Garanti BBVA Issues €30m Green Bond for Climate-Resilient Agriculture

Garanti BBVA has issued a €30 million green bond to finance climate change adaptation in sustainable agriculture, channelling the proceeds toward making farming in Türkiye more resilient to a warming climate. The bond, issued under the bank's international funding programme, carries a maturity of one year and two days and falls under the Garanti BBVA Sustainable Debt Finance Framework. It reflects the lender's wider push to position sustainable finance as a tool for transforming the Turkish economy.

The proceeds are earmarked for a defined set of agricultural uses. These include organic and sustainable production and land management, efficient irrigation and water management systems, measures to strengthen climate adaptation and resilience, and investment in agricultural infrastructure. By concentrating the funding on adaptation rather than emissions reduction alone, the bond targets the practical challenge of keeping food production viable as climate impacts intensify.

The focus on agriculture is deliberate given the sector's importance to Türkiye. The bank frames farming as strategically significant both for national food security and for adaptation, arguing that strengthening the resilience of agricultural production is essential for the country's future as the effects of climate change become more pronounced. Directing green bond proceeds specifically at producers gives them financing to adjust their practices to those pressures.

 

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The issuance sits within a substantial sustainable finance programme. Garanti BBVA has raised its sustainable finance target for the 2018 to 2029 period to 3.5 trillion Turkish lira and had reached around 1.3 trillion by the end of the first quarter of 2026. The bank said it would continue developing new sustainable funding sources across renewable energy, energy efficiency, the circular economy, sustainable agriculture and social impact as part of its support for a lower-carbon, resilient economy.

Mahmut Akten, chief executive of Garanti BBVA, said the bank viewed sustainable finance as a key tool for supporting the transformation of Türkiye's economy, and that the green bond would help finance climate adaptation in sustainable agriculture at a time when investing in the resilience of agricultural production had become essential for the country's future.

 

Source: Garanti BBVA