Ankara, Türkiye – The Regional Hub of the Islamic Development Bank (IsDB) Group in Türkiye (RHT), in close cooperation with the Ministry of Industry and Technology (MoIT), is advancing the preparation of the Sustainable Organized Industrial Zones (OIZ) Project.

In line with Türkiye’s 12^th National Development Plan (2024-2028) and the country’s 2030 Industry and Technology Strategy, the development of OIZs in the country is a key tool for promoting sustainable industrial growth and achieving socio-economic goals, including the Net-Zero emission target of 2053. The national program of OIZ has proven successful during the past decades, with a total of 363 OIZs now being registered around the country.

Bringing together industrial firms in dedicated areas has many advantages, including alleviating the environmental footprint of those industrial activities. The new project being developed between IsDB and MoIT will foster this feature by supporting investments in various OIZs to build better and more sustainable infrastructure across Türkiye’s industrial zones. This cooperation is a direct outcome of the launch last year of the Country Engagement Framework (CEF) for Türkiye for the period 2024-2026.

Dr. Walid Abdelwahab, Director of the IsDB Group Regional Hub in Türkiye, stated that this project marks a vital step in realizing IsDB’s commitment to supporting Türkiye’s sustainable industrial transformation, strengthening economic resilience, and promoting climate-conscious development, as indicated in the CEF (2024-2026).

In line with this, a multidisciplinary team from the Bank’s headquarters in Jeddah and hub in Ankara, led by RHT’s Operations Team Leader Oussema Trigui, has extensively engaged with key stakeholders, including the MoIT, the Ministry of Treasury and Finance, the Ministry of Environment, Urbanization and Climate Change, as well as three different OIZ management teams.

Discussions centered on gathering information and data on the OIZs in Türkiye, the role of MoIT, the challenges faced by OIZs and the nature of investment needs that are emerging and included in the country’s investment program, as well as finalizing the project design to align with national strategies for industrial growth and climate resilience. The team also visited three OIZs in Ezine (Çanakkale), Balikesir, and Demirtaş - Bursa provided the IsDB team critical insights into operational challenges and investment priorities on the ground.

Discussions are ongoing regarding the total financing required for this project and the possibility of co-financing with the Asian Infrastructure Investment Bank (AIIB).

The project aims to promote sustainable industrial growth by addressing wastewater management, optimizing water usage, and supporting green infrastructure. The parties underlined that a project management unit (PMU), with proven experience managing ongoing industrial infrastructure projects, including with financing received from the World Bank through two ongoing cooperation agreements, shall lead execution with enhanced capacity, considering robust risk mitigation approaches, and ensuring environmental and social safeguards and fiduciary requirements.