IFC invests $50 million in Turkey’s Kucukcalik Group

IFC, a member of the World Bank Group, has announced a 50 million dollar investment in Kuchukchalik Textile Industry and Trade Inc. (Kuchukchalik), a home textiles manufacturer operating in Turkey and Egypt, to support its capacity expansion efforts and help enhance its sustainability practices. IFC’s loan consists of 30 million dollars from IFC’s own account and 20 million dollars from IFC’s Managed Co-Lending Portfolio Program (MCPP). This investment will enable Kuchukchalik to boost its production capacity sustainably by building a new polyester chip manufacturing plant, expanding its yarn spinning facility, and establishing a textile recycling facility in its manufacturing unit in Sakarya, Turkey.

Additionally, the installation of rooftop solar photovoltaic systems in Kuchukchalik ’s manufacturing unit in Bursa, Turkey, will significantly boost sustainability efforts. The project aims to create a positive environmental impact by promoting circular economy practices, including a more energy and resource-efficient yarn production process, and increased renewable energy usage. It is also expected to yield economy-wide effects through value-addition, job creation, and foreign exchange revenue generation.