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Journals / İşletme Bilimi Dergisi / 2026 / Cilt: 14 Sayı: 3

Stock Market Reactions to Major World Bank Loan Announcements: Evidence from Türkiye

Erhan Daştan
Mehmet Serkan Çalı
Pages
658–669
Publication Date
2026-09-25
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AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

The findings indicate that World Bank loan announcements generate positive and statistically significant effects on the BIST 100 index in the long term, while producing predominantly negative and statistically significant abnormal returns in the BIST Financial index and its sub-sectors.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:This study examines the stock market effects of World Bank loans by focusing on the two largest World Bank financing packages approved for Türkiye between 2013 and 2023.
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Key Findings & Data:The study evaluates their impact on the BIST 100 index, as well as the BIST Financial index and its sub-indices.
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Conclusion & Impact:The findings indicate that World Bank loan announcements generate positive and statistically significant effects on the BIST 100 index in the long term, while producing predominantly negative and statistically significant abnormal returns in the BIST Financial index and its sub-sectors.
🔬Design:Araştırma Makalesi
📍Scope:2013 Verileri
⚙️Variables:World Bank Loans · Stock Markets · Event Study

Abstract

This study examines the stock market effects of World Bank loans by focusing on the two largest World Bank financing packages approved for Türkiye between 2013 and 2023. The study evaluates their impact on the BIST 100 index, as well as the BIST Financial index and its sub-indices. Using the Event Study methodology, it investigates both short- and long-term market reactions to loan announcements. The findings indicate that World Bank loan announcements generate positive and statistically significant effects on the BIST 100 index in the long term, while producing predominantly negative and statistically significant abnormal returns in the BIST Financial index and its sub-sectors. These findings provide new empirical evidence that announcements of large-scale World Bank financing are priced differently across sectors of the Turkish stock market, highlighting the importance of sectoral dynamics in shaping market reactions to external financing.

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Cite This Article

Daştan, E., Çalı, M. S. (2026). Stock Market Reactions to Major World Bank Loan Announcements: Evidence from Türkiye. İşletme Bilimi Dergisi, Cilt: 14 Sayı: 3, 658–669. https://doi.org/10.22139/jobs.1795857

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