Sustainability and Environmental Social Impact
Established in 2020, the Sustainability Committee continues its activities with the aim of developing
the sustainability strategy and policies of the management and integrating them into all activities. The
Committee carries out its activities in accordance with the Sustainability Committee Directive.
The Committee is chaired by the General Manager and consists of an independent member of the Board of Directors,
the Executive Vice President in charge of the Sustainability and Environmental Social Impact Management Unit,
the Executive Vice President in charge of the Development Finance Institutions Unit, the Executive Vice
President in charge of Finance and Strategy, the Sustainability and Environmental Social Impact Management
Unit Manager, and other assistant members to be selected by the Committee.
The Sustainability and Environmental Social Impact Management Unit was established by the Bank in order to
carry out the activities carried out by different units in the fields of sustainability and environmental
social risk management in a more focused and efficient manner under a centralized business model.
The Sustainability and Environmental Social Impact Management Unit prepares Environmental and Social Risk
Assessment Reports for hundreds of projects in all loaning processes of the Bank.
The Sustainability and Environmental and Social Impact Management Unit prepares Environmental and Social Risk Assessment Reports for hundreds of projects in all lending processes of the Bank.
The main areas of work of the Sustainability and Environmental Social Impact Management Unit are as follows:
To follow domestic and international developments in the field of sustainability and to have up-to-date information on this subject.
Supporting the creation of an impact investment ecosystem in the country and contributing to Türkiye’s sustainable development and achievement of the UN Sustainable Development Goals (SDGs).
Integrate environmental, social and governance issues into all financing processes of the Bank and determine policies and practices on these issues.
To fulfill the tasks defined in accordance with environmental and social risk assessment in the lending process and to assess the interaction of projects with the SDGs.
Carrying out sustainability and integrated management system activities and monitoring related memberships. Ensuring the implementation of international standards such as IFC PS.
Prepare and share the Bank’s Sustainability, Impact, Integrated Management and Carbon Disclosure Project reports with stakeholders.
Fulfill the requirements of the Bank’s Sustainability Committee and work in accordance with the committee’s strategic directions.
“Environmental and Social Risk Assessment Procedure in the Lending Process” was prepared in order to
evaluate the environmental and social risks of the loans requested from the Bank and to ensure effective
management of the issue in line with the Bank’s strategy. Loan requests are evaluated according to the List
of Non-Financeable Activities within the framework of the Bank’s Environmental and Social Policy and projects
included in this list cannot be lent by the Bank.
The Environmental and Social Risk Assessment Model described in this procedure is applied to all loans that
are not included in the Non-Financed Activities List. Risk categorization is performed using the Environmental
and Social Risk Assessment Model. The Environmental and Social Risk Assessment Model categorizes projects and
clients into four categories:
High Risk (Category A)
Medium-High Risk (Category B+)
Medium Risk (Category B-)
Low Risk (Category C)
The Environmental and Social Risk Assessment and Monitoring Process includes the following steps:
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Inclusion of ESG-Focused Detailed Obligations in Credit Agreements,
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Checking the List of Unfunded Activities,
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Providing Project Documents,
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Environmental and Social Risk Assessment and Preliminary Classification of both the Clients and the Project,
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Checking the Environmental and Social Risk Assessment, and Final Classification of the Loan,
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Preparation of Environmental and Social Action Plan,
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Checking the Project Evaluation Report,
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Informing the Customer about the Environmental Action Plan,
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Loan Approval and Inclusion of the Environmental Action Plan in the Loan Agreement,
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Environmental and Social Monitoring,
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Recording of Annual Implementation Results of Environmental and Social Assessment.