The European Bank for Reconstruction and Development invested Eur2.48 billion in Turkey in 2023, the bank said Jan. 25, highlighting that green financing accounted for 58% of the total investment.
The bank said it remained committed to supporting the development of Turkey’s private sector and its green transition, particularly in the aftermath of the February earthquakes that hit the southeastern region, causing widespread damage.
The EBRD is also keen to support Turkey’s metals, cement and fertilizer sectors on their journey toward carbon neutrality.
The bank and Turkey’s Ministry of Industry and Technology discussed the findings of an EBRD-led study into low-carbon pathways (LCPs) in these sectors in a meeting held in Turkey in late November.
“The LCPs are an important input into the design of the emissions trading scheme the government plans to implement to promote the cost-effective decarbonisation of industrial operations in the country,” the EBRD said.
It provided a loan of $200 million to Turkey’s largest steel pipe producer Borusan Holding’s energy subsidiary, Borusan EnBW, in 2023. The bank also said it has supported some Turkish metal companies’ investments in renewable energy.
EBRD Managing Director for Turkey Arvid Tuerkner said: “It was a significant year for green and gender-related projects in the country. The EBRD has been and will continue to be a key supporter of Turkey’s journey towards a greener, more resilient and more inclusive economy.”
With the EU’s Carbon Border Adjustment mechanism having brought some obligations to the sector, Turkish steel producers have raised their renewable energy investments in recent years, to reduce their carbon emissions and energy costs.
High energy and raw material costs as well as slow demand have affected Turkish mills’ steel pricing throughout 2023.
Turkish rebar export prices were stable on Jan. 24, as rebar producers maintained elevated offers amid softening scrap import prices into Turkey.
Platts, part of S&P Global Commodity Insights, assessed Turkish exported rebar at $615/mt FOB Jan. 24, stable on day.
Author Cenk Can