Turkey Loan Market By Share, Size and Forecast 2028|TechSci Research

Summary

Report Description

Forecast Period	2024-2028
Market Size (2022)	USD22.35 Billion
CAGR (2023-2028)	4.57%
Fastest Growing Segment	Automotive
Largest Market	Banks

Turkey Loan Market is anticipated to project robust growth in the forecast period because of increasing demand for corporate loans, increasing development of small and medium-sized enterprises (SMEs), and increasing marketing strategies.

A loan is a sum of money that one or more people or businesses obtain from banks or other financial organizations to handle their finances in connection with anticipated or unforeseen circumstances. The borrower incurs a debt they must repay with interest over a specified amount of time.

A secured loan is provided by a financial institution in which an asset serves as collateral or security. For example, customers can use property, gold, or another asset to obtain a loan amount equal to the asset's value. In the case of secured loans, the bank or financial institution issuing the loan will retain ownership of the purchase until the loan is repaid. While unsecured loans, as the name implies, are not secured by collateral such as land, gold, or other valuables, these loans are riskier for the lender and come with a higher interest rate.

Increasing Demand through Digital Banking Will Lead to the Market Growth

With COVID-19, digital transformation accelerated and significantly altered every industry, including banking. Banks concentrated on both preserving their operational procedures and creating solutions to serve their consumers across a variety of platforms at the same time. In Turkey, digital platforms were used to issue 37% of personal consumer loans in 2020. The banks that resisted change and found it challenging to stay up lost their market share. The banks that are leading digital transformation changed the ways they conduct business, increased their services, and targeted new consumer categories. Digital banks are defined by the Banking Regulation and Supervision Agency (BRSA) as "credit institutions delivering banking services primarily via electronic banking service distribution channels instead of physical branches." With the BRSA regulation, digital banks have recently gained popularity in Turkey and the rest of the world. Thus, the growth of digital banking will lead to the development of Turkey's Loan Market.

Rising Demand from Commercial and Corporate Loans will Boost the Market Growth

Turkish banks have lowered interest rates on commercial loans after the central bank established measures to encourage them to lend at a cheaper cost. The rise in retail loans is related to the government's approval of more borrowing through the Credit Guarantee Fund. The government promised an additional USD 4.04 billion in fund guarantees, which banks can utilize as a foundation for lower-interest loans to more businesses. According to data from the central bank, loans to Turkish companies have an average annual interest rate of 20.3 percent. In 2022, the volume of commercial loans at Turkish banks with foreign ownership increased by 15.2 percent and at other private deposit banks by 12.5 percent. While the three major state-run banks account for 45 percent of commercial loans, different lenders have expanded their loan portfolios considerably. Thus, rising demand for commercial and corporate loans will fuel market growth.

Growth of Small and Medium-Sized Enterprises will Fuel the Market Growth

In Turkey, micro, small, and medium-sized businesses employ 72% of the workforce, with the manufacturing and distribution industries alone accounting for almost 65% of all SME employment. The Turkish Treasury and Finance Ministry announced that the country is developing a new financial package to aid small and medium-sized businesses (SMEs) needing collateral as the latest move to support the industry. The treasury-backed plan, which would help SME financing requirements, would support the government's larger initiative, giving priority to exports, production, and employment. The Credit Guarantee Fund will offer businesses a new batch of low-interest loans. Outstanding SME loans increased by 37.9% in 2020 compared to 2019, reaching USD45.42 billion. Thus, the growth of Small and medium-sized enterprises (SMEs) will boost the Turkey loan market.

Market Segmentation

The Turkey Loan Market is segmented based on type, provider type, interest rate, tenure period, region, and competitional landscape. Based on type, the market is further fragmented into secured and unsecured loans. Based on provider type, the market is segmented into the bank, non-banking financial companies, and others (fintech companies). Based on interest rates, the market is segmented into fixed and floating. The market is segmented based on the tenure period into less than 5 years, 5-10 years, 11-20 years, and more than 20 years. Based on region, the market is divided into Marmara, Central Anatolia, Mediterranean, Aegean, Southeastern Anatolia, Blacksea, and Eastern Anatolia.

Company Profiles

T.C. Ziraat Bankası A.Ş., Türkiye İş Bankası A.Ş., Türkiye Halk Bankası A.Ş, Yapı ve Kredi Bankası A.Ş., T. Garanti Bankası A.Ş., T. Vakıflar Bankası TAO (VakıfBank), Akbank TAŞ, DenizBank A.Ş., QNB Finansbank A.Ş. and TÜRK EKONOMİ BANKASI A.Ş. are also actively entering the market in recent years and further strengthening the market growth.

