Turkish Airlines has added Chinese yuan to its financing portfolio in line with its natural currency hedging policy, thanks to its diversified revenue structure.
The three Airbus A350 aircraft added to the airline’s fleet between May and July of this year were all financed in Chinese yuan by AVIC International Leasing and CCB Financial Leasing.
With regard to these transactions, Turkish Airlines chairman Ahmet Bolat remarked that this marks an achievement in the company’s successes in aircraft financing. Indeed, it is now the first airline to secure aircraft financing in Chinese yuan outside of China.
Bolat said: “By adding the fifth currency to the variety of currencies used in aircraft financing, we do not only support our currency hedging strategies but also focus on keeping our financing cost at the minimum levels. Our Chinese business partners’ interest and support to this transaction, which was never used outside China before, is an indicator of the mutual trust between the parties as well as the collaboration between our countries.”
Bolat added that, in the near future, Turkish Airlines aims to continue being a pioneer in the market by adding new structures to these successful and innovative financings in the future.
On its success journey from boutique to the top, Turkish Airlines continues to grow in the Chinese market by increasing flight frequencies and several collaborations with valued partners in the region. By working with leading aircraft financiers in the Chinese market, global airline is also enriching its financing portfolio in terms of both currency and geography.
