Paksoy, working with the UK offices of Bird & Bird, has advised the EBRD on a EUR 125 million loan for the Ankara Metropolitan Municipality to finance the Ankara Natoyolu-Dikimevi metro line.
The loan is part of a EUR 250 million co-financing package with the Agence Francaise de Developpement.
According to the EBRD's press statement, "Ankara, the country’s capital, is Turkiye’s second-largest city. It has a population of 5.7 million and official projections indicate that Ankara will have 6.3 million inhabitants by 2025. The city has an integrated network of railways, metro lines, buses, and cable cars, in addition to privately owned bus lines – all of which remain under pressure due to the rapid growth in population."
The construction of the metro line will improve connectivity in the city, the EBRD announced. "It will also allow a significant reduction in carbon emissions by encouraging greater use of public transport and shifting transport to a low-emission metro option. Once the construction has been completed, the project aims to reduce air pollution by 75% and to bring an estimated average reduction of 18,169 tons of carbon dioxide equivalent per year."
According to the statement, "the project is financed under the EBRD Green Cities program and addresses some of the key environmental challenges of climate mitigation and air pollution identified in Ankara’s Green City Action Plan. Ankara is one of the most densely populated cities in Turkiye and has been part of the Green Cities program since in 2021."
In addition, the bank reported "the project will increase mobility in Mamak, one of the city’s underprivileged districts, where overcrowded transport remains a challenge, particularly for women with young children. The new metro line will offer women faster, safer, and more accessible trips at a lower cost, increasing their active participation in daily life."
The Paksoy team included Partner Sera Somay, Senior Associate Beril Paksoy Yalti, and Associate Muhammed Tosun.