KOSGEB FOSTER II Project
FOSTER II is a project funded by the European Union (EU) and implemented by the Small and Medium Enterprises Development Organization of Türkiye (KOSGEB). Its full name is FOSTER: Empowering the Private Sector to Foster Social and Economic Cohesion in Türkiye. It offered employment-linked financing support to SMEs; financing applications have closed. Support is open to SMEs registered in Türkiye. Foreign investors can apply for current programmes once they have set up a company in Türkiye.
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- KOSGEBprogramme history and current options
Applications for the FOSTER II Financing Support Programme have closed; there are no open applications under the programme. In a pre-assessment, we can work out with you which current KOSGEB support suits your business. Explore current support · Official source
Provinces covered
SMEs operating in Adana, Adıyaman, Ankara, Batman, Bursa, Diyarbakır, Gaziantep, Hatay, İstanbul, İzmir, Kahramanmaraş, Kayseri, Kilis, Kocaeli, Konya, Malatya, Mardin, Mersin, Osmaniye and Şanlıurfa
Programme components
Component I: financing support of up to EUR 18 million
A total of EUR 18 million in financing support was allocated for the Employment-Linked SME Finance Support Programme (İstihdam Taahhütlü KOBİ Finansman Destek Programı); financing applications have closed. Through interest/profit share support, the programme aimed to bring unemployed or informally employed Turkish citizens and people under temporary or international protection into registered employment and economic life, and to protect existing jobs.
Total employment created under the programme | Creating or protecting registered employment positions for foreigners under temporary or international protection and for Turkish citizens (with at least 50% being Social Cohesion Assistance (SUY) beneficiaries or other foreigners) |
Beneficiary SMEs | At least 554 businesses |
Component II: grant support of up to EUR 43 million
Total employment created under the programme | Creating or protecting registered jobs for Turkish citizens and foreigners under temporary or international protection (at least 50% of them Social Cohesion Assistance beneficiaries or other foreigners) |
Beneficiary SMEs | At least 875 businesses |
- Through projects prepared by SMEs operating in the 20 provinces where the project runs, the aim was to create or protect registered jobs for Turkish citizens and people under temporary or international protection.
- A total of EUR 43 million in grant support was allocated for the Employment-Linked SME Support Programme; applications for SME Support Programme-II were accepted from 1 to 31 December 2025.
Other services
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KOSGEB
Entrepreneurship Support
For set-up and early-stage costs of new and planned businesses.
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KOSGEB
R&D, Technological Production and Localisation Support
For SMEs aiming to make strategic and technology products in Türkiye.
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KOSGEB
Business Development, Growth and Internationalisation Support
For SMEs targeting productivity, partnerships and international growth.
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KOSGEB
SME Digital Transformation Support Programme
For manufacturing SMEs digitising production with machinery and software.
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Grants and incentives
KOSGEB Consulting
We manage SME applications for start-up, capacity and digital transformation support.
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Grants and incentives
TÜBİTAK Consulting
We design and run your R&D and innovation projects under the TÜBİTAK programme that fits you.
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Grants and incentives
Investment Incentive Consulting
We place your investment in the right programme and manage the Investment Incentive Certificate.
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Grants and incentives
Export Support
We plan trade fair, promotion and market entry costs with Ministry of Trade support.
Frequently asked questions
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What is the KOSGEB FOSTER II Project?FOSTER II is the Employment-Linked SME Finance Support Programme, financed by the European Union…
FOSTER II is the Employment-Linked SME Finance Support Programme, financed by the European Union and implemented by KOSGEB. It offered SMEs non-repayable support towards loan interest or profit share, provided they met their employment commitment; applications for financing have now closed.
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Which provinces and sectors does FOSTER II cover?FOSTER II was aimed at SMEs in specific provinces, including Ankara, İstanbul, İzmir and Kocaeli.
FOSTER II was aimed at SMEs in specific provinces, including Ankara, İstanbul, İzmir and Kocaeli. The last call covered manufacturing, computer programming and scientific R&D activities; we go through KOSGEB’s announcement with you to check the current province list and call status.
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What is FOSTER II support conditional on?Under the last call, FOSTER II support depended on the borrowing SME meeting its employment commitment.
Under the last call, FOSTER II support depended on the borrowing SME meeting its employment commitment. The support amount was higher for employing women or young people; the aim was to increase registered employment.
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FOSTER II has closed; what can a consultant do today?FOSTER II financing applications have closed.
FOSTER II financing applications have closed. At FIX, we work out with you in a pre-assessment which current KOSGEB support and employment conditions apply to your business.