The General Council for Islamic Banks and Financial Institutions (CIBAFI), in partnership with the Participation Banks Association of Türkiye (TKBB), successfully convened a high-level webinar titled “Green Transformation and Sustainable Development in Islamic Finance,” bringing together global regulators, multilateral institutions, rating agencies, and industry leaders to advance the sustainability agenda within Islamic finance.

The joint webinar forms part of CIBAFI’s and TKBB’s continued efforts to strengthen sustainable finance practices and enhance the role of Islamic financial institutions in addressing climate risks and supporting global development goals. The session served as a dynamic platform to examine practical pathways for integrating ESG principles, managing climate transition risks, and scaling sustainable Islamic financial instruments.

The webinar opened with welcoming remarks from Ms. Zainab Al Owainaty, Director of Administration and Finance at CIBAFI, and Mrs. Fatma Çınar, Deputy Secretary General of TKBB, who both emphasized the urgency of coordinated action across the industry.

Ms. Al Owainaty highlighted the strategic importance of sustainability in shaping the future of Islamic finance, stating “Green transformation is no longer optional, it is an urgent necessity to ensure the long-term resilience, stability, and competitiveness of Islamic financial institutions. Sustainability constitutes a core objective within CIBAFI’s strategic priorities, reflecting our commitment to advancing responsible and value-based finance across the industry. Through our collaboration with TKBB, CIBAFI reaffirms its dedication to supporting members and stakeholders with the knowledge, standards, and practical frameworks required to align with global sustainability and development agendas”.

Mrs. Çınar emphasized the critical role of cross-border collaboration in the participation banking sector, stating: “TKBB is honored to collaborate with CIBAFI in fostering this vital dialogue at a time when climate-related risks are transforming the global financial landscape. Advancing sustainable finance and deepening ESG integration across participation banks remain central to TKBB’s strategic agenda. We are steadfast in our commitment to supporting our member institutions in strengthening governance structures, enhancing risk management frameworks, and expanding green financing capabilities. As climate risks continue to escalate, it is imperative for Islamic financial institutions to proactively embed ESG principles into their strategies and operations. This webinar demonstrates our joint resolve to equip the sector with the knowledge and tools necessary to effectively address these evolving challenges.”

The webinar also featured an engaging panel discussion with distinguished industry experts, including Mr. Berk Mesutoğlu, Head of the Strategy Development Department, Banking Regulation and Supervision Agency (BRSA); Mrs. Nadia Laribi, Senior Officer, Green Economy and Climate Finance, Global Green Growth Institute (GGGI); Mr. Rachid Ettaai, Assistant Director of Strategic Planning and Operations, CIBAFI and Dr. Mohamed Damak,  Managing Director / Sector Lead Financial Institutions & Global Head of Islamic Finance; S&P Global.

The panel delivered forward looking insights on climate transition risks, regulatory developments, ESG integration strategies, and the growing demand for sustainable Islamic financial instruments such as green sukuk. Speakers also addressed governance frameworks, implementation challenges, and the evolving expectations of investors and stakeholders.

The discussion reinforced the critical role Islamic banks can play in financing green innovation, supporting low carbon transitions, and mobilizing capital toward sustainable infrastructure and development projects.

This joint initiative underscores the deepening cooperation between CIBAFI and TKBB in promoting sustainable Islamic finance and reflects their shared vision of a more resilient, climate conscious, and future ready financial industry.