Credit Guarantee Fund


Bank Credits

Manufacturing Industry

Product Description

  • The credits to be made available under the guarantee of KGF shall be extended in financing of expenditures made / to be made in scope of the following investment definition. In case it is requested to cover the investment wholly or partially with credit or financial leasing processes, KGF shall provide guarantee severally for such processes.
  • Investment: It is expenditures made or to be made to associate partially or wholly in an enterprise operating in any subject of manufacturing industry or to associate partially or wholly in an enterprise for this purpose along with expenditures made or to be made so as to create increase of value in fixed values such as modernization, machinery / fittings / tools / equipment procurement, technology renewal, additional production facility, building construction, building / plot / land purchase in order to increase the production capacity, efficiency, market expansion and value in the existing facilities leased or owned by the SMEs operating manufacturing industry.
  • In case the credit is extended for purpose of association partially or wholly in an enterprise operating in manufacturing industry, the enterprise in question must be one of the small and medium sized enterprises operating in the fields in the part of “Section C-Manufacturing” of the activity classification “NACE Rev.2 Economic Activity Classification in Six Digit” published by Turkish Statistical Institute.

Resource for Guarantee

Treasury Undersecretary Funds

Related Financial Institutions / Corporations

KGF shareholder banks

Product Maturity

  • It is maximum 10 years.
  • The grace period is maximum 3 years.
  • In case it is stipulated capital grace period more than one year, interests on the grace period shall be collected at the end of 1-year periods.

Guarantee Limit

Total Guarantee Limit per Enterprise: TRY 2,500,000

Guarantee Limit for a Risk Group: TRY 3,000,000 

Maximum KGF Guarantee Rate


Fees and Commissions

Application fee is TRY 250. Besides, the guarantee commission is collected based on the guarantee amount of KGF in advance during the credit extension for the first year, and at rate of 1% in advance based on guarantee risk for ever year in the consecutive years.

In case the credit extended to beneficiary is one of the credits, either Bank Overdraft/Revolving, Direct Debiting System or corporate finance support to be provided with current account of the Participation Banks, the guarantee commission shall be collected at rate of 1% in advance based on the guarantee limit of the FUND for each year.

Application Conditions

  • The beneficiary is to be a real or legal entity enterprise with qualification of SME,
  • The beneficiary operates for at least 1 year as of the application date,
  • The beneficiary is a small and medium sized enterprise operating in the part of Section C-Manufacturing in the NACE Rev.2 Economic Activity Classification in Six Digit published by the Turkish Statistical Institute.
  • The Undersecretariat of Treasury Fund is valid for the beneficiary criteria.

Applications to KGF are to be conducted through internet on the address of