Türkiye Green Taxonomy Regulation Published: A New Framework For Sustainable Finance - Climate Change - Turkey

ARTICLE 26 October 2026

Türkiye Green Taxonomy Regulation Published: A New Framework For Sustainable Finance

Egemenoglu is one of the largest full-service law firms in Turkey, advising market-leading clients since 1968. Egemenoğlu who is proud to hold many national and international clients from different sectors, is appreciated by both his clients and the Turkish legal market with his fast, practical, rigorous and solution-oriented work in a wide range of fields of expertise. Egemenoğlu has been considered worthy of various rankings by the world’s most leading and esteemed rating institutions and legal guides. We have been ranked as Recognized in “Project and Finance” and “Mergers and Acquisitions” areas by IFLR 1000. We also take place among the top- tier law firms of Turkey at the rankings of Legal 500, at which world’s best law firms are regarded, in “Employment Law” and “Real Estate / Construction” areas. Also our firm is regarded as significant by Chambers& Partners in “Employment Law” area as well.

As environmental sustainability becomes increasingly important in the conduct of economic activities, companies operating in different sectors are required to take environmental impacts and sustainability criteria into account in their business processes. In addition, regulations aimed at supporting access to finance for sustainable investments are further increasing the importance of sustainability in financial decision-making processes.

Başak Kolsuz and Meryem Çagla Sariçam

As environmental sustainability becomes increasingly important in the conduct of economic activities, companies operating in different sectors are required to take environmental impacts and sustainability criteria into account in their business processes. In addition, regulations aimed at supporting access to finance for sustainable investments are further increasing the importance of sustainability in financial decision-making processes.

The Türkiye Green Taxonomy Regulation (the “Regulation”), published in the Official Gazette dated 24 September 2026 and numbered 33380, sets out the procedures and principles regarding the classification of economic activities in terms of environmental sustainability, technical screening criteria and taxonomy reporting. The Regulation has been introduced with the objectives of supporting economic activities aligned with sustainable development goals, encouraging the flow of finance towards sustainable investments and preventing “greenwashing” in the market. The Regulation entered into force on the same date.

Türkiye Green Taxonomy and Its Scope

The Türkiye Green Taxonomy has been established as a classification system enabling economic activities to be assessed against specific environmental objectives. The Regulation sets out the applicable conditions, technical screening criteria, reporting and verification processes, and the principles governing the Online Taxonomy Management System in respect of the economic activities listed in Annex-1 and the activities of financial institutions.

The activities listed in Annex-1 are considered “eligible economic activities”; however, the inclusion of an economic activity in Annex-1 does not, by itself, mean that such activity is environmentally sustainable.

For an economic activity to be considered a “taxonomy-aligned economic activity”, it must make a substantial contribution to at least one of the environmental objectives, do no significant harm to any of the other environmental objectives, and meet the minimum social safeguards.

Environmental Objectives and Technical Screening Criteria

The environmental objectives to be taken into consideration in the assessment of economic activities under the Regulation are determined as the reduction of greenhouse gas emissions, adaptation to climate change, sustainable use and protection of water and marine resources, transition to a circular economy, pollution prevention and control, and the protection and restoration of biodiversity and ecosystems.

The technical screening criteria will be taken as the basis for assessing the alignment of economic activities with these environmental objectives. These criteria will be determined by the Climate Change Presidency and published on the Presidency’s website, while updates to the criteria are envisaged to apply as of the following year.

Accordingly, it will not be sufficient for an activity merely to be described as “green” or “sustainable”; it will also be necessary to assess whether the activity meets the requirements set out under the Regulation and the relevant technical screening criteria.

Taxonomy Reporting

The Regulation provides for different reporting requirements for institutions, organizations and enterprises on the one hand, and certain financial institutions on the other, in respect of economic activities.

Institutions, organizations and enterprises carrying out at least one of the eligible economic activities listed in Annex-1 may voluntarily conduct taxonomy reporting in accordance with the reporting templates to be published by the Climate Change Presidency.

On the other hand, reporting obligations have been introduced for intermediary institutions, investment trusts and portfolio management companies, banks, and insurance, reinsurance and pension companies. However, it is regulated that the reporting obligation for such financial institutions will not apply until 1 January 2029.

The reporting will be based primarily on certain key performance indicators, including the ratios of revenue, capital expenditure and operating expenditure derived from taxonomy-eligible or taxonomy-aligned products and services.

Where the ratio of revenue, capital expenditure or operating expenditure arising from eligible economic activities within the scope of Annex-1 to the relevant total amount remains below 10% separatel