BBVA Chairman Onur Genç, one of the leading names in the banking and finance world, made evaluations on the global economic outlook, inflation, energy transformation and sustainable finance. While Genç stated that inflation expectations for 2027 are in the range of 25-30 percent, he stated that this estimate contains significant uncertainties.
Noting that many factors such as energy prices, gold, geopolitical developments, political agenda, minimum wage and domestic demand will be effective in the course of inflation, Genç said that a significant decline in interest rates should not be expected without a permanent decrease in inflation.
Genç stated that the main issue for companies is not only access to credit, but also the cost of financing and pricing uncertainty put a strain on the business world.
ENERGY DEPENDENCE INCREASES ECONOMIC VULNERABILITY
Stating that wars in the world, energy costs and problems related to supply chains directly affect the economic performance of countries, Genç said that countries that cannot develop their own energy resources and cannot secure their energy supply are increasingly experiencing difficulties.
Emphasizing that Turkey's acceleration of energy transformation is important not only in environmental terms, but also in terms of economic competitiveness and current account deficit, Genç stated that reducing energy dependency is of critical importance in eliminating Turkey's economic vulnerabilities.
According to Genç, as well as increasing renewable energy investments, it is also necessary to develop the network infrastructure that will enable the transportation and distribution of electricity produced from these sources. Supporting solar and wind investments with storage systems and strong electricity networks will be decisive for the success of the energy transformation.
1 TRILLION EUR SUSTAINABLE FINANCE TARGET FROM BBVA
Referring to BBVA's goals in the field of sustainable financing, Genç announced that the bank has a total financing commitment of 1 trillion euros covering the period 2018-2029.
Stating that in the first phase of this target, 300 billion euros of financing was provided in the 2018-2024 period, Genç noted that an additional 700 billion euros of resource mobilization is targeted for the 2025-2029 period. Genç stated that within the scope of this new target, approximately 250 billion euros of financing has been mobilized by the end of September 2025.
Stating that 60 billion euros of this financing was used in the field of electrification, Genç said that approximately 45 percent of the resource was directed to renewable energy production, and the remaining part was directed to areas such as electricity transmission and distribution networks, electrification of consumers, electric vehicles and railway investments.
CONTRIBUTION OF 8 BILLION DOLLARS TO TURKEY'S ENERGY TRANSFORMATION
Drawing attention to BBVA's energy investments and financing activities in Turkey, Genç stated that the group has contributed approximately 8 billion dollars in financing and investment in the field of renewable energy in Turkey to date.
Stating that Turkey is expected to have a share of around 10-15 percent in BBVA's total sustainable financing target, Genç reminded that Turkey contributes 8 percent to the group profit. Pointing out the size of the investment amount Turkey needs for energy transformation, Genç noted that the country has a significant potential in this field.
Garanti BBVA General Manager Mahmut Akten also touched on the financing efforts for electric vehicles and charging infrastructure and stated that more than 27 billion lira of financing has been provided in these areas in the first eight months of 2026.
A NEW ERA ON THE CARBON BORDER BEGINS IN 2027
Stating that the entry into force of the European Union's Border Carbon Regulation Mechanism in 2027 will have important consequences for Türkiye, Genç said that especially exporting companies should make preparations to reduce carbon emissions.
Pointing out that companies that engage in carbon-intensive production and cannot achieve transformation may face additional costs in the European market, Genç emphasized that sustainability is no longer just an environmental responsibility, but a factor that directly determines competitiveness.
Stating that BBVA has emission reduction targets and road maps for 2030 in 10 sectors where carbon emissions are intense, Genç stated that they follow a policy of not providing financing to the coal sector. He also noted that the bank links its emission reduction performance with employees' variable wage and bonus systems.
GUIDANCE IS AS IMPORTANT AS FINANCING FOR THE TRANSFORMATION OF SMEs
Garanti BBVA General Manager Cemal Onaran said that sustainable transformation is not only on the agenda of large companies, but SMEs should also be prepared for this process.
Stating that especially small and medium-sized enterprises need road maps on energy efficiency, production technologies and reducing carbon emissions, Onaran emphasized that it is important to provide consultancy and guidance to companies as well as providing financing.
Stating that the bank has 1,250 customer managers working with SMEs, Onaran stated that a significant portion of these teams carry out at least one sustainability transaction every year.
Onaran stated that predictability of revenues, stable functioning of the regulatory framework and price guarantees are important in financing long-term energy investments. He noted that one of the main problems faced by investors is not technological inadequacy, but the income and repayment risks of the projects.
RETURN ON EQUITY IN BANKING IS BEHIND THE INFLATION
Making evaluations about the profitability of the banking sector, Mahmut Akten pointed out that the return on equity in the sector has remained below inflation for the last four-five years.
Stating that Garanti BBVA expects a simple return on equity of 27.5 percent for the end of the year, Akten pointed out the importance of making the profitability of the banking sector sustainable.
ARTIFICIAL INTELLIGENCE WILL RESHAPE BANKING
Technological developments that will determine the future of the banking sector were also brought to the agenda at the meeting. It was emphasized that artificial intelligence will transform a wide range of areas, from customer experience to operational efficiency, from anti-fraud to credit risk management.
It was stated that artificial intelligence applications create significant opportunities for Garanti BBVA to provide more personalized service to its 18.6 million active mobile customers. It was stated that voice assistants and artificial intelligence-supported customer communication systems are expected to be used more in banking services.
However, it was noted that the use of artificial intelligence creates new responsibilities in terms of cyber security, data security and credit risks. It was noted that the increasing electricity needs of data centers make energy investments more important, and that these facilities should turn to systems that can meet their own energy needs.
FINANCING OPPORTUNITY FOR COP31 Türkiye
Stating that Turkey's hosting of COP31 offers an important opportunity in terms of international visibility, Genç stated that the organization can contribute to attracting sustainable financing and investment to the country.
Emphasizing that Turkey's realization of its goals regarding energy transformation will both increase its economic competitiveness and strengthen the country's attractiveness for international investors, Genç said that sustainability should not be seen as a cost item.
According to Genç's evaluations, one of the main issues facing Turkey is to reduce foreign dependency and accelerate the green transformation of the industry while strengthening energy supply security. The success of this transformation will be possible with long-term financing, strong infrastructure investments and predictable economic policies.
