The last 20 years witnessed highly volatile financial markets, negative developments in Europe and the Middle East, extreme fluctuations in oil prices, and all the negativities experienced especially in 2015 and 2016. During this tumultuous period, Turkish Airlines recorded aircraft financing transactions totaling USD 3 billion. In 2020, at the start of the Covid-19 pandemic, the biggest test of the global aviation sector, Turkish Airlines recorded aircraft financing transactions worth USD 2.5 billion. These transactions were completed successfully thanks to strong relationships based on mutual trust that have been meticulously maintained with financial institutions around the world for many years.
Due to its effective risk management and transfer
strategy, Turkish Airlines has also increased its type of insurance coverage over the last 20 years from 20 to 32 branches. Turkish Airlines has expanded the volume of aircraft fleet insured in international markets by approximately nine times and the volume of other tangible assets by about 10 times. The sustainability of the Incorporation’s cash flow and liquidity is ensured via systematically implemented financial risk management strategies. As a result, the growth journey and investments of the Incorporation have continued unabated despite the many crises experienced globally over the past 20 years. Thanks to its strong financial infrastructure as a result of agreements with banks across five continents, the Incorporation’s ability to conduct business and transactions on a global level has been maximized. In addition to the development of the first corporate financial risk management software in Türkiye, Turkish Airlines’ strong financial infrastructure is supported by technologies in line with the requirements of today’s world. Turkish Airlines’ efforts include digitalization initiatives such as finance and treasury integration through the ERP software developed to adapt its finance and treasury infrastructure, treasury management system software, SWIFT integration, and robotic system migration.
In addition to Turkish Airlines’ strength in aircraft financing,
liquidity management was carried out in a healthy manner with the provision of long-term unsecured cash loans of nearly EUR 5 billion, thanks to the high credibility of the Incorporation with international and local banks and financial institutions during the transition to the new airport and during the pandemic period. The Incorporation continues to move steadily forward by successfully completing its investments in its main targets.
20 YEARS FROM BOUTIQUE TO TOP THE NEXT 10 YEARS
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