Green Financing Efforts in Export Accelerates

 TİM Chairman Gülle: "The expectations of our exporters is quite high"

Within the framework of the Sustainability Action Plan, TİM has accelerated its efforts to determine the current situation in the Green transformation process, to develop cooperation with all stakeholders of the ecosystem, to ensure that exporters benefit from green financing opportunities to the maximum level. TİM Chairman İsmail Gülle stressed that the export family has high expectations from both the public and the financial sector in the 'green financing' access process.

Turkish Exporters Assembly (TİM) has accelerated its work in line with the 'green financing' objectives of the Green Reconciliation Action Plan issued by the Ministry of Commerce and access to financing for green transformation in the Sustainability Action Plan.

Within the framework of the Sustainability Action Plan, TİM carried out the Green Transformation Oriented' Access to Finance Meeting' to read the current situation in the green transformation process, to improve cooperation with all stakeholders of the ecosystem, and to ensure that exporters benefit from green financing opportunities. Relevant ministries and public institutions, the representative offices of international financial institutions in Türkiye, banks, members of the Sustainability Science Committee in TİM Industry and the members of Climate Committee, relevant industry representatives, and academicians attended the online meeting.

The meeting, which started with the opening speech of TİM Chairman İsmail Gülle, was attended by OECD Permanent Representative to Türkiye Prof. Dr. Kerem Alkin, TÜBİTAK President Prof. Dr. Hasan Mandal, General Manager of Financial Cooperation and Project Implementation of the Ministry of Foreign Affairs EU Presidency Bülent Özcan, Head of Climate Change at the Ministry of Environment, Urbanization and Climate Change Orhan Solak, the Deputy Head for Türkiye at the European Bank for Reconstruction and Development (EBRD) Şule Kılıç, Banking Regulation, and Supervision Agency - BDDK Second President Yakup Asarkaya, Turkish Development, and Investment Bank General Manager İbrahim Halil Öztop, Borsa İstanbul Deputy General Manager  Güzhan  Gülay, Turkish Eximbank General Manager Ali Güney, KOSGEB Technology, Innovation, and Domestication Department Head Dr. Mehmet Görkem Gürbüz, as well as senior representatives of public and private banks. In addition, senior figures from the World Bank, the United Nations Global Compact, the United Nations Sustainable Development Solutions Network (UN – SDSN), and the Turkish Representation of the Association for Business and Sustainable Development, as well as representatives from 27 different sectors of TİM, also attended.

In his speech, TİM Chairman Gülle said that green transformation and sustainability are no longer an option today; stressed that it is a necessity. "We have entered a period where everyone will clean their doorstep, so to speak. If they do not, will face various sanctions. This period has various opportunities and risks for our country at the same time. The subject has an extremely large impact area. Because the transition to a sustainable economy is only possible with total work and cooperation. For this reason, today, from our ministries and our public institutions to representatives of international financial institutions in Türkiye, from our banks, TİM Climate Committee, and TİM Sustainability Science Committee to our sector representatives, and masters are with us. We will address this important issue in full detail."

 "The expectations of exporters is quite great"

Stating that exporters have great expectations about green financing, Gülle said, "We have three main goals at this meeting; Within the framework of TİM Sustainability ActionPlan, to determine our current situation in the green transformation process, to improve our cooperation with all stakeholders of the ecosystem and to ensure that our exporters benefit from the green financing opportunities.

Reminding that the goal of the European Green Agreement is to reset net greenhouse gas emissions by 2050, Gülle said, "In addition, our country, which is a party to the Paris Climate Agreement, has a net-zero emissions target by 2053. For these purposes, the European Green Agreement is being constructed as a growth strategy in which economic growth is separated from resource use. This process, which works in contrast to the existing teachings to date, is also critical for our country's export. Because the European Union is a market where we realize 93 billion dollars of our export in 2021, that is, 41.3 percent of export alone. In addition to the Emissions Trading System, the limit carbon regulation will be taxed in proportion to the amount of carbon contained in the product. Carbon regulation at the border, which will be implemented in 2026, will not impose any burden on our exporters in 2023-2025."

Explaining that this period is planned as a transition period for exporters, Gülle said, "We need to evaluate this period well, in which exporters will declare their emissions amounts", and "As the Turkish Exporters Assembly, we started our work quickly to evaluate this period. We have shared our TİM Sustainability Action Plan with the public. The title "Green Financing" in the Green Reconciliation Action Plan published by our Ministry of Commerce is one of the important agendas of our Action Plan. In this context, we aim to add value to our exporters with reports and training on green financing in the focus of green reconciliation and climate change through digital mentoring and training programs."

 "Our biggest expectation is that our financial sector will be with our exporters during the green transformation process"

Underlining the need for companies to work under international standards and to create incentive areas for the dissemination of digital product passports and traceability applications within the scope of the action plan, Gülle said, "In this regard, the opinions and evaluations of our banks and their contributions to the process are very important. Representatives of our eight Banks, which signed the Declaration of Sustainable Financing of the United Nations Global Compact, of which our Parliament is a signatory, are among us today. Our biggest expectation is that our financial sector, which is always with our export family, will be with our exporters in the process of green transformation. Because this transformation cannot be achieved without adequate funding. Recently, we have seen the diversification of financing channels with non-credit financing instruments such as green bonds and Sukuk applications in energy companies and the real sector."

 "We received the good news that 3.2 billion euros of resources have been brought to our country"

Stating that the European Union has allocated a large source of financing to the process, Gülle emphasized the importance of the 3.2 billion euros Türkiye has received and said, "It is planned to provide sustainable investment support of 1 trillion euros to the real sector in this area in the next 10 years. Our country, which is an EU candidate country, needs to make maximum use of these resources. As a result of the effective negotiations conducted by our government, we received the good news this week that 3.2 billion euros have been brought to our country. As these figures increase, I believe that the transformation process of all our sectors will accelerate."

TİM shared the 'TİM Sustainability Action Plan' with the message 'We Produce for the World Without Consuming the World' on June 21, 2021, to guide exporters in line with the goals of Climate Change, Sustainability, and the European Green Agreement.