Formal Employment Creation Project

The objective of the Formal Employment Creation Project for Turkey is to enhance the conditions for formal job creation by firms operating in provinces with high incidence of Syrians under Temporary Protection (SuTP), for the benefit of Turkish citizens and refugees. The project has three components. 1. Loans targeting firms with high potential for job creation component will supports loan financing for financially viable firms (a) through direct lending, and (b) wholesale lending. 2. Grants targeting firms conditional on job creation component will finance grants to targeted firms operating in the project provinces conditional on formal job creation among refugees and Turkish citizens. 3. Technical and institutional support component has following subcomponents: Subcomponent 3.A. Skills building for loan beneficiary firms will finance training for management practices; socioemotional skills (such as leadership, teamwork, and client orientation); and financial literacy. Subcomponent 3.B. Skills building for grant beneficiary firms will finance training for employees to build the skills identified in the diagnosis as constraining firms’ capacity to increase formal job creation, including technical and analytical skills. Subcomponent 3.C. Capacity building for loan implementation will finance consultancy services under/by the Project Implementation Unit (PIU) and training activities for the TKYB (Türkiye Kalkınma ve Yatırım Bankası) and Participating Financial Institutions (PFIs). Subcomponent 3.D. Capacity building for grant implementation will finance grant governance body, consultancy services under/by the PIU, goods, non-consulting services (including travel), communication, outreach and visibility activities, and operational expenses to implement the grant component.