Turkiye GEFF II - Project Sing

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

The Bank has invested USD 25 million under Türkiye GEFF II in a USD 150 million Basel III compliant Tier-2 ("B3T2") bond issued by ING Türkiye ("INGT"), a commercial bank incorporated in Türkiye. The bond is publicly offered and listed on the Irish Stock Exchange.

Project ID 55713

Status Signed

Location

Business Sector

Financial Institutions

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Meric Pabuccu
fksbsp@ing.com.tr
+90 (0) 212 335 10 00
+90 (0) 212 335 10 00
www.ing.com.tr
Resitpasa Mahallesi Eski Buyukdere Caddesi No:8 34467 Sariyer/İstanbul

Project ID 55713

Status Signed

Location

Business Sector

Financial Institutions

Notice Type

Private

Environmental Category

Approval Date

11 Sep 2024

Disclosure date

16 Oct 2024

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project description

Project objectives

The project will support INGT in strengthening its already strong capitalisation, via decreasing capital sensitivity to TRY volatility as well as supporting its funding diversification strategy , ultimately contributing to the resilience of the overall Turkish banking sector. Furthermore, INGT will allocate 210% of EBRD`s investment amount to projects which meet the GET eligibility criteria, in line with the Türkiye GEFF II Framework. INGT will finance sub-borrowers implementing green economy investments in a gender responsive way, including, among others, energy efficiency, renewable energy and climate resilience measures, and additional green investment areas focusing on nature and biodiversity, blue economy, as well as sustainable transport and tourism.

Transition impact

ETI Score:71

Project will contribute to Green and Resilient transition impact qualities.

Green: The project supports the EBRD's Green transition quality and Green Economy Transition (GET) approach in Türkiye, through INGT allocating a multiple of the EBRD investment amount to finance GET-eligible projects.

Resilient: The project also contributes the Resilient transition quality by supporting INGT in strengthening its already strong capitalisation as well as decreasing capital sensitivity to TRY volatility, ultimately contributing to the resilience of the overall Turkish banking sector.

Client information

ING BANK AS

As of 1H24, INGT had a market share of 0.6%, having EUR 4.2bn total assets, EUR 2bn loan book, and EUR 518m equity. INGT, rated BB- (stable) by Fitch, has diversified business model serving retail, mid-corporate, SMEs and wholesale banking client segments, through 2,710 staff and 85 branches as of 1H24. ING Türkiye is a member of the Netherlands based ING Group, a globally significant financial group.k

Additionality

Additionality of the project stems from the financing structure and Innovative financing instruments: EBRD financingis a valuable contribution to successfully executed issuance. Also, the investment plan includes 210% of the EBRD funds to be allocated to projects which meet GET eligibility criteria.

Environmental & Social Summary

Categorised FI (ESP 2019). INGT is an existing client of the Bank and environmental and social due diligence included a review of the annual environmental and social report (the AESR-2023). INGT will be required to continue to comply with EBRD's Performance Requirements (PRs) 2, 4 and 9, including applying the EBRD's E&S Exclusion List and the Referral list and submit Annual Environmental and Social Reports to the EBRD in the context of the WIB and GEFF Programme.

Technical Cooperation and Grant Financing

GEFF II is supported by the TC program to enhance the Facility's implementation including for (a) implementation of the new requirements and processes related to the new categories of eligible green products and enhancing PFIs` green skills, and (b) sub-borrowers` projects assessments. The TC will also aid in expanding financing into new sectors such as sustainable agriculture and tourism by conducting market analyses, identifying bottlenecks, and arranging activities to promote sector transformation towards sustainability and inclusivity.

Company Contact Information

Meric Pabuccu
fksbsp@ing.com.tr
+90 (0) 212 335 10 00
+90 (0) 212 335 10 00
www.ing.com.tr
Resitpasa Mahallesi Eski Buyukdere Caddesi No:8 34467 Sariyer/İstanbul

PSD last updated

18 Oct 2024

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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Turkiye GEFF II - Project Sing

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)