A 500 million euro ($590 million) long-term loan package with the China Development Bank (CDB) will help Turkish cellphone operator Turkcell take its business to the next level, the cellphone giant said Monday.

The eight-year maturity loan can be utilized in both euros and China's renminbi (yuan) currency to finance Turkcell's infrastructure investments over the next three years, it said in a statement.

The loan, which will help Turkcell finance the procurement of new equipment, will be repaid in the five years following a three-year grace period.

Last December, Turkcell and the bank signed a memorandum of understanding for the loan.

Osman Yılmaz, Turkcell's chief financial officer, said the loan shows international confidence in Turkey's economy.

Yılmaz underlined that the coronavirus pandemic made clear the importance of telecommunications as data usage jumped some 50% during lockdowns.

"Thanks to the agreement, we plan to finance the procurement of next-generation technologies," he said.