New EUR 150 million Loan on Circular Economy from TSKB and AFD
TSKB signed a credit facility with AFD for EUR 150 million to finance companies aiming to develop circular economy practices in Türkiye. This agreement, the ninth cooperation between TSKB and AFD, aims to support circular economy investments and accelerate the efforts in the circular economy field in Türkiye. TSKB CEO Ozan Uyar stated that the loan extended is a continuation of the EUR 80 million circular economy loan signed in 2022 and said, "This agreement we have signed with AFD also stands out as the most comprehensive support we will provide for the circular economy, which is one of the priority areas for our country’s sustainable development. We are delighted to directly contribute to financing investments and raising awareness in the circular economy theme as COP31 summit approaches, which Türkiye will host for the first time this year."
TSKB (Industrial Development Bank of Türkiye) secured EUR 150 million in funding from the Agence Française de Développement (AFD). This funding aims to provide financing to circular economy investments and companies aiming to develop their circular economy practices.
Isabelle Dumont, Ambassador of France to Türkiye, Nadia Fanton, Consul General of France in Istanbul, Xavier Muron, AFD Group Türkiye Director, attended the signing ceremony hosted by TSKB at the Bank's Head Office in Istanbul.
The funding is a continuation of the EUR 80 million circular economy loan signed in 2022, which was completed successfully. The technical consultancy process within the framework of the grant agreement provided under the first loan will continue with the new agreement. TSKB is expanding its partnerships with various sector representatives while determining its strategy in this field through the Circular Economy Roadmap.
Expressing his gratitude with taking this cooperation further with a new agreement signed with AFD, Ozan Uyar, TSKB CEO, said, "With this loan, the total amount of funds we have obtained from AFD since 2005 has reached EUR 675 million. Circular economy is gaining more and more importance in line with sustainable development goals. We aim to contribute to the mainstreaming of investments that increase resource efficiency and support reuse and recycling through the financing we have acquired. Through this new agreement, which is a continuation of our first circular economy loan we obtained in 2022, we will continue to contribute the investments of our country in transition to the Circular Economy with our loan models that include measurement and improvement methodologies, and our competence in engineering and technical consultancy while supporting the transformation of our business partners in this field. We have been working with a high focus regarding the circular economy financing in line with our country's sustainable development goals. We are delighted to contribute directly to financing investments and raising awareness in the circular economy theme while COP31 summit approaches, which Türkiye will host for the first time this year."
"This ninth agreement with TSKB is a testament to what a long-standing partnership can achieve.” stated Xavier Muron, AFD Group Türkiye Director. “Over nearly two decades, we have built something rare: a relationship grounded in shared ambition, where each new agreement goes further than the last. TSKB's commitment to embedding circular economy principles into its financing strategy mirrors AFD's own priorities, and it is a genuine source of pride to support a partner that leads by example."
Ambassador of France Isabelle Dumont added: "This agreement is one more expression of the depth and vitality of the France-Turkey partnership. Beyond finance, it reflects a shared belief that sustainable development is not a constraint but an opportunity — one that our two countries are determined to seize together, at a moment when Turkey's hosting of COP31 places it at the very heart of the global climate conversation."
Since 2005, TSKB and AFD have launched important projects in various areas such as renewable energy, energy efficiency, health, education, environment, sustainable tourism and women's employment. In addition to the mainstreaming women’s employment agenda which began in 2016 and continued in 2019, this new loan is being provided following the successful completion of the first circular economy loan amounting to EUR 80 million provided in 2022.
