Confirm cookie choices
Cookies are pieces of code used to track website usage and give audiences the best possible experience.
Use the buttons to confirm whether you agree with default cookie settings when using

Vakifbank III - TurSEFF III



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

20 Jul 2016



PSD disclosed:

27 Jul 2016

Translated version of this PSD: Turkish

Project Description

The EBRD has approved EUR 50 million (or its USD or TRY equivalent) financing to Turkish lender Vakifbank under the Turkey Sustainable Energy Financing Facility III ("TurSEFF III") for on-lending to eligible private and public sector companies to finance resource efficiency and small scale renewable energy investments. The project can be funded through a range of financing instruments, including but not limited to senior notes issued under the company's existing Diversified Payment Rights programme or residential mortgage covered bonds. Vakifbank is the second participating financial institution to receive approval for financing under the TurSEFF III framework.

Project Objectives

TurSEFF III builds on success of the first two phases of the framework and aims to (i) further increase financial intermediation for small scale renewable energy investments and a broader range of resource efficiency investments, including energy efficiency, waste minimisation and water savings; (ii) include public sector investments; and (iii) further improve the financial institutions' skills in recognizing and assessing a wider range of sustainable energy and resource efficiency projects.

In addition, TurSEFF III will target the municipal sector in Turkey for the first time through a credit line as well as extending financing to leasing companies which is expected to facilitate financing in areas previously not covered by TurSEFF or any other comparable facility in Turkey.

Transition Impact

Under TurSEFF III, transition impact will stem from: (i) transfer and dispersion of skills by building expertise among both Vakifbank and sub-borrowers related to sustainable energy and resource efficient technologies and investments; (ii) demonstration of benefits of energy conservation and the promotion of expansion of resource efficiency and renewable energy lending in Turkey; and (iii) setting of standards for corporate governance and business conduct by continuing to mainstream EBRD standards.

Client Information


Vakifbank, listed on Borsa Istanbul, is a full-service commercial and retail bank in Turkey with a  wide regional network. The company is a quasi-state-owned entity as it is indirectly majority owned (58.5%) by the General Directorate of Foundations, a governmental institution. 16.1% are owned by the employees' pension fund and another 25.2% are publicly traded on Borsa Istanbul. Vakifbank is the seventh largest commercial bank by assets and the third largest state-controlled bank in Turkey and is currently rated Baa3 by Moody's and BBB- by Fitch.

EBRD Finance Summary

EUR 50,000,000.00

Total Project Cost

EUR 50,000,000.00

Environmental and Social Summary

Categorised FI. Vakifbank will be required to comply with the EBRD's Performance Requirements 2, 4 and 9, apply the EBRD's environmental and social risk management procedures for SME loans and ensure sub-borrowers financed under TurSEFF comply with national requirements for environment, health, safety and labour standards. Vakifbank will submit annual environmental and social reports to the EBRD.

Technical Cooperation

TurSEFF III will be supported by a technical cooperation programme in the amount of EUR 5.8 million. Funding for the programme will be provided by the EU under the two contribution agreements "Enhancement of Turkish Energy Sector in line with EU Energy Strategies" and "EU Instrument for Pre-Accession Assistance (IPA) 2009 Turkey Private Sector Support Facility".

Company Contact Information

Mr. Mustafa Turan, Senior Vice President
+90 212 316 7500
+90 212 316 7126
Camlik Caddesi, Cayir Cimen Sok. No:2 Kat:6 1.Levent 34330, Istanbul, Turkey

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

GDPR Cookie Status