Export Finance and Insurance Corporation (EFIC) has announced that a finance package, worth nearly US$107.2 million, has been finalised for the Istanbul Metropolitan Municipality (IMM). This will enable IMM to purchase two high-speed catamarans to be constructed by Austal Ships Pty Ltd (Austal).

EFIC worked with KfW of Germany and the European Investment Bank (EIB) to structure and arrange the 100% finance package whereby EFIC will provide an Export Finance Guarantee to KfW for 80% of the contract amount.

EFIC’s guarantee covers KfW, as the lender, against commercial and political risks that may arise during the term of the loan. The remaining portion of the contract amount is to be provided by EIB with the backing of KfW.

“This transaction marks the beginning of new relationships with both KfW and EIB,” said Craig Scullin, Director, Structured Trade and Project Finance for EFIC. “Working closely together, we were able to provide IMM with a long-term financing solution at a competitive price.”

IMM, through its ferry operating company, Istanbul Deniz Otobusleri (IDO), is one of the world’s largest ferry operators, transporting over 12 million passengers in and around Istanbul each year. 

“EFIC has had a long and successful association with IMM, IDO and Austal through the export of numerous vessels. The completion of this latest contract will bring the number of Austal vessels delivered to Istanbul to 10,” said Mr Scullin.

Austal’s export success has also been aided by extensive support from Austrade since the early 1990’s. Austrade’s Istanbul office was helpful in securing this repeat business in Turkey.


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