ISTANBUL - The European Bank for Reconstruction and Development (EBRD) will provide 30 million euros ($32.50 million) in long-term financing to Turkey's Ronesans Gayrimenkul Yatirim to support regions affected by last year's earthquakes.

The loan will be provided to the subsidiary of Turkey's Ronesans Holding that deals with commercial real estate development and investment, the company said in a statement.

It said the funds will be used to support capex of two shopping centres in the southeastern provinces of Kahramanmaras and Sanlıurfa that were struck by the February 2023 earthquakes. The loan will be backed by a guarantee from the European Union.

The financing will also help to support businesses and livelihoods in the region which faces labour shortages following migration from the area after the disaster, the statement said.

On Tuesday, the Turkish treasury and the EBRD signed a memorandum of understanding for 500 million euro financing to support efforts to revive the earthquake region, Anadolu news agency reported. REUTERS