Date set for the merger of 3 public participation banks

Preparations are underway for a comprehensive restructuring process in the field of public participation banking in Turkey. While plans are in place to merge Ziraat Katılım, Vakıf Katılım, and Halk Katılım under a single roof, the new structure is expected to operate under a different brand name.

The merger process is targeted for completion in the final quarter of 2026, and the name of the new public participation bank to be formed is expected to be announced in the coming period.

THE MODEL IN THE INSURANCE SECTOR WILL BE TAKEN AS AN EXAMPLE

The planned merger is based on the model previously implemented for public insurance companies. In 2020, the "Türkiye Sigorta" brand was created by bringing Ziraat Sigorta, Halk Sigorta, and Güneş Sigorta under a single roof.

By implementing a similar practice in the field of participation banking this time, the goal is to support the growth of the sector and provide public participation banks with a stronger structure.

According to the current schedule, at the end of the process, which is planned to be completed in the final months of 2026, the branch networks, financial resources, and digital infrastructure of the three public participation banks will be combined under a common structure.

With this step, it is aimed to increase the international competitiveness of the participation banking sector in Turkey.

ERDOĞAN HAD ANNOUNCED THE MERGER PLAN

AKP Chairman and President Recep Tayyip Erdoğan announced the plan regarding the merger of public participation banks at the 3rd Istanbul World Islamic Economy Summit held on June 5 with the following words:

"Another move of ours will be the merger of Ziraat, Vakıf, and Halk Katılım. A great synergy will emerge from the joining of forces of these three participation banks, and hopefully, the sector will gain a different momentum."

News Source: 12punto