PASHA Bank, the leading bank of Asset Backed Securities (ABS) issuances, continues to be the lifeblood of the agricultural sector in 2023. PASHA Bank issuing the second ABS issuance of the year, worth TRY 50 million, with an average maturity of 164 days, with an annual simple return rate of 37.50 percent for the agricultural sector.
Contributing to the development of trade between Turkey-Azerbaijan-Georgia and operating in Turkey for 8 years, PASHA Bank continues to stand by its customers with its ABS issuances. 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. Having issued more than TRY 1.4 billion of ABS for this sector since 2020, PASHA Bank continues to be the lifeblood of the agricultural sector. PASHA Bank issues ABS on behalf of Tarfin Tarım A.Ş. with an average maturity of 164 days and an annual simple return rate of 37.50 percent. The TRY 50 million issuance also draws attention with its AA- Long-Term National Rating from JCR. Since the beginning of the year, PASHA Bank has created a total of TRY 200 million in resources for the agricultural sector through ABSs.
PASHA Bank General Manager H. Cenk Eynehan stated the following regarding the subject: “In order to develop and support the Private Sector Debt Securities Market as an investment bank, we started our own Asset Finance Funds in 2020 to act as a broker in securitization transactions. For our customers who have a quality asset pool and want to use these assets in accessing finance, we have mediated the issuances of ABS, which is a structured capital market instrument, and brought them together with qualified investors. In this sense, we have provided the real sector with indirect access to more than TRY 1.4 billion of financial resources since 2020, with the issuance of ABS. We have been with the agriculture sector since 2020 and we have provided more than TRY 1 billion support for the sector. 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.