Turkish banking sector energy loans exceed 1 trillion lira

The Turkish banking sector has provided over 1 trillion lira in loans to the energy sector. During a press meeting titled ‘Financing the Transformation: Turkey on the Way to COP31’, Alpaslan Çakar, Chairman of the Banks Association of Turkey (TBB), revealed that of the 695 billion lira provided in project financing, 347 billion lira was directed toward renewable energy investments.

Çakar emphasized that increasing renewable energy capacity, improving energy efficiency, and transitioning industry to low-carbon production are critical investment areas. He noted that energy security is increasingly linked to economic security, citing how supply disruptions in the Strait of Hormuz impact oil and gas prices.

Addressing the International Energy Agency (IEA) findings, Çakar highlighted that investments in grids, system flexibility, and efficiency can reduce exposure to fuel price volatility. This aligns with Turkey’s ‘35 by 35’ goal, which aims to increase the share of electricity to 35 percent by 2035. The meeting also featured IEA Executive Director Fatih Birol.