PASHA BANK continues to support the agricultural sector with a new Asset Backed Securities (ABS) issuance just days before the end of the year. PASHA Bank is issuing TRY 200 million of ABS, with an average maturity of 288 days, with an AA-Long-Term National Rating from JCR and an annual simple return rate of 41 percent for the agricultural sector.
Taking a leading role among investment banks in ABS issuance, which is important for the development of the real sector and increasing employment, PASHA Bank continues to support agriculture, one of the oldest sectors in the world. Having issued more than TRY 1 billion of ABS for the agricultural sector since 2020, PASHA Bank continued to support the agricultural sector in 2022 as well. PASHA Bank has achieved an important success by providing a total of TRY 700 million support for the agricultural sector since January. Established with the aim of contributing to the development of trade between Turkey-Azerbaijan-Georgia, creating resources and guiding businesses investing in the region, PASHA Bank made its sixth ABS issuance for the agricultural sector this year, amounting to 200 million. Realized on behalf of Tarfin Tarım A.Ş, with an average maturity of 288 days and a simple return rate of 41 percent per year, it is the lifeblood of the agricultural sector, which is the most important item of the real sector. For the agricultural sector, this export in 2022 also draws attention with its AA- Long-Term National Rating from JCR.
PASHA Bank CEO H. Cenk Eynehan stated the following regarding the subject: “With the issuance of ABS, we have provided the real sector with indirect access to over TRY 1 billion of financial resources since 2020. Since January 2022, we have transferred a total of TRY 820 million of financing resources to the real sector with our ABS issuances. We provided TRY 700 million of support for the agricultural sector. In this sense, while the agricultural sector has a special place in our ABS issuances, the chemical sector and the automobile sector, which we indirectly contribute to agriculture, are among the other sectors to which we issue. With these issuances we offer to qualified investors on behalf of Tarfin Tarım A.Ş., we will continue to support the agriculture sector, which is one of the most important items for the sustainability of today, the future and the economy.”
These issuances to the agricultural sector not only enabled Tarfin to support more farmers, but also showed once again the critical role played by innovative capital market instruments such as ABS in the financing of the real sector. Tarfin Tarım A.Ş. offers fertilizer, seeds, feed and similar agricultural inputs to farmers in 80 provinces and 13,024 villages from 1,196 sales points at competitive prices and maturity opportunities suitable for farmers' cash flows.