Objectives & Expected Results
Overall Objective: To better equip Türkiye to achieve climate change mitigation targets and enhance resilience against adverse climate impacts.
Specific Objective: To improve Türkiye’s policy framework and national capacity for climate finance.
Key Results:
A coherent and actionable National Climate Finance Strategy.
Alignment with the EU sustainable finance acquis and operationalization of a National Green Taxonomy.
Improved capacity for public and private actors to design, implement and monitor climate finance instruments.
Enhanced mobilization of public and private sector finance and coordination among financial regulators.
Governance & Implementation
The project implementation structure ensures high-level strategic guidance and efficient day-to-day coordination:
Contracting Authority: Ministry of Environment, Urbanization and Climate Change (MoEUCC), Directorate of Project Implementation (DoPI).
End Recipient: Directorate of Climate Change (DoCC) of the MoEUCC.
Project Steering Committee (PSC): The key strategic decision-making body meeting quarterly to review progress.
Action Coordination Unit (ACU): The operational coordination platform for regular technical oversight.
Technical Assistance Team (TAT): Led by NIRAS IC Sp. z o.o., the consortium includes adelphi, ESCARUS, and ENVESU.
Stakeholders & Target Groups
Effective engagement is critical for institutional ownership.
Primary Stakeholders: DoCC, Ministry of Treasury and Finance, Presidency of Strategy and Budget (SBB), and financial regulators including BDDK, SPK and SEDDK.
Target Groups: Public institutions, commercial and development banks, insurance companies, municipalities, and private sector actors, particularly those in ETS, CBAM-affected sectors and Taxonomy covered/affected sectors.
Project Components
Component 1: Inception Phase and Project Management
This phase established the project office in Ankara and refined the methodology to align with current national priorities, such as green budgeting and COP31 preparations.
Component 2: Development of the National Climate Finance Strategy (NCFS)
The project follows a decision-oriented, four-step framework:
- Stakeholder Mapping & Coordination Plan: Identifying key actors and defining engagement modalities.
- Baseline & Gap Analysis: A diagnostic of unmet investment needs required to achieve 2030 and 2053 targets.
- Climate Finance Tracking System: Developing a national methodology aligned with OECD Rio Markers, international best practice budget tagging and the Turkish green budgeting approach.
- Draft National Climate Finance Strategy Formulation: Creating an architecture, a national strategy that that links investment needs with actionable financial solutions for mitigating climate change and building resilience to achieve Türkiye’s 2053 climate neutrality goal.
Component 3: Strengthening the Green Finance Ecosystem and National Taxonomy
Focuses on creating a credible regulatory environment for greening finance and financing green
- EU Benchmarking: Identifying concrete legislative gaps to ensure alignment with EU’s evolving sustainable finance frameworks.
- National Green Taxonomy: Supporting Taxonomy implementation by developing Technical Screening Criteria (TSC) for Taxonomy covered economic activities.
- Financial Instruments: Developing tools and techniques for Capital Markets, the Insurance Sector, as well as supporting the setting up the ETS Revenue Fund.
Component 4: Capacity Building and Training
A phased, needs-responsive program targeting at least 400 participants:
- 10 Training Programs: Covering varius key climate finance aspects including taxonomy application, green budgeting, and project bankability with three training sessions leading to internationally recognized certificates.
- Study Visits: Two study visits to EU Member States to explore practical climate finance implementation.
Component 5: Communication, Visibility and Closing Activities
Ensures the effective dissemination of project results through:
- A comprehensive Communication Plan implemented targeting diverse audiences including the production of promotional videos
- A Taxonomy User Guide.
- Interactive e-learning modules based on project training content.
- Structured closure through a high-level International Closing Conference and the submission of a Final Report summarizing lessons learned and policy recommendations.