📋 Tender Overview
Location:
Türkiye
Project number:
55489
Business sector:
Municipal and environmental infrastructure
Notice type:
State
Environmental category:
B
Approval date:
30 Apr 2025
Status:
Exploratory
English-language PSD published:
04 Feb 2025
Project Description
A sovereign loan of up to EUR 100m to the Republic of Türkiye represented by the Ministry of Treasury and Finance, which will be on-granted to Hatay Water and Sewage Administration ("HATSU") in Türkiye. The loan will finance the construction of up to 370 km of a sewer network and Ucgulluk Wastewater Treatment Plant ("WWTP") with a capacity of 21,000m3/d, deep-sea discharge, including construction supervision services and procurement of maintenance equipment, in the Arsuz district of city of Hatay, subject to the outcome of technical due diligence ("Project").
Project Objectives
The Project aims to support the construction of essential wastewater infrastructure in Hatay, a region severely impacted by the two catastrophic earthquakes with magnitude of 7.7 and 7.6 on February 6, 2023, which caused a widespread devastation across 11 provinces in southeastern Türkiye, severely disrupting the livelihoods of countless people.
The Bank's investment is intended to improve essential services in the region and support the long-term resilience and sustainability of the city's infrastructure.
Transition Impact
ETI score: 60
The Transition Impact of the Project stems from its contribution to the Green transition quality through strengthening the infrastructure of the earthquake-affected region, which is vulnerable to climate change risks. The Project supports the Bank's Green Economy Transition approach by financing key wastewater infrastructure that is crucial for protecting the water resources.
Client Information
Türkiye SOVEREIGN
The Borrower is the Republic of Türkiye, represented by the Ministry of Treasury and Finance. HATSU is the Beneficiary of the Project. ILBANK is a development and investment bank owned by municipalities and provincial special administrations. The Project will be carried out by HATSU with the oversight and supervision of ILBANK.
EBRD Finance Summary
EUR 100,000,000.00
Total Project Cost
EUR 100,000,000.00
Additionality
The Bank's additionality derives from (i) the financing structure given the limited availability of funding sources in the market from commercial sources on reasonable terms and conditions, (ii) helping the Project to achieve higher environmental standards in the earthquake-affected city.
Environmental and Social Summary
The proposed project has been categorised B in accordance with the 2019 EBRD Environmental and Social (E&S) Policy, as the potential impacts are expected to be site specific and readily identifiable and addressed through mitigation measures. The proposed investment programme will finance construction of sewer networks and WWTP, including construction supervision services, which is ex