TOBB Assembly President Fayat Makes Statement on Eximbank Credit Limits
Şeref Fayat, President of the TOBB Ready-Made Garment and Apparel Sector Assembly, evaluated the sector's export and financing problems and demanded an increase in Eximbank credit limits.
Şeref Fayat, President of the TOBB Ready-Made Garment and Apparel Sector Assembly, shared the sector's problems in accessing financing and year-end export expectations. Fayat emphasized that they are eagerly awaiting an increase in Eximbank credit limits so that exporters can access loans with favorable terms.
Divergence in September Export Data
According to data from the first 21 days of September, ready-made garment exports declined by 5 percent, while textile exports recorded an 8 percent increase. High labor costs in Turkey lie behind this positive divergence in the textile sector.
Fabric Exports to Low-Cost Countries
The shift of ready-made garment production to countries where labor is cheap supports fabric exports from Turkey. Exports specifically targeting Mediterranean basin countries such as Egypt, Morocco, and Tunisia are showing an increase.
Year-End Export Expectation and Global Impacts
It is projected that the sector could close 2026 slightly below last year, with exports of approximately $16.5 billion. Energy costs, which have risen due to the prolongation of wars, are suppressing household spending.
SME Loans and Employment Conditions
The current conditions of the announced credit supports cannot be utilized by businesses at the SME scale. High limits tied to employment conditions make it impossible for small businesses to reach these packages.
Difficulties Experienced in Eximbank Loans
Due to current financing costs, exporters' access to loans with favorable terms carries great importance. The decline and limited increases in Eximbank's credit volume are causing serious difficulties in the sector.