Attribute	Details
Base Year	2022
Historical Years	2018–2021
Estimated Year	2023E
Forecast Period	2024F –2028F
Quantitative Units	Revenue in USD Million and CAGR for 2018-2022 and 2023E- 2028F
Report Coverage	Revenue forecast, company share, competitive landscape, growth factors, and trends
Segments Covered	Type Provider Type Interest Rate Tenure Period Company
Regional Scope	Marmara, Central Anatolia, Mediterranean, Aegean, Southeastern Anatolia, Blacksea and Eastern Anatolia
Key Companies Profiled	T.C. Ziraat Bankası A.Ş., Türkiye İş Bankası A.Ş., Türkiye Halk Bankası A.Ş, Yapı ve Kredi Bankası A.Ş., T. Garanti Bankası A.Ş., T. Vakıflar Bankası TAO (VakıfBank), Akbank TAŞ, DenizBank A.Ş., QNB Finansbank A.Ş. and TÜRK EKONOMİ BANKASI A.Ş.
Customization Scope	10% free report customization with purchase. Addition or alteration to country, regional & segment scope.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs. Explore purchase options
Delivery Format	PDF and Excel through Email (We can also provide the editable version of the report in PPT/pdf format on special request)

Report Scope:

In this report, Turkey loan market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

Turkey Loan Market, By Type:

Secured Loan
Unsecured Loan

Turkey Loan Market, By Provider Type:

Bank
Non-Banking Financial Companies
Others

Turkey Loan Market, By Interest Rate:

Fixed
Floating

Turkey Loan Market, By Tenure Period:

Less than 5 Years
5-10 Years
11-20 Years
More than 20 Years

Turkey Loan Market, By Region:

Marmara
Central Anatolia
Mediterranean
Aegean
Southeastern Anatolia
Blacksea
Eastern Anatolia

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in Turkey loan market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

Detailed analysis and profiling of additional market players (up to five).

Turkey Loan Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1. Introduction

1.1. Product Overview

1.2. Key Highlights of the Report

1.3. Market Coverage

1.4. Market Segments Covered

1.5. Research Tenure Considered

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Market Overview

3.2. Market Forecast

3.3. Key Regions

3.4. Key Segments

4. Voice of Customer Analysis

4.1. Sample Size Determination

4.2. Respondent Demographics

4.2.1.By Gender

4.2.2.By Age

4.2.3.By Occupation

4.3. Brand Awareness

4.4. Factors Influencing Purchase Decision

4.5. Sources of Information

4.6. Challenges Faced After Purchase

5. Turkey Loan Market Outlook

5.1. Market Size & Forecast

5.1.1.By Value

5.2. Market Share & Forecast

5.2.1.By Type Market Share Analysis (Secured Loan and Unsecured Loan)

5.2.2.By Provider Type Market Share Analysis (Bank, Non-Banking Financial Companies and Others (Fintech Companies))

5.2.3.By Interest Rate Market Share Analysis (Fixed and Floating)

5.2.4.By Tenure Period Market Share Analysis (Less than 5 Years, 5-10 Years, 11-20 Years, and More than 20 Years)

5.2.5.By Regional Market Share Analysis

5.2.5.1. Marmara Market Share Analysis

5.2.5.2. Central Anatolia Market Share Analysis

5.2.5.3. Mediterranean Market Share Analysis

5.2.5.4. Aegean Market Share Analysis

5.2.5.5. Southeastern Anatolia Market Share Analysis

5.2.5.6. Blacksea Market Share Analysis

5.2.5.7. Eastern Anatolia Market Share Analysis

5.2.6.By Top 5 Companies Market Share Analysis, Others (2022)

5.3. Turkey Loan Market Mapping & Opportunity Assessment

5.3.1.By Type Market Mapping & Opportunity Assessment

5.3.2.By Provider Type Market Mapping & Opportunity Assessment

5.3.3.By Interest Rate Market Mapping & Opportunity Assessment

5.3.4.By Tenure Period Market Mapping & Opportunity Assessment

5.3.5.By Regional Market Mapping & Opportunity Assessment

6. Turkey Secured Loan Market Outlook

6.1. Market Size & Forecast

6.1.1.By Value

6.2. Market Share & Forecast

6.2.1.By Product Type Market Share Analysis (Mortgage Loan, Housing Loan, Auto Loan and Others)

6.2.2.By Provider Type Market Share Analysis

6.2.3.By Interest Rate Market Share Analysis

6.2.4.By Tenure Period Market Share Analysis

7. Turkey Unsecured Loan Market Outlook

7.1. Market Size & Forecast

7.1.1.By Value

7.2. Market Share & Forecast

7.2.1.By Product Type Market Share Analysis (Personal Loan, Education Loan, Agricultural Loan and Others)

