BAKU, Azerbaijan, March 22. The European Bank
for Reconstruction and Development (EBRD) has committed $40 million
(34.5 million euros) to the Templeton Türkiye Fund II (TTF II) to
finance equity investments in mid-sized companies in Türkiye,
Trend reports, citing
the EBRD.


"The fund plans to raise a total of $300 million (258.8 million
euros) and will invest across various sectors of the economy,
focusing on companies with high growth potential, strong business
and technological metrics, and scalable models. The partnership
aims to support the expansion, competitiveness, and long-term
development of mid-market companies.


Templeton Türkiye is already an EBRD client with a proven track
record of portfolio value creation and successful exits. The fund
operates as an independent team within Franklin Templeton, a global
asset manager with over $1.6 trillion (1.38 trillion euros) under
management and more than 9,000 employees worldwide. "Franklin
Templeton has been investing in Türkiye since the late 1990s,
demonstrating a long-term commitment and significant experience in
the market," the bank said.


Meanwhile, it is noted that fundraising conditions in Türkiye
have been exceptionally challenging in recent years, and the EBRD’s
investment played a key role in TTF II’s first closing.


"The project is expected to contribute to the stability of
Türkiye’s financial markets by supporting the use of private
capital as an alternative source of financing. Additionally, it
will enhance the competitiveness of mid-market companies by
providing strategic capital and expert support in value creation,"
the EBRD reports.







Furthermore, it is emphasized that Templeton Türkiye’s
investment approach incorporates principles of sustainable growth
and takes environmental, social, and governance (ESG) aspects into
account within the portfolio.


According to the information, part of TTF II’s capital will be
directed toward "green" financing, while a gender-focused approach
will be applied to ensure more inclusive outcomes.


The EBRD is one of the key institutional investors in Türkiye,
having invested more than 23 billion euros in the country since
2009, primarily in the private sector. In 2025, the bank invested a
record 2.7 billion euros in Türkiye, once again making it the
country with the largest annual investment volume.