DUBAI - State Minister Ali Babacan said on Tuesday that Turkey would save about 1 billion U.S. dollars by borrowing with low interest rate with the 8.5 billion U.S. dollars of loan which was signed between Turkey and the United States on Monday.
Babacan told A.A correspondent that studies on technical and legal parts of the loan continued and stated that determining interest rate was one of technical issues.
Stating that the United States had a loan reform law and this law included a method for estimation of the interest rate, he said that estimations on the rate continued.
He stated that interest rate of the loan would be lower than Turkey's borrowing interest rate from the market.
Babacan said that they had an advantage when they borrowed by low interest rate instead of market interest rate.
State Minister Babacan said that implementation of economic program would be taken into consideration while the loan was given.
He added that the first tranche of the loan would be released as a result of an assessment which would be made after Turkey made application for the loan.
(EÖ-AÖ) 23.09.2003