TSKB Continues to Contribute to Türkiye's Sustainable Development with 11.5 % Real Loan Growth in the First Nine Months of the Year

TSKB has announced its financial results for the third quarter of 2024. The Bank’s bank-only financial statements indicate that its total asset size reached TL 221 billion. TSKB CEO Murat Bilgiç stated that they continued to contribute to Türkiye's sustainable development goals by maintaining the ratio of SDG-linked loans in the total portfolio at 91 percent in line with the Bank’s development mission. Bilgiç added that they continued to guide the green transformation journeys of their stakeholders and offer innovative solutions to cover the needs of their customers in the fields of advisory services and investment banking. The Bank differentiated itself from the sector with a high profitability performance in line with its year-end targets. Since the beginning of the year, the Bank has elevated its loan portfolio by 11.5 percent on an FX-adjusted basis to TL 167 billion.

Set to mark its 75th anniversary in June 2025, TSKB (Industrial Development Bank of Türkiye), Türkiye's first development and investment bank, has announced its financial results for the third quarter of 2024. Accordingly, the Bank’s total assets reached TL 221 billion, and since the beginning of the year, the Bank has increased its loan portfolio by 11.5 percent on an FX-adjusted basis to TL 167 billion. TSKB stands out with the financing support it extends to projects focusing on Sustainable Development Goals (SDGs) and continues to contribute to Türkiye's sustainable development goals by increasing investments in climate finance and renewable energy. In addition to its lending operations, the Bank's commission income from investment banking and advisory services has also increased. The Bank's net income for the period increased by 7 percent on a quarterly basis and by 40 percent on an annual basis, reaching TL 7 billion. This performance has enabled the Bank to secure a return on equity of 37.4%. Maintaining a healthy asset quality growth, TSKB has achieved a capital adequacy ratio of 25.0% thanks to its differentiating business model and internal capital generation capacity.

TSKB CEO Murat Bilgiç noted that TSKB aimed to create lasting value by effectively utilizing diversified funds for sustainable development goals. "In this latest period, we have displayed a resilient performance that fulfilled our targets and differentiated us within the sector. In line with our mission for development, we provided long-term cash loan support of USD 1.5 billion to our customers in the first 9 months of the year, primarily for hybrid or renewable energy projects for domestic consumption, inclusiveness-oriented projects and particularly post-earthquake financing. Therefore, SDG-linked loans now make up 91% of our current loan portfolio. In advisory services and investment banking, we continued to guide the green transformation journeys of our stakeholders and to offer innovative solutions to cover the needs of our customers."

TSKB bolsters international cooperation for qualified and sustainable development

Murat Bilgiç indicated that TSKB's strong liquidity facilitated the Bank's progress in line with its growth strategy and that they took major steps for qualified and sustainable development through diversified funding agreements and new funds in the third quarter of 2024. "At TSKB, we pull out all the stops to support the post-earthquake economic recovery in our country since the immediate aftermath of the earthquake. The theme of financing the earthquake-stricken region has a significant weight in our lending operations in the third quarter of the year. Furthermore, we keep delivering new funding efforts under this theme. In August, we signed a USD 50 million financing agreement with the International Islamic Trade Finance Corporation (ITFC) under a repayment guarantee by the Turkish Ministry of Treasury and Finance to contribute to Türkiye's post-earthquake economic recovery and support the rehabilitation of businesses in the region. This deal marks the first cooperation between ITFC and our Bank. We issued a 5-year, USD 350 million bond in October, the eighth of its kind in international markets to be acknowledged as another new and key development on the funding side. At a time of numerous bond offerings on the market, TSKB is pleased to complete another successful issuance, which was almost three times oversubscribed with huge demand from qualified investors. Also in October, we signed our second loan agreement with the EBRD as part of the Green Economy Financing Facility (GEFF). This facility worth EUR 100 million will be used to finance green economy investments such as energy efficiency, renewable energy and climate resilience measures in addition to nature and biodiversity, sustainable transportation and tourism investments. All in all, the funding we have secured since the beginning of 2024 stands approximately at USD 1.7 billion in total."

A people-oriented approach at the heart of the value creation model

Murat Bilgiç underlined that people were the key component in TSKB's value creation model implemented for many years. "As a development and investment bank making investments for the future, we know that our qualified human resources serve as a major, game-changing stronghold. In line with our vision for sustainability and inclusiveness, we work hard to effectively manage our operations as delivered by our qualified human capital. We have been offering a multidimensional contribution to Türkiye's inclusive and sustainable development for almost 75 years, and we have been reporting our contribution since 2009. In our reports, we transparently present our commitment to combating climate change and our goals as well as areas for improvement. Last but not the least, at the 11th Sustainable Business Awards this year, our 2023 Integrated Annual Report ‘Net Negative, Inclusive Development Towards 2053’ received an award in the Sustainable Business Reporting category. As a financial institution that has adopted sustainability and inclusiveness as its mission, we are highly motivated by such pleasing developments to achieve more in the future. In the coming period, we will continue to realize innovative and pioneering efforts in line with our country's development vision and create a lasting value for our country."