EBRD Grants $31.5m Loan to BasisBank
Through a $31.5 million USD loans giving to BasisBank the European Bank for Reconstruction and Development (EBRD) is supporting the small and medium-sized enterprises (SMEs), energy efficiency measures and access to trade finance in Georgia.
The package includes $20 million of financing for corporations and $10 million for SMEs, including a line of credit for energy efficiency investments under the Caucasus Energy Efficiency Programme. It will allow BasisBank to enter and develop a new business segment by promoting and financing energy efficiency investments among local businesses and residential clients.
“The package [of loans] covers the needs of local businesses well and illustrates what we can offer to contribute to their successful development through a strong and leading local-market participant like BasisBank,” Nick Tesseyman, EBRD Managing Director, Financial Institutions, said.
BasisBank will provide sub-loans to local companies to finance acquisitions, expansion or modernisation, and working capital needs.
“We are very happy about the successful cooperation between BasisBank and the EBRD. This is a new stage in our ongoing relationship. We are sure that the stated package of loans will support corporations and SMEs. Our cooperation will be a significant contribution to the development of the Georgian economy,” said David Tsaava, CEO of BasisBank.
Support for private businesses is one of the EBRD’s priorities throughout its activities, and in Georgia the private sector share of the Bank’s investments stands at 91 percent.