BAKU, Azerbaijan, February 20. The European Bank for Reconstruction and Development (EBRD) is stepping up support for critical infrastructure in Türkiye, providing financing for two major projects aimed at improving urban mobility and environmental resilience, Trend reports via the Bank.
The Bank is extending a €110 million loan to complete the Ümraniye-Ataşehir-Göztepe metro line in Istanbul and providing a €42 million sovereign loan to build a new wastewater treatment plant in Osmaniye, one of the provinces hardest hit by the February 2023 earthquakes.
The metro project will link major residential areas, business hubs and key healthcare facilities, including the rapidly expanding Istanbul Financial Centre, significantly enhancing transport on the city’s Asian side. By offering a fast, low-carbon alternative to private vehicles, the line is expected to boost economic productivity while easing congestion and improving quality of life.
The investment also aligns with Istanbul’s action plan under the EBRD’s Green Cities initiative, adopted in February 2025 with support from the Taiwan Business-EBRD Technical Cooperation Fund. The project is expected to contribute to the city’s climate goals by reducing traffic congestion, pollution and emissions.
In Osmaniye, the Bank is financing construction of a modern wastewater treatment plant with capacity of 75,000 cubic metres per day, replacing an overloaded facility that can no longer meet rising demand.
Infrastructure needs remain substantial in regions affected by the 2023 earthquakes. To date, the EBRD has invested more than €1.6 billion in Türkiye’s reconstruction efforts through credit lines, SME support, private-sector partnerships and key infrastructure projects.
The new Osmaniye plant will bring effluent quality in line with European Union standards, improve regional water quality and cut greenhouse gas emissions through anaerobic digestion and biogas recovery. A dedicated capacity-building programme under the EBRD’s Earthquake Response Framework will also strengthen the city’s crisis response, asset management and operational resilience.
Iller Bankasi will serve as the implementing agency for the Osmaniye project, overseeing the disbursement of municipal infrastructure financing from international financial institutions in the earthquake-affected region. As part of the initiative, the municipality will also enhance resident data collection to improve accessibility, service delivery and public health outcomes.
The EBRD remains one of Türkiye’s largest investors, with more than €23 billion committed in the country since 2009, largely focused on the private sector.