Signing Ceremony Held for $865 Million in Financing

A signing ceremony was held for two separate financing packages that the World Bank approved in recent months for the Development and Investment Bank of Türkiye (TKYB) and the Industrial Development Bank of Türkiye (TSKB).

The agreements, signed during the “Toward COP31: Climate Finance Policy Dialogue” program, cover the approval of a combined $865 million in additional financing for the Accelerating the Market Transition for Distributed Energy project and the Türkiye Industrial Emissions Reduction Project.

Unlicensed wind projects were also included

In June, the World Bank approved a total of €400 million in additional financing for the second phase of the Accelerating the Market Transition for Distributed Energy project, allocating €200 million each to TSKB and TKYB.

The first phase of the project, launched in 2024, covered only unlicensed solar energy projects. The scope was expanded in the second phase to include unlicensed wind energy and energy storage investments among the projects eligible for financing.

Financing provided under the second phase is expected to support the deployment of 1,579 Megawatts of renewable energy capacity and 392 Megawatt-hours of battery storage capacity, while mobilizing up to $405 million in private-sector financing.

$600 million to support industrial decarbonization

In 2024, the World Bank provided TKYB with $200 million for the first phase of the Türkiye Industrial Emissions Reduction Project, carried out in cooperation with the bank. In July, it approved an additional $400 million for the project’s second phase.

The project is intended to finance investments by industrial companies in Türkiye aimed at improving energy and resource efficiency or reducing smokestack emissions.

Both financing packages were provided with a repayment guarantee from Türkiye’s Ministry of Treasury and Finance.