TKYB CEO İbrahim Öztop: “We Are Building the Future on the Legacy of the Past”

Established in 1975 under the name State Industry and Workers’ Investment Bank, Development and Investment Bank of Türkiye celebrated its 50th anniversary with a special meeting. Stating that the Bank had worked for Türkiye for 50 years as a state-owned bank, TKYB CEO İbrahim Öztop said: “Since the first steps we took in 1975, we have undertaken countless major projects to strengthen our economy, encourage investment and contribute to sustainable development objectives. In this process, we have gone beyond being merely a financial institution and acted as a strategic player shaping our country’s development vision. Today, as we mark half a century of deep-rooted history, we are proud to have become a symbol of permanence and trust and remain determined to support every project that adds value to our country.”

“Our Bank Has Contributed to 6% of Türkiye’s Renewable Energy Capacity”

Stating that the Bank supports many sectors—from industry and green energy to tourism and technology—for Türkiye’s development, Öztop said: “Through the resources provided by Development and Investment Bank of Türkiye, we stand by our investors in financing projects that increase exports, reduce the current-account deficit, contribute to expanding our country’s production capacity and create new employment opportunities. Through the thematic funds we secure, we contribute to investors’ access to finance in many areas, particularly value-added production, climate finance, renewable energy and energy efficiency, food security, disaster resilience, emissions reduction, financial inclusion and SME finance, technology and regional development. In line with the net-zero emissions objectives under the Paris Agreement, to which our country is a signatory, renewable energy is one of our priority areas, and 58% of the resources we secure are themed around renewable energy and energy efficiency. Today, through energy projects that account for approximately half of our loan portfolio, we have contributed to the creation of around 6% of Türkiye’s renewable energy capacity.”

“We Brought 56% of All Resources Secured to Date into Our Country Over the Last Six Years”

Stating that the Bank secures most of its resources from international development finance institutions, Öztop said: “As of the end of September 2024, our resource volume had reached approximately TRY 105 billion, and we secured around 56% of these resources during the 2018–2024 period. We continue our efforts without interruption to diversify our resources and bring more medium- and long-term funding into our country.”

“Sustainability-Themed Loans Account for 93% of Our Loan Portfolio”

Stating that the Bank regards sustainability not as a choice but as a responsibility, Öztop said: “We aim to be a pioneer of the green transition in Türkiye and, in line with this objective, contribute to our country’s economic and social development journey by offering environmentally responsible financing solutions. We are one of the few banks to apply an environmental and social risk assessment and monitoring process regardless of loan amount, maturity or sector. The fact that sustainability-themed loans account for 93% of our loan portfolio is the clearest indication of the importance we attach to our sustainable development mission. In addition to contributing directly and indirectly to 15 of the United Nations Sustainable Development Goals, we are proud that our loans linked to these goals have reached USD 2.8 billion.”

“We Are One of Türkiye’s Leading Sustainable Institutions”

Stating that the Bank is recognised as one of Türkiye’s leading sustainable financial institutions, Öztop said: “We also receive international recognition in this area and crown our achievements with the awards we have won in succession.” Continuing with information on the Bank’s impact-investing activities, Öztop said: “We regard investments’ contribution to increasing social welfare, in addition to generating financial returns, as one of the most fundamental requirements of sustainable development under today’s conditions. Accordingly, to build a sustainable future, we prioritise combating climate change, protecting natural resources and biodiversity, and supporting socio-economic development. With this vision, we lead the development of the impact-investing ecosystem in our country and take bold steps to increase investments in this field. We aim to continue our pioneering role in developing the impact-investing ecosystem and increasing impact investments in Türkiye by establishing an Impact Fund under the Türkiye Development Fund (TKF).”

“Financial and Regional Inclusion Are Among Our Priority Areas”

Emphasising the importance of supporting SMEs, the backbone of the economy, as a bank focused on financial inclusion and access to finance, Öztop said: “We regard the strength of SMEs as a safeguard for the economy. In this area, we provide financing to SMEs both directly through SME-themed loans and grants secured from international financial institutions and indirectly through other financial institutions under our wholesale banking activities. We also support development-focused SMEs directly or indirectly through our funds under TKF. Regional development is another priority area. As a bank that has worked uninterruptedly for our country’s development with a responsible banking approach for half a century, we consider it extremely important to help heal the wounds of the earthquake-affected region, revitalise it and improve its resilience to earthquakes. We will continue to provide vital support to the region by offering financial advisory services to companies in earthquake-affected areas and providing financing through direct loans, grant programmes and wholesale banking activities.”

Öztop stated that the Bank had achieved successful results and broken new ground in many transactions under its investment banking services: “We have carried out pioneering transactions in many areas, from major initial public offerings in Türkiye to sukuk and bond issuances. We are justifiably proud to have completed Türkiye’s first transition bond for a low-carbon economy and its first social sukuk issuance. We will continue developing financing solutions that attract foreign direct investment to our country, contributing to the deepening and development of our capital markets, supporting our investors’ access to finance by developing different capital-market products, and making a difference in the sector. We will give particular priority to public offerings and issuance transactions, as well as privatisation and merger and acquisition projects.”

“Through the Türkiye Development Fund, We Made Direct Investments in 26 Companies in Five Years”

Öztop stated that, through the eight funds under the Türkiye Development Fund—which celebrated its fifth anniversary in 2024—the Bank managed approximately USD 125 million in resources from more than 140 public- and private-sector investors. He said: “Through different sub-funds, we made direct investments in 26 companies operating across numerous verticals, from manufacturing and fintech to biotechnology, cybersecurity, mobility and sustainability, and we committed capital to five venture-capital funds that are among the pioneers of Türkiye’s entrepreneurship ecosystem. To support other funds in the entrepreneurship ecosystem, this year we established the TKYB Fund of Funds, Türkiye’s first fund-of-funds structure, with contributions from the Republic of Türkiye Ministry of Treasury and Finance and our Bank and an initial closing size of USD 50 million. This fund is positioned at the centre of the ecosystem to invest exclusively in private-equity and venture-capital funds and create a significant multiplier effect through leverage. As part of our value-creation culture, we regard supporting high-technology ventures and creating globally competitive companies in our country as one of our main objectives.”

“Our Greatest Strength Is Our Human Capital”

Stating that the Bank has a deep-rooted half-century legacy, Öztop concluded: “We are proud to have become a symbol of permanence and trust. We resolutely continue supporting every project that adds value to our country. Throughout our 50-year history as the Development and Investment Bank of Türkiye family, our greatest strength has been our human capital, which combines the deep knowledge of the past with the innovative vision of the future. Our valued employees—who have added value to this institution through their experience, undertaken critical responsibilities in our country’s development journey and fulfilled the development banking mission at the highest level—are the true architects of the achievements we have attained today. Looking from today towards the future, we are immensely proud to see that, together with our young and dynamic professionals who closely follow global trends and the evolving technological ecosystem and possess a visionary perspective, we are moving towards even greater goals with firm and determined steps.”