BGEO Group PLC (“BGEO” or the “Group”), the holding company of JSC Bank of Georgia (“BOG” or the “Bank”), Georgia’s leading bank, announces that the Bank and the European Bank for Reconstruction and Development (“EBRD”) have signed a c.GEL 220 million loan agreement, with a maturity of five-years. EBRD obtained the local currency funds through a private placement of GEL-denominated bonds arranged by Galt&Taggart, a wholly owned subsidiary of BGEO.
This is the largest and the longest maturity local currency loan granted to a Georgian bank. The loan will enable BOG to issue longer-term local currency loans, providing essential support for micro, small and medium sized enterprises to converge to DCFTA requirements, as well as underserved women entrepreneurs.
“I want to congratulate EBRD, BOG and Galt & Taggart with the successful closure of this landmark transaction. The transaction reflects our longstanding co-operation with EBRD and is of a great importance not only for Bank of Georgia but for the entire financial sector in the country as it enables BOG to provide long term loans in local currency, meeting existing strong demand for such funding. Bank of Georgia is committed to further extending its financing to small and medium size businesses. Furthermore, we are keen to develop financial products and lending practices, to service specifically women-led SMEs, which will ultimately increase their involvement in developing Georgia’s private sector”, said Irakli Gilauri, CEO of BGEO Group PLC.
