Türkiye, UK sign $1.3B financing deal for new railway line

Türkiye and the UK signed a $1.3 billion financing deal for the construction of a new high-speed electric railway line in central Türkiye, between the city of Kayseri and the small town of Yerkoy.

During a meeting at the British Consulate General in Istanbul on Friday, Kemi Badenoch, the UK trade minister, hailed the agreement as "a huge testament to our trading relationship," speaking of the two countries.

Badenoch said this is the third time the UK has worked with Türkiye to secure the future of a sustainable large-scale transport project.

"I'm absolutely delighted that we are seeing yet another huge deal between the UK and Türkiye with €1.2 billion ($1.3 billion) of finance for what we believe is going to be a transformative railway between Yerkoy and Kayseri," she said.

Badenoch said the new railway line will also help Turkey expand its low-carbon railway network, saying: "It will reduce congestion and it's going to cut net carbon emissions on the Yerkoy-Kayseri route by over 6,500 tons of CO2 per year."

Badenoch said the project will be implemented by a joint venture of Turkish firms Dogus Construction, Celikler, and Ozkar, which were also the main contractors for the Ankara-Sivas High-Speed Railroad.

She added that Türkiye "presents huge opportunities for UK businesses," with its large economy and strategic location.