European Bank for Reconstruction And Development Provides Up To €25 Million Loan To Boost Green Investments In Türkiye

The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to €25 million to BNP Paribas Finansal Kiralama, a major privately owned leasing company operating in Türkiye. The aim of the financing is to help businesses in the country become more resilient while supporting their shift towards greener and more sustainable investments.

This financing is the first operation under the Türkiye Green Economy Financing Facility (GEFF) III. Through this programme, the funds will be passed on to eligible businesses investing in green economy projects such as energy efficiency improvements, renewable energy systems, and climate-resilient infrastructure. The goal is to make it easier for companies to access long-term financing for environmentally sustainable investments.

A key feature of the initiative is that at least 30 per cent of the total funding will be directed towards green investments in regions affected by the earthquakes that struck Türkiye in February 2023. This support is intended to help businesses in these areas rebuild in a more efficient, sustainable, and resilient way, reducing future risks while encouraging cleaner growth.The total financing package includes €23.5 million from the EBRD and an additional €1.5 million from the Taiwan International Cooperation and Development Fund.

Together, this funding is designed to overcome affordability challenges and ensure that green investments can be made in areas where financing needs are greatest.Alongside the loan, the project will benefit from technical cooperation support provided by the EBRD. This will help strengthen BNP Paribas Finansal Kiralama’s internal capabilities in areas such as climate governance, green lending practices, and risk management.

The programme will also support improved access to finance for women, promoting more inclusive economic participation.EBRD representatives highlighted the importance of working with local financial institutions to expand green investment across Türkiye. They noted that the GEFF programme is designed to channel finance into projects that deliver strong environmental impact while also addressing specific local needs, including recovery in earthquake-affected regions.

BNP Paribas Finansal Kiralama also emphasised that this transaction marks an important step in expanding its role in sustainable finance. As part of BNP Paribas Leasing Solutions, which manages €15.5 billion in annual leasing volumes across 17 countries, the company aims to increase access to financing for energy efficiency, renewable energy, and climate resilience projects, while continuing to support rebuilding efforts in affected regions.

BNP Paribas Finansal Kiralama has been a long-term partner of the EBRD and previously participated in the GEFF II programme. Its strong presence in Türkiye’s construction and industrial sectors positions it as an important channel for expanding green investments, especially in areas where reconstruction and modernisation are most needed.Since 2009, the EBRD has been one of the largest institutional investors in Türkiye, committing more than €24 billion across over 525 projects aimed at supporting sustainable development and economic growth.