EBRD, DenizBank launch €175 million financing package in Türkiye

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EBRD & DenizBank €175M package

Highlights

EBRD and DenizBank launched a €175 million financing package comprising up to €50 million each for Women in Business II and Youth in Business, and €75 million for GEFF III in Türkiye.
At least 30 per cent of the €75 million GEFF III financing is allocated to new loans for businesses in earthquake-hit regions, supporting reconstruction and green recovery.
DenizBank and EBRD cite a 17-year partnership mobilizing about U.S.$1.1 billion, with the new deal aiming to expand access for women- and youth-led businesses and promote green investment.

Funding structure and programme focus

As reported by European Bank for Reconstruction and Development, the financing package for DenizBank includes three loans designed to support inclusion and climate-focused investment in Türkiye. The bank says up to €50 million is being provided under the Türkiye Women in Business II programme, another up to €50 million under the Türkiye Youth in Business programme, and a third facility of up to €75 million under the Türkiye Green Economy Financing Facility III, or GEFF III.

The Women in Business and Youth in Business facilities are intended to help DenizBank extend longer-term financing to micro, small and medium-sized enterprises owned or led by women and young entrepreneurs. Both programmes are backed by the Türkiye Credit Guarantee Fund.

The Youth in Business facility places particular emphasis on underserved companies, including businesses operating in areas hit by the February 2023 earthquakes. That financing also benefits from first-loss risk cover for the EBRD, provided by the European Union through the European Fund for Sustainable Development Plus programme.

The GEFF III facility consists of €70.5 million in EBRD financing and €4.5 million in concessional finance from the Clean Technology Fund. The money is being used to finance eligible green economy investments by businesses and individuals, supporting Türkiye’s shift toward a more resource-efficient and low-carbon economy.

Regional recovery and partnership impact

At least 30 per cent of the GEFF III financing is earmarked for new loans in earthquake-affected regions, linking the programme to longer-term reconstruction and green recovery efforts. The facility also aims to promote more equal access to green finance for women and men.

Elisabetta Falcetti, the EBRD’s managing director for Türkiye and the Caucasus, says the transaction brings together three of the lender’s core programmes in the country in a single deal with DenizBank. She says the structure allows the EBRD to support both inclusion and the green transition while combining its own financing with backing from the European Union, the Turkish Treasury and the Clean Technology Fund.

DenizBank Chief Executive Officer Recep Baştuğ says broader access to finance and faster green transition in the real economy are central to Türkiye’s sustainable growth. He says the lender’s 17-year partnership with the EBRD has already mobilised about U.S.$1.1 billion across multiple sectors, and that the new package is intended to expand opportunities for women-led and youth-led businesses while supporting green investment more broadly.

DenizBank operates 574 domestic branches and employs nearly 12,000 people in Türkiye. The bank has been wholly owned by Emirates NBD since 2019, while the EBRD says it has committed more than €26.6 billion in Türkiye since 2009, largely in the private sector.

In a previous article, we explained Pakistan’s push for priority-sector lending to housing, farms and SMEs.

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