binding countersignature of the loan agreement is required prior to the commencement of risk.
For transactions with private buyers bank security is required if the foreign buyer’s creditworthiness is inadequate.
The assessment of a bank for acceptance as a guarantor or borrower is carried out case by case on the basis of informative documents and taking into account the risk involved.
Country information on commercial practices, business climate, market analyses, law, import procedures, customs duties and development cooperation can be found on the website of Germany Trade & Invest (gtai, https://www.gtai.de).