Interview on the successful cooperation between export credit agencies SERV and Atradius DSB
The Nakkaş–Başakşehir motorway project in Türkiye brought together Swiss Export Risk Insurance SERV and Dutch export credit agency Atradius Dutch State Business. In a double interview, Vira Tsymbalyuk (SERV) and Alexander Otten (Atradius DSB) told us about their cooperation and the lessons they learned for the future.
Can you describe the motorway project in Türkiye to us in just a few words?
Vira Tsymbalyuk: Nakkaş–Başakşehir is the final stretch of a motorway connecting major industrial and logistics centres in the European part of Istanbul. The objective is to redirect transit traffic and thus reduce environmental and noise pollution in the urban area.
And how did you become involved as an export credit agency?
Vira Tsymbalyuk: SERV joined the project through Swiss infrastructure company Heitkamp Construction Swiss. The procurement of specific building materials and technical equipment was a fundamental part of Heitkamp’s mandate. SERV provided support with their export services.
Alexander Otten: We were contacted by Ballast Nedam International Projects. This Dutch company undertakes large and complex construction projects all over the world, often under challenging conditions. Ballast Nedam was involved in the motorway project, which brought us in too, as we support all Dutch exporters.
Which main risks did you identify in advance? Did any specific challenges arise from the project being located in Türkiye?
Alexander Otten: The motorway project in the centre of Europe’s most populous city presented a number of environmental risks and social challenges.
Vira Tsymbalyuk: That’s right. The construction work was suspended in October 2022 to ensure that international standards were being observed, and the issues of potential resettlements and expropriations were addressed. Work resumed in early 2024. The state of the Turkish economy also caused additional complications. High inflation and market volatility affected both the construction work and the financing.
Alexander Otten: Still, we overcame all those challenges in the end, not least thanks to our cooperation with SERV.
How did you contribute to this project? And how did you complement each other?
Vira Tsymbalyuk: Atradius insured a banking group, which supported the project with a loan of about 200 million euros. We weighed in with buyer credit insurance of about 240 million euros, half of which was reinsured by Polish export credit agency KUKE. So, Atradius and SERV complemented each other in that we covered different lenders associated with the project.
How did the cooperation play out between insurance providers, export companies, banks and local partners?
Vira Tsymbalyuk: The cooperation between the different lenders, export credit agencies and sponsors was initially challenging. We needed a coordination hub to get the banks and insurers at the same table as the advisors and the sponsors. The communication improved once we had established this hub. Ultimately, the project benefited from the diversity and expertise of the creditors.
And how was the cooperation between Atradius DSB and SERV?
Alexander Otten: The cooperation between Atradius DSB and SERV worked really well and was key to the success of the project. We consistently adopted a common position on important matters. This enabled us to ensure the export credit agencies could make themselves heard in the project.
What will you take with you from this project going forward?
Alexander Otten: I learned that lenders need to start talking to each other as soon as possible. It’s also important to have specialised financial advice in these projects to offer guidance and information to all the export credit agencies.
Vira Tsymbalyuk: Geopolitical uncertainties, national interests and supply chain interruptions are increasingly disrupting international infrastructure projects. But if we cooperate as export credit agencies, we can contain the risks. The cooperation with Atradius made us stronger and we look forward to working together on more projects in the future.
Our conversation with
Vira Tsymbalyuk – SERV
Vira Tsymbalyuk is a Senior Underwriter in SERV’s Project Finance & Infrastructure team. She specialises in infrastructure transactions for road, rail and energy supply projects, among other things
Alexander Otten – Atradius DSB
Alexander Otten is a member of the Project Finance team at Atradius DSB, the Dutch export credit agency. He has previously worked on various project financing transactions in different sectors
