Industrial Development Bank to establish Turkiye Green Fund

Turkiye Industrial Development Bank (TSKB) General Manager Murat Bilgic said that they are in the final stages of establishing the Türkiye Green Fund and plan to complete the establishment phase within May.

He also mentioned their aim to realize at least two investments by the end of the year. 

Emphasizing that they are one of the leading banks in Türkiye's development journey, Bilgic used the expression: "To take a loan from TSKB means to take a loan from the World Bank or the European Investment Bank, in a sense."

Bilgic drew attention to their lending of a total of $1.3 billion to the real sector last year in areas such as climate finance, renewable energy, reconstruction of earthquake zones, and support for the sustainable activities of the private sector.

He said that with resource-based loans, this figure approached $2 billion.

Bilgic mentioned that the majority of these funds were provided in the form of investment loans and since February 6, they have focused on the earthquake zone. Providing information that they obtained $600 million in resources for the earthquake zone in one year, Bilgic said: "The resources we have provided will ensure the green transformation of the earthquake zone."

Saying that they do not only perceive green transformation as production, Bilgic expressed that products providing inputs are also supported in this context.

'We expect the fund to exceed $400M'

Reminding that they signed an agreement with the World Bank to establish the Turkiye Green Fund at the end of last year, Bilgic said: "It will be the first venture capital investment fund established by financing in the world. We are establishing a $155 million fund. TSKB will establish and manage the fund. We are establishing it with $155 million, but we expect the fund to exceed $400 million. We expect private sector interest in the fund. We will make equity investments and not provide loans. We will be shareholders in investments that we find successful and capable of green transformation."

"We have reached the final stage of establishing the Turkiye Green Fund. We plan to complete the establishment phase of the fund within May. We aim to realize at least 2 investments by the end of the year," Bilgic said.

'There is an increase in the interest of banks'

Bilgic emphasized that positive developments have occurred in the banking sector in Türkiye.

"We see significant activity in institutions that provide resources to us compared to the previous year. There is an increase in interest. We borrowed capital-like debts about two months ago. These developments also show confidence in Türkiye's banks and banking system," Bilgic added.

Source: Newsroom