The International Finance Corporation (IFC) has announced a $50 million investment in Kuçukçalik Tekstil Sanayi ve Ticaret AŞ (Kuçukçalik), a leading home textiles manufacturer operating in Türkiye and Egypt. The funding includes $30 million from IFC’s resources and $20 million through its Managed Co-Lending Portfolio Programme (MCPP).
The investment aims to enhance Kuçukçalik’s sustainable production capacity by supporting the construction of a polyester chip manufacturing plant, expanding its yarn-spinning facility, and establishing a textile recycling unit in Sakarya, Türkiye. Additionally, rooftop solar photovoltaic systems will be installed at the company’s manufacturing site in Bursa, Türkiye, promoting energy-efficient yarn production and increased use of renewable energy.
IFC expects this investment to generate significant economic benefits, including job creation, value addition, and foreign exchange revenue. The initiative is projected to create approximately 700 direct and indirect jobs, contributing to employment growth in Türkiye. Furthermore, IFC will work with Kuçukçalik to advance workplace gender inclusion policies, in line with the World Bank Group’s commitment to reducing gender disparities.
Over the past decade, IFC has invested more than $20 billion to support private sector development in Türkiye, a partnership that has lasted over 50 years. As of December 2024, Türkiye represents IFC’s third-largest country exposure globally, with a committed portfolio of nearly $5.4 billion.
“We are thrilled to announce this significant partnership with IFC, which marks a pivotal moment in our journey towards sustainable growth and innovation. This project will not only enable us to expand our production capabilities but also enhance our commitment to sustainability. We look forward to leveraging this investment to strengthen our competitive edge and contribute to Turkiye’s position in global trade,” said Yasar Kuçukçalik, chairman of Kuçukçalik Group.
“This investment will drive competition in the synthetic fabric manufacturing industry, which is crucial for the Turkish economy. Supporting companies like Kuçukçalik in their strategic efforts to vertically integrate and optimize input management is vital to strengthen the country’s position in global trade,” said Wiebke Schloemer, IFC director for Turkiye and Central Asia.
