Turkey gets $35 billion in green transformation aid from World Bank

Mehmet Simsek, Turkey's Minister of Treasury and Finance, announced that the World Bank will provide Turkey with a $35 billion assistance package. This comes as Simsek shared news of a recent loan agreement with the bank totaling 895.7 million euros.

Simsek emphasized the importance of investments in renewable energy and improving production efficiency, noting their potential to reduce the country's current account deficit and foreign dependence.

The Medium Term Program (MTP) includes a separate section dedicated to "green transformation." This reflects the government's commitment to prioritize green initiatives in public investment. Simsek mentioned their proactive approach to seeking external financial resources by discussing with various stakeholders and institutions during international engagements.

Stressing the urgency of the matter, Simsek said that if investments in renewable energy were made within the next three years instead of 10 years, it would lead to a faster reduction in the current account deficit and foreign dependence. He singled out the World Bank as a critical financier in this effort.

As part of this collaboration, the Ministry of Environment, Urbanization and Climate Change and Iller Bank Inc. have signed financing agreements with the World Bank for 500 million euros. These funds will be channeled into the "Public Sector and Municipal Renewable Energy Project".

Further deepening the partnership, Simsek unveiled an additional secured financing of 395.75 million Euros for the "Water Circularity and Efficiency Enhancement Project". This initiative will be led by the General Directorate of State Hydraulic Works in cooperation with Iller Bank.