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Beko's Groundbreaking Sustainability-Linked Loan

In a significant step towards enhancing its commitment to sustainability, Beko, the world's leading home appliance manufacturer, has secured its very first sustainability-linked loan amounting to €100 million from the International Finance Corporation (IFC), a member of the World Bank Group. This landmark deal is designed to foster global innovations and support Beko’s transitional journey to achieving net-zero carbon emissions.

The loan's primary objective is to advance Beko's capacity in renewable energy, enhance earthquake resilience, and drive the development of the next generation of eco-efficient appliances. Notably, this initiative is also linked to specific sustainability targets, focusing on reducing emissions and increasing gender diversity within the company.

Strengthening Renewable Energy Initiatives

The funds secured will significantly bolster the operations of Beko’s two solar power plants, enabling the utilization of renewable energy in their production processes. This move not only complements Beko's operational framework but also ensures that their manufacturing facilities are better safeguarded against potential earthquake risks. The loan provides fresh impetus to Beko’s ongoing research and development (R&D) initiatives aimed at creating smarter and more resource-efficient home appliances that encourage sustainable lifestyles around the globe.

According to Barış Alparslan, CFO of Beko, “This sustainability-linked loan represents another crucial milestone on our journey toward a net-zero future. Through investments in renewable energy, earthquake resilience, and R&D for smarter, more efficient products, we are enhancing our capacity to meet global sustainability expectations while delivering value to our customers and communities.”

The Role of IFC in Beko’s Sustainability Journey

The IFC, recognized as the largest development institution focused on the private sector in emerging markets, plays a pivotal role in this venture. By extending financial support to Beko, the IFC reinforces its commitment to building resilient infrastructure and advancing research and development, which are essential for ensuring the long-term competitiveness and sustainability of the manufacturing industry in the region.

“In partnering with leading companies like Beko, we aim to promote economic resilience and create jobs, thereby contributing positively to the overall economy,” emphasizes Ashruf Megahed, IFC’s regional industry leader for manufacturing.

Beko's Global Outreach and Impact

Beko operates extensively across more than 55 countries, employing over 50,000 individuals and maintaining production facilities in Europe, Asia, Africa, and the Middle East. With 22 brands under its umbrella, including Arçelik, Whirlpool, and Grundig, Beko has solidified its position as the largest white goods manufacturer in Europe, achieving a consolidated revenue of €10.6 billion in 2024.

Additionally, Beko has made significant strides in research and development, housing 28 R&D centers worldwide and holding over 4,500 registered patents. The company has repeatedly been recognized for its sustainability efforts—achieving top scores in the SP Global Corporate Sustainability Assessment for seven consecutive years and securing a spot on the Dow Jones Sustainability Indices.

Beko has also been acknowledged as one of the most sustainable companies globally, ranking 17th on TIME Magazine’s list of sustainable enterprises and receiving accolades from Statista. Their underlying vision is “Respecting the World, Respected Worldwide,” further reinforcing their commitment to sustainable practices and innovation across their operations.

In conclusion, Beko's recent €100 million sustainability-linked loan demonstrates a robust commitment to advancing eco-friendly innovation and establishing a sustainable operational framework that resonates with global sustainability goals, showcasing the company's forward-thinking approach in the home appliance sector.