The European Bank for Reconstruction and Development (EBRD) has invested US$100 million in a sustainable bond issued by QNB Türkiye, marking an important step in advancing green finance and inclusive economic growth in the country. The total size of the bond issuance is expected to reach up to US$120 million and is being carried out under QNB Türkiye’s Sustainable Finance and Product Framework, which supports green, social, and sustainability-focused financial instruments.
The bond issuance follows international best practices and is aligned with the International Capital Market Association’s Green Bond Principles and Social Bond Principles. Through this investment, the EBRD aims to expand access to sustainable financing in Türkiye’s private sector while addressing both environmental and social priorities.
A significant portion of the proceeds, amounting to 65 per cent of the total financing, will be directed toward green investments. These include projects in renewable energy, energy efficiency, green buildings, and other eligible initiatives that contribute to reducing emissions and supporting Türkiye’s transition to a low-carbon economy.
The remaining 35 per cent of the funds will be used to promote social inclusion by supporting businesses led by women and young entrepreneurs across the country, thereby significantly increasing the overall impact of the partnership. Women-led businesses in Türkiye continue to face long-standing structural challenges, including limited access to credit, difficulties in meeting collateral requirements, and persistent gender bias within the financial system.
Similarly, youth-led enterprises often struggle with funding gaps, lack of experience, and weak connections to markets. By directing part of the bond proceeds toward these groups, the investment seeks to improve access to finance and help address these barriers. As part of the transaction, QNB Türkiye will also become the first private bank in the country to develop and implement a climate transition plan within the framework of an EBRD investment.
This plan aims to integrate climate risk considerations into the bank’s investment and lending decisions. By embedding climate transition planning into its operations, QNB Türkiye is setting an example for other financial institutions in the country and contributing to the broader effort to align Türkiye’s financial sector with the goals of the Paris Agreement.
Oksana Yavorskaya, EBRD Deputy Head of Türkiye, said the bank is pleased to support QNB Türkiye through this multi-dimensional investment, which advances climate objectives while also promoting inclusion and economic empowerment. She also highlighted QNB Türkiye’s leadership in developing a climate transition plan, describing it as an important step toward building a more resilient and inclusive economy.
Ömür Tan, CEO of QNB Türkiye, noted that the partnership with the EBRD reflects the bank’s commitment to using finance as a driver of sustainable transformation. He stated that the sustainability bond not only supports green investments but also strengthens women-led and youth-led businesses, contributing to a more inclusive and resilient economic environment.
He also emphasized that the climate transition plan reinforces QNB Türkiye’s commitment to aligning its portfolio with the Paris Agreement and supporting the country’s long-term sustainable development. The EBRD remains one of Türkiye’s major investors and has committed more than €23 billion to over 500 projects in the country since 2009, with a strong focus on supporting private sector development.
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