Türk Eximbank conducts its participation banking activities pursuant to Article 77 of the Banking Law and to the provisions of the Regulation on Banks’ Credit Transactions, which was published in the Official Gazette by the Banking Regulation and Supervision Agency (BRSA) on January 25, 2019, No. 30666 (as amended, Official Gazette, December 21, 2023, No. 32406). This legal framework allows development and investment banks to offer financing in line with the funding methods of participation banks, provided that it is limited to resources provided exclusively through interest-free methods.

Accordingly, Türk Eximbank operates under the “Islamic Window Model,” which has global precedents and separates its activities end-to-end from other banking transactions, in compliance with the procedures and principles set out in the Communiqué on Compliance with Participation Principles published by the BRSA in the Official Gazette dated September 14, 2019, No. 30888 (Amended OG-December 19, 2025-33112).

The compliance of processes with participation principles is supervised by the Advisory Committee, which began its activities on September 9, 2022, and consists of Professor Mürteza Bedir, Professor İsak Emin Aktepe, and Professor Hayrettin Karaman. In 2025, the Committee convened 25 times, making a total of 28 decisions, and published the 2024 Activity Compliance Certificate, confirming that the Bank’s 2024 activities were in line with participation principles.

Participation Finance Products

Türk Eximbank continues to provide participation finance services through Murabaha (cost-plus sale), Eser (Istisna-manufacturing contract), and Export Support Financing products sourced from the Central Bank of the Republic of Türkiye. The Murabaha product finances firms’ purchases of operating and investment assets, while the Eser (Istisna) product supports expenditures on machinery, equipment, and components that comply with participation principles. Participation-Based Export Receivables Insurance (PBRI) product, offered through a hybrid model compliant with participation insurance principles, protects exporters’ receivables from foreign sales against commercial and political risks.

The Bank also offers Pre-Shipment Export Finance (PSEF) and Interest-Free Financial Leasing Finance products to exporters through participation banks.

In 2025, this portfolio was enhanced by introducing the “Ijarah” product for financing service procurements and the “Open Account Sale (İsticrar)” product to finance payments to suppliers that make ongoing purchases of goods.

The Bank’s participation finance activities are conducted within the framework of relevant legislation and participation finance principles and standards, and these activities are regularly reviewed and evaluated by the Islamic Banking Advisory Committee. As a result of evaluations by the Advisory Committee, it is confirmed that the Bank’s participation banking activities are carried out in accordance with the principles and standards. In this context, the Activity Authorization Certificate signed by the Advisory Committee for activities related to 2024 was published, and this approach was also adopted as the basis for the participation finance activities carried out in 2025. The supervision of the Advisory Committee, in addition to ensuring that participation finance activities are carried out in accordance with principles and standards, has enhanced the Bank’s corporate credibility in the field of participation finance and contributed to strengthening transparency and accountability among stakeholders.

Participation Financing Volume and Global Fundraising Activities

In 2025, Türk Eximbank secured a total of USD 680 million in participation-based funds from international institutions such as the Islamic Development Bank (IDB), First Abu Dhabi Bank (FAB), Emirates Islamic Bank (EIB), Kuwait Finance House (KFH), the Islamic Corporation for the Development of the Private Sector (ICD), and Ajman Bank.

In line with these resources, financing totaling USD 819.4 million was provided directly through the Murabaha, Eser (Istisna), and Isticrar programs.

Under the Interest-Free Financial Leasing, Participation Pre-Shipment Export Finance, and Export Support Financing programs offered through participation banks, financing of USD 352.4 million was provided.

In this framework, Türk Eximbank provided a total of USD 1.2 billion in financing support in 2025, both directly and through participation banks. In line with these developments, the share of participation finance activities in the Bank’s total support volume increased significantly following the 2025 disbursement under participation finance.

Strategic Projects and Corporate Development

In 2025, a significant step was taken in the field of participation insurance with the preparation of the Participation-Based Domestic Receivables Insurance (PBDRI) product, and within this scope, receivables arising from exporters’ domestic sales began to be insured against commercial risks in accordance with participation insurance principles.

The “Insurance Agency Agreement” signed with participation banks has made it possible to receive PBRI and PBDRI policy applications through these banks.

The Participation Finance Directorate was established to ensure the effective, efficient, and uninterrupted execution of business and transactions within the scope of participation finance activities carried out at Türk Eximbank, to complete infrastructure developments for the participation finance window system, and to develop new products.

With this corporate structure, the goal is to complete the necessary system infrastructure upgrades, to regularly review internal Bank regulations and contract documents, and to strengthen the legal framework in line with participation principles.

Thanks to the Export Support Financing products offered directly by Türk Eximbank and provided through participation banks, exporters with interest-rate sensitivity have gained access to CBRT-sourced financing in compliance with participation principles. This practice, which strengthens the support that participation finance provides to the real sector, has created an alternative and inclusive financing mechanism for exporters. Within the framework of this strategic step, participation banks have been positioned as effective stakeholders in the financial system, contributing to Türkiye’s export targets.

Future Projection: Targets for 2026 and Beyond

In 2026, it is planned to resolutely continue product development efforts in line with Türk Eximbank’s strategic goals in the field of participation finance and to prioritize the strengthening of the systemic infrastructure for participation finance activities.

During this process, the objective is to implement new strategies to diversify funding channels and expand collaborations with intermediary banks.

On the other hand, it is planned to prepare the “Activity Compliance Certificate” documenting the compliance of all participation finance activities carried out in 2025 with participation principles, and to create product-based compliance certificates for specific products and transactions offered.