Okuzeka
Finance & Banking vocabulary · Loans & Credit

Syndicated loan

Meaning in finance & banking, with examples

nounAdvanced term

In finance & banking, syndicated loan means: A large loan provided by a group of banks together under one agreement, so that no single bank takes all the risk.

In Turkish: sendikasyon kredisi

How it is used

Used in corporate and international banking. One or more arrangers organise the deal, an agent bank manages payments, and participating banks join the syndicate. Turkish banks regularly borrow from international banks through syndicated loans and renew them at maturity. Key terms include margin, tenor and rollover ratio.

Example sentences

  1. The bank renewed its syndicated loan with 40 international lenders.

  2. We are joining the syndicated loan for the airport project as a participant bank.

Common collocations

  • syndicated loan
  • arrange a syndicated loan
  • agent bank
  • rollover ratio
  • syndicated facility
  • credit facilityAn arrangement in which a bank agrees to lend a company up to a set amount, which the company can draw on as needed under agreed terms.
  • corporate bankingBanking services for large companies, such as loans, cash management, trade finance and foreign exchange.
  • refinanceTo replace an existing loan with a new one, usually to get a lower interest rate, a longer term or different conditions.
  • project financeLong-term financing for a large project, such as a power plant or motorway, in which the loan is repaid mainly from the project's own future cash flows.
  • covenantA promise in a loan or bond agreement that the borrower will or will not do certain things, such as keeping its debt below a set level.

More terms: Loans & Credit

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This page explains English vocabulary for learners. It is not financial advice.