EBRD provides private sector-focused financing in economies affected by Middle East war

• 'This is really about private sector enterprises, which is our focus, trying to make sure they can maintain employment, they can continue to finance their supply chains,’ says First Vice President Greg Guyett

The European Bank for Reconstruction and Development (EBRD) has announced a €5 billion ($5.9 billion) financing package aimed at protecting employment and sustaining supply chains throughout the private sector to support economies affected by the war in the Middle East, said its first vice president, Greg Guyett.

"Well first of all, I would say that the global economy has been surprisingly resilient, given all of the issues that have developed around the world. And even in the wake of the conflict in Iran and the elevated energy prices, we are still seeing some of that resilience," Guyett told Anadolu.

He pointed out that the world entered this period with fiscal situations already under strain in many countries after working through a recent bout of inflation.

"So I am quite concerned that if the conflict extends, and the closure of the Strait of Hormuz is extended, we'll, for example, see bottlenecks on critical materials like fertilizers, not to mention energy supply, and that will start to percolate through the economies, in inflation and in reduced growth," he warned.

He said the bank's role is very clear in the crisis, that it is trying to make sure that people can continue to live their lives in an appropriate way, regarding the EBRD's role in supporting affected countries.

"The bank just recently announced a package of €5 billion that we'll be ready to deploy into our countries of operation that are most affected by the conflict in Iran and in the Gulf," Guyett recalled.

"And this is really about private sector enterprises, which is our focus, trying to make sure they can maintain employment, they can continue to finance their supply chains," he emphasized.

He said the bank also announced a facility for a company in Lebanon, which they'll use to make sure they can continue paying their employees and they can continue putting food on the shelves in their retail stores.

Türkiye's progress on reducing inflation rate is ‘quite impressive’

Touching on the economy of Türkiye, Guyett said: "Well first of all, it's been quite impressive, the progress that Türkiye has made in trying to bring down the increase in the rate of inflation."

"And the Finance Ministry and the central bank I think should be commended for the work they've been able to do to bring down the rate of increase of inflation in the country," he said.

"Having said that, it still remains elevated as we go into a period with inflationary risks growing around the world, and Türkiye will be no exception in terms of having some effects of this inflationary environment," Guyett cautioned.

He added that Türkiye is in a privileged geographic location and the country has a very well-developed policy of having good relationships with all of its neighbors.

He stressed that the Gulf region became a more difficult spot for tourism.

Citing Türkiye’s investment for İstanbul Airport during the last decade, he said Istanbul offers benefits as a tourism destination.

Speaking about the EBRD's operations in Türkiye, Guyett said the bank's investments are "demand-led by our clients, but I would be very disappointed if the bank doesn't meet or exceed the investment that it had last year in Türkiye."

"It continues to be our largest or amongst our largest countries of operation, and I think the key areas of focus for us in Türkiye will continue to be energy system development, renewal energy -- for example, an increasing focus on energy storage and enhancing the capability and quality of the grid," he said.

"We have a very strong pipeline of energy projects in Türkiye around solar and around wind and around battery storage," Guyett noted.

"And I think we'll continue to actually see that pipeline ramp up over the next 24 months," he said.

The EBRD ranks among the primary investors in Türkiye by investing over €23 billion mostly in the private sector since 2009.

The bank made a record-level investment of €2.7 billion in Türkiye in 2025.