WB backs Turkish decarbonization efforts: The World Bank has approved a EUR 600 mn loan guarantee to help Turkey’s official export credit agency Eximbank drum up close to EUR 1 bn in private capital for the export sector’s green transition, according to a statement released on Thursday. The agreement will provide affordable, long-term financing for exporters to invest in green projects via 10-year commercial loans, the statement said.

The details: The agreement comes as part of a wider initiative launched in November — called the Turkey Green ExportProject (pdf) — aimed at preparing Turkey for the EU's plan to impose tariffs on carbon-intensive products being imported starting 2026, given that the bloc accounts for 40% of Turkey’s exports. The project is also part of a bigger package by the World Bank for greening Turkey’s industrial sector and economy to help the country achieve its net-zero goals by 2053, the statement added.

REMEMBER - EU’s carbon tax comes into effect 2026: The EU launched the first phase of the world’s first carbon border tax, requiring importers to report emissions from products sold in Europe or risk fines in October, with the tax coming into effect in 2026.

Turkey is grabbing a lot of interest: Turkey’s Galata Wind secured a USD 45 mn loan from the European Bank for Reconstruction and Development last year to finance up to 50 MW worth of expansions in two wind power plant projects in Mersin and Balikesir. Masdar was also eyeing a stake in Turkey’s top wind power producer Fiba Yenilenebilir Enerji last September but is currently stalled over a price dispute. UAE also signed several agreements in July to invest USD 51 bn in projects in Turkey, USD 30 mn of which were earmarked for the energy sector with a focus on renewable energy, green hydrogen, hydroelectric power production, finance transmission projects, and battery storage facilities.

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