7.2.2.By Provider Type Market Share Analysis

7.2.3.By Interest Rate Market Share Analysis

7.2.4.By Tenure Period Market Share Analysis

8. Market Dynamics

8.1. Drivers

8.1.1.Rising demand commercial and corporate loans

8.1.2.Increase demand from digital banking

8.1.3.Growth of Small And Medium-Sized Enterprises

8.2. Challenges

8.2.1.Data security and privacy concerns

8.2.2.Surging competition from NBFCs

9. Impact of COVID-19 on Turkey Loan Market

9.1. Impact Assessment Model

9.1.1.Key Segments Impacted

9.1.2.Key Regions Impacted

10. Market Trends & Developments

10.1. Increasing demand of car loans

10.2. Rising government initiative

10.3. Attractive marketing strategies

10.4. Rising focus towards loan sector by Bank and NBFCs

10.5. Surge in multichannel collection service

11. Policy & Regulatory Landscape

12. Turkey Economic Profile

13. Competitive Landscape

13.1. Company Profiles

13.1.1. T.C. Ziraat Bankası A.Ş.

13.1.1.1. Company Details

13.1.1.2. Product & Services

13.1.1.3. Financials (As Per Availability)

13.1.1.4. Key market Focus & Geographical Presence

13.1.1.5. Recent Developments

13.1.1.6. Key Management Personnel

13.1.2. Türkiye İş Bankası A.Ş.

13.1.2.1. Company Details

13.1.2.2. Product & Services

13.1.2.3. Financials (As Per Availability)

13.1.2.4. Key market Focus & Geographical Presence

13.1.2.5. Recent Developments

13.1.2.6. Key Management Personnel

13.1.3. Türkiye Halk Bankası A.Ş

13.1.3.1. Company Details

13.1.3.2. Product & Services

13.1.3.3. Financials (As Per Availability)

13.1.3.4. Key market Focus & Geographical Presence

13.1.3.5. Recent Developments

13.1.3.6. Key Management Personnel

13.1.4. Yapı ve Kredi Bankası A.Ş.

13.1.4.1. Company Details

13.1.4.2. Product & Services

13.1.4.3. Financials (As Per Availability)

13.1.4.4. Key market Focus & Geographical Presence

13.1.4.5. Recent Developments

13.1.4.6. Key Management Personnel

13.1.5. T. Garanti Bankası A.Ş.

13.1.5.1. Company Details

13.1.5.2. Product & Services

13.1.5.3. Financials (As Per Availability)

13.1.5.4. Key market Focus & Geographical Presence

13.1.5.5. Recent Developments

13.1.5.6. Key Management Personnel

13.1.6. T. Vakıflar Bankası TAO (VakıfBank)

13.1.6.1. Company Details

13.1.6.2. Product & Services

13.1.6.3. Financials (As Per Availability)

13.1.6.4. Key market Focus & Geographical Presence

13.1.6.5. Recent Developments

13.1.6.6. Key Management Personnel

13.1.7. Akbank TAŞ

13.1.7.1. Company Details

13.1.7.2. Product & Services

13.1.7.3. Financials (As Per Availability)

13.1.7.4. Key market Focus & Geographical Presence

13.1.7.5. Recent Developments

13.1.7.6. Key Management Personnel

13.1.8. DenizBank A.Ş.

13.1.8.1. Company Details

13.1.8.2. Product & Services

13.1.8.3. Financials (As Per Availability)

13.1.8.4. Key market Focus & Geographical Presence

13.1.8.5. Recent Developments

13.1.8.6. Key Management Personnel

13.1.9. QNB Finansbank A.Ş.

13.1.9.1. Company Details

13.1.9.2. Product & Services

13.1.9.3. Financials (As Per Availability)

13.1.9.4. Key market Focus & Geographical Presence

13.1.9.5. Recent Developments

13.1.9.6. Key Management Personnel

13.1.10. TÜRK EKONOMİ BANKASI A.Ş.

13.1.10.1. Company Details

13.1.10.2. Product & Services

13.1.10.3. Financials (As Per Availability)

13.1.10.4. Key market Focus & Geographical Presence

13.1.10.5. Recent Developments

13.1.10.6. Key Management Personnel

14. Strategic Recommendations/Action Plan

14.1. Key Focus Areas

14.2. Target Type

14.3. Target Provider Type

15. About Us & Disclaimer

Figures and Tables

Frequently asked questions

What are the key factors driving the growth of the Turkey Loan Market?

The key factors driving Turkey's Loan Market growth are increasing digital banking, commercial and corporate loans demand, and urbanization.

Why is the interest rate in Turkey so high?

Turkish interest rates are relatively high due to the country's extremely high inflation rate of more than 83%.

How much loan is on Turkey?

In June 2022, Turkey's external debt reached USD444.4 billion.

Who are the key players in Turkey Loan Market?

The key players in Turkey Loan Market are T.C. Ziraat Bankası A.Ş., Türkiye İş Bankası A.Ş., Türkiye Halk Bankası A.Ş, Yapı ve Kredi Bankası A.Ş., T. Garanti Bankası A.Ş., T. Vakıflar Bankası TAO (VakıfBank), Akbank TAŞ, DenizBank A.Ş., QNB Finansbank A.Ş. and TÜRK EKONOMİ BANKASI A.Ş.

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Business Consultant

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Press Release

Turkey Loan Market to be Dominated by Corporate Loan in the Forecasted Period

Jan, 2023

Increased demand for commercial and corporate loans and rising demand for loans through digital banking will fuel the loan market growth across the country through 2028.

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