More Funds for Izmir Metro Project in Turkey

Turkey’s third-largest city, Izmir, has managed to raise an additional 25 million euros in funding for the expansion of its metro network.

Société Générale will provide 25 million euros as a B-loan under the European Bank of Reconstruction and Development’s (EBRD) A/B syndication structure. These funds are in addition to the 80 million euros provided by the EBRD in 2018 for the new 7.2km metro line on Izmir’s east-west corridor.

Poligon metro station in Izmir
Poligon metro station, Izmir

Fahrettin Altay-Narlidere-Kaymakamlik Line

The Fahrettin Altay-Narlidere-Kaymakamlik line is set to start carrying passengers in 2022. It will improve the transport links between a university campus, a hospital, and retail areas. The 7.5km section will extend the existing 19km Evka 3-Fahrettin Altay line. It will connect with bus, suburban rail and tram networks.

Tunc Soyer, Mayor of Izmir, said:

“The works to build the Fahrettin Altay-Narlidere-Kaymakamlik metro line continue at full speed and the line will become operational as planned. This loan is a good example of the support given to Izmir despite the Covid-19 outbreak.”

The investment is part of a joint effort between Izmir and the EBRD to improve the city environment and the quality of life for residents.

Arvid Tuerkner, EBRD Managing Director for Turkey, said:

“Izmir is one of our long-standing partners in Turkey. We welcome its drive to expand the transport network in a green, sustainable manner, and improve the quality of urban travel. The EBRD is pleased to play a role in financing this undertaking and attract other lenders to the cause.”

More than 1000 people are working on the metro line extension project, which has a build time of three years.

Laurent Eurin, Managing Director, Export Finance, at Société Générale, said:

“Société Générale is particularly proud to join forces with the EBRD and contribute to the financing of this metro line extension, particularly important for the population of Izmir city. It evidences our ability to stand-by our clients, even in the current difficult coronavirus context, and help them out notably on their sustainability and positive impact agendas.”

Izmir joined EBRD Green Cities in 2018. This is an urban sustainability programme that aims to develop a comprehensive step-by-step investment plan to address a city’s most pressing environmental challenges. It is currently active in 40 cities worldwide.

The European Bank for Reconstruction and Development has further provided 23.5 million euros in financing for 85 new metro vehicles. The bank is currently planning to co-finance a 13.3km metro line between Izmir’s Ucyol and Buca neighbourhoods.

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