Under the framework of the development campaign following the Turkish War of Independence, İlbank was founded in line with the instructions of our Great Leader Mustafa Kemal Atatürk for redevelopment and construction of our cities and towns.
- İlbank was established on June 11th, 1933 under the name "Bank of Municipalities" with a capital of TRY 15 million by Law no. 2301 to finance development activities of municipalities..
- Considering that the Bank operated only for Municipalities according to its Establishment Law, that its founding capital failed to meet the increasing need for loans as the rapid population growth and urbanization, and also that special provincial administrations and villages in need of financial resources and technical assistance were excluded and hence the fields of activity of the Bank should be further expanded, the Bank of Municipalities was intended to have a different structure, and a draft law was prepared to transform the Bank of Municipalities into a Development Bank for Local Governments and submitted on 29.07.1944 to the Grand National Assembly of Turkey. During the discussion on this draft by the Budget Commission, the name of the bank was changed to 'Bank of Provinces' (İller Bankası or briefly İlbank).
- The General Directorate of İlbank, covering special provincial administrations, municipalities, and villages and undertaking over the duties of the Bank of Municipalities, was officially established upon the entry into force of Law no. 4759 enacted on 13.06.1945 and published in the Official Gazette on 23.06.1945.
- The Bank has been renamed as "İller Bankası A.Ş." (İlbank Incorporated or briefly İlbank Inc.) by Law no. 6107 enacted by the Grand National Assembly of Turkey on 26.01.2011 and published in the Official Gazette on 08.02.2011.
- İlbank Inc. is a development and investment bank, which is a special-budget incorporated company, subject to provisions of private law, having a legal personality.
