Turkey’s best sustainable transaction banking deal award goes to QNB for securing a sustainability-linked loan worth $650 million in the second half of 2024. The transaction is recognised for its strategic significance, tangible impact and innovative structure.
Strategically, the deal stands out in several ways. It attracted demand totalling $1 billion and was oversubscribed by 230%, reflecting robust international confidence. The transaction also welcomed 21 new banking partners from four additional countries, broadening QNB’s counterparty base and expanding its global network. Furthermore, the deal achieved a roll-over ratio of 130%, aligning with the bank’s balance-sheet strategy and reaffirming the sustained trust of international lenders. It also marked an important step in embedding sustainability into QNB’s core funding approach through ESG-linked commitments.
It marked an important step in embedding sustainability into QNB’s core funding approach through ESG-linked commitments
From an impact perspective, the transaction reinforced QNB Turkey’s funding structure and market position during a period of macroeconomic volatility. It secured longer-term financing and introduced a three-year tranche, which helped extend the average funding maturity and enhance liquidity management. The inclusion of KPI-linked sustainability targets – focusing on green finance and earthquake recovery – further strengthened the bank’s ESG credentials.
In terms of innovation, the deal introduced a three-year tranche in the second half of 2024, making QNB Turkey the only bank in the country to offer such a tenor in syndicated loans. This extension of the maturity profile reduced refinancing risk and signalled strong market confidence. Structured as a sustainability-linked loan with ESG key performance indicators, the transaction aligned funding with environmental and social objectives. It also secured longer-term commitments from international lenders, contributing to greater financial stability and improved creditworthiness of the country.
