QNB Türkiye signs $500 million in financing agreements with five international development institutions at COP31

QNB Türkiye signed, on the sidelines of the 31st Conference of the Parties (COP31), financing agreements worth a maximum of $500 million for a five-year term with five international development institutions, according to an announcement by Anadolu Agency.

The agreements included: the Asian Development Bank (ADB) with $100 million, of which $50 million is for green finance and the remainder for the "silver economy bond" for small and medium-sized enterprises owned or managed by middle-aged and older individuals. The Asian Infrastructure Investment Bank (AIIB) with a maximum of $150 million for climate finance and green investments. The European Bank for Reconstruction and Development (EBRD) with $100 million under the Green Economy Financing Facility (GEFF) programme. The Netherlands Development Finance Company (FMO) with a maximum of €50 million through the "nature bond" covering the blue economy, forests and agriculture. And the International Finance Corporation (IFC) with a maximum of $100 million for green investments and support for women's entrepreneurship.

Ömer Tan, General Manager of QNB Türkiye, told Anadolu Agency that its total external resources had reached $11 billion, of which about $3.5 billion came from sustainable sources, against a sustainable loan portfolio of about $5.8 billion, pointing to the importance of signing with five prestigious international development banks in the field of sustainable finance.

The agreements include a set of banking "firsts", most notably that the silver economy bond slated to be issued in partnership with ADB will be the first of its kind issued in Türkiye in which the Asian bank is an investor.

Tan noted that the main axis of COP31 is electrification, as it aims to raise electricity's share of total final energy globally from 23% currently to 35% by 2035.