In a significant move aimed at promoting inclusive development in Türkiye, the European Bank for Reconstruction and Development (EBRD) has extended a €75 million loan to Türkiye Sınai Kalkınma Bankası (TSKB). The new financing package is designed to help businesses expand opportunities for women and young people, while also addressing the needs of companies operating in regions severely impacted by the 2023 earthquakes.
As part of the agreement, at least 15% of the funding will go to businesses that have structures in place to support youth employment, and another 15% will be allocated to those working in or investing in earthquake-affected areas. The remaining funds will be directed to companies that have embedded practices promoting female employment and leadership.
The project comes at a critical time for Türkiye, where participation of women and youth in the workforce remains lower than that of many OECD countries. This gap is particularly stark in regions affected by the earthquakes, where damaged infrastructure, disrupted livelihoods, and economic uncertainty continue to challenge local job markets.
Oksana Yavorskaya, Deputy Head of Türkiye at the EBRD, commented on the announcement: “TSKB has consistently stood out as a key partner, actively contributing to the majority of the EBRD’s initiatives and providing significant support to the Bank’s transition goals and strategic operations in Türkiye. We are pleased to be joining forces with them again, this time to support the employment of women and young people in the country, as well as providing much-needed financing to earthquake-affected businesses.”
The new funding also marks a milestone in the relationship between the two institutions. While the EBRD and TSKB have collaborated on six previous direct-lending projects, mostly focused on green finance, this latest initiative signals a strategic expansion into the sphere of social inclusion. It also coincides with TSKB’s 75th anniversary, adding further significance to the timing of the announcement.
Murat Bilgiç, CEO of TSKB, reflected on the development, saying: “As we celebrate the 75th anniversary of our Bank, we are proud to break a new ground by launching our very first loan with a theme criterion involved promoting youth employment, alongside the ongoing focus on women’s employment and the earthquake-affected regions. Through this new loan agreement signed with the EBRD, once again prioritizing the earthquake region and placing youth and women at its core, we are advancing our country’s development journey in a more inclusive direction.”
The EBRD has played a pivotal role in Türkiye’s economic development since 2009, having committed nearly €22 billion across 484 projects and trade finance limits, primarily in the private sector. With this new partnership, the EBRD and TSKB are now extending their impact beyond environmental initiatives to include broader social and economic goals that address both equity and recovery.
