The International Finance Corporation (IFC) has made a significant investment in QNB Leasing, a prominent leasing company in Türkiye. This $100 million, five-year loan aims to enhance access to sustainable energy financing and blue finance initiatives, fostering resilience in the country's leasing sector. The investment will particularly benefit small and medium enterprises (SMEs), which often face challenges in obtaining long-term capital for renewable energy projects. By providing tailored services, QNB Leasing will help these businesses upgrade their equipment and reduce energy costs. Additionally, at least 10 percent of the funds will be allocated to blue finance activities, promoting sustainable water resource management.

Promoting Energy Transition and Sustainability

This strategic partnership underscores the commitment to transitioning towards a sustainable, low-carbon economy. The investment by IFC will enable QNB Leasing to introduce innovative financing solutions that address both economic and environmental challenges. Through this collaboration, SMEs will gain better access to capital for renewable energy and energy efficiency projects, thereby fostering innovation and job creation. Moreover, the initiative aligns with Türkiye's sustainability goals, contributing to a greener future.

The investment from IFC is set to revolutionize the leasing sector in Türkiye. By offering tailored financial services, QNB Leasing can support SMEs in upgrading their capital equipment and reducing operational costs. For instance, businesses will be able to invest in advanced technologies that not only improve productivity but also minimize environmental impact. This move is expected to drive substantial growth in the renewable energy sector, encouraging other leasing companies to adopt similar sustainable practices. Osman Tas, General Manager of QNB Leasing, emphasized the importance of sustainable finance as a responsibility rather than an option, highlighting the potential for creating a more resilient and innovative business environment.

Empowering SMEs through Alternative Financing Channels

Small and medium enterprises form the backbone of Türkiye's economy, constituting nearly all Turkish businesses. However, they frequently encounter difficulties in securing long-term capital for green projects. The IFC investment in QNB Leasing addresses this issue by providing alternative financing channels beyond traditional bank loans. These new avenues will alleviate barriers such as stringent collateral requirements and limited financial histories, enabling SMEs to thrive and innovate.

Momina Aijazuddin, IFC Regional Industry Head for Financial Institutions Group, highlighted the significance of mobilizing private capital and introducing innovative financing solutions to support Türkiye's transition to a sustainable economy. The project exemplifies IFC's ongoing commitment to the leasing sector, which plays a crucial role in empowering SMEs. With a committed portfolio of almost $5.4 billion in Türkiye, IFC continues to be a key player in driving sustainable development. This partnership with QNB Leasing is poised to unlock new opportunities for SMEs, addressing urgent environmental challenges and inspiring other leasing companies to enhance their sustainable financing efforts.