ISTANBUL / WASHINGTON – The European Bank for Reconstruction and Development (EBRD) is stepping up its support for economies impacted by the ongoing conflict in the Middle East. Greg Guyett, the Bank’s First Vice President, emphasized that the initiative is primarily focused on private sector enterprises, aiming to help them sustain employment and finance their crucial supply chains.
Guyett confirmed the EBRD has unveiled a substantial €5 billion ($5.9 billion) financing package. This significant fund is specifically designed to safeguard jobs and maintain robust supply chains across the private sector in countries grappling with the repercussions of the Middle East conflict.
Global Economic Resilience Amidst Rising Concerns
Speaking to Anadolu, Guyett acknowledged the global economy’s “surprisingly resilient” performance despite numerous worldwide challenges. He noted that even with the conflict in the region and elevated energy prices, this resilience is still evident. However, he cautioned that many nations were already facing fiscal pressures due to recent inflation before this period. Guyett expressed significant concern that a prolonged conflict, particularly an extended closure of the Strait of Hormuz, could lead to critical material bottlenecks, such as fertilizers, and disrupt energy supplies. Such developments, he warned, would likely fuel inflation and curb economic growth across affected economies.
EBRD’s Clear Mandate in Crisis Response
Guyett underscored the EBRD’s unequivocal role during this crisis: to ensure people can maintain their livelihoods. He reiterated the bank’s recent announcement of the €5 billion package, ready for deployment in its operational countries most impacted by the conflict in the region. The core objective, he stressed, is to empower private sector enterprises to preserve employment and secure their supply chains. As an example of direct intervention, Guyett cited a facility provided to a Lebanese company, enabling it to continue paying staff and ensure food availability in its retail outlets.
Türkiye’s Inflation Fight Praised, Future Risks Noted
Shifting focus to Türkiye’s economy, Guyett lauded the nation’s “quite impressive” progress in curbing inflation. He commended the Turkish Finance Ministry and Central Bank for their effective efforts in reducing the rate of inflation. However, he cautioned that inflation remains elevated, and with global inflationary risks on the rise, Türkiye is unlikely to be immune to these broader economic pressures. Guyett highlighted Türkiye’s advantageous geographical position and its well-established policy of fostering strong relationships with neighboring countries. He also noted the challenges faced by the Gulf region in tourism, contrasting it with Istanbul’s benefits as a tourism destination, bolstered by significant investments like the Istanbul Airport over the past decade.
EBRD’s Continued Strong Investment in Türkiye
Regarding the EBRD’s activities in Türkiye, Guyett stated that the bank’s investments are client-driven. He expressed confidence that the EBRD would at least match, if not surpass, its investment levels from the previous year in Türkiye, which remains one of its largest countries of operation. Key focus areas for the EBRD in Türkiye include energy system development, particularly renewable energy, with an increasing emphasis on energy storage and grid enhancement. Guyett revealed a robust pipeline of energy projects in Türkiye, encompassing solar, wind, and battery storage, anticipating further growth in these areas over the next two years. Since 2009, the EBRD has invested over €23 billion, primarily in Türkiye’s private sector, establishing itself as a leading investor. The bank achieved a record investment of €2.7 billion in Türkiye in 2025.
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