Credo Bank and the EBRD Sign $16 Million Local Currency-Denominated Agreement to Support Business

Credo Bank and the European Bank for Reconstruction and Development (EBRD) Sign US$ 16 million Local Currency Denominated Agreement to Support Georgian Businesses

• Georgian small firms and women-led companies to receive a funding boost
• Lending in Georgian Lari to protect from foreign currency related risks
• Borrowers to benefit from EU-funded grants

Credo Bank and The European Bank for Reconstruction and Development (EBRD) sign a financial package worth US$ 16 million denominated in Georgian Lari (GEL) to support micro, small and medium-sized enterprises (MSMEs), women-led firms and further promote local currency lending in Georgia.

The financing package includes an MSME credit line of up to US$ 10 million to support local firms’ investments across the country. A further US$ 4 million falls under the Women in Business (WiB) programme, which aims to promote women entrepreneurship by boosting access to finance and advice for women-led firms, supported by Sweden and the European Union.

Credo Bank will also receive US$ 2 million under the EU4Business-EBRD Credit Line for small business upgrades in modern, greener technology, making them more sustainable and competitive at home and abroad. The borrowers will receive grants upon successful implementation of their investment projects and technical assistance, both funded by the EU under its EU4Business initiative.

‘’MSMEs play a vital role, always bringing novelties and innovations to the market. We are pleased to step up our support to companies, women-led businesses in Georgia who wish to invest in growth, greener and more competitive future. Together with our partners, we work to provide more opportunities for small businesses and to boost economic resilience and sustainable development in the country,’’ said Catarina Bjorlin Hansen, EBRD Regional Director for the Caucasus.

Ambassador of the European Union to Georgia, Paweł Herczyński noted: “Congratulations to Credo Bank for signing this deal with the EBRD, fully in line with EU priorities. The EU is a strong supporter of SME development, women entrepreneurship and the green economy in Georgia.”

“We are proud to continue our strategic partnership with EBRD for over 15 years now. This complex financial package denominated in local currency supports Georgian MSMEs, creates access to finance for women entrepreneurs and promotes usage of modern, greener technology in businesses thus, contributing to their sustainability. Likewise, I would like to thank the whole team and particularly EBRD’s Georgian representation for their efforts and collaboration,” Zaza Pirtskhelava, Credo Bank CEO said.

This is the first time that Credo Bank, fifth largest bank in Georgia has joined the WiB and Eu4Business-EBRD Credit Line facilities. A strong partner to the EBRD, Credo Bank is largely catering to the financial needs of MSMEs.

To date, the EBRD has invested around €5 billion in over 280 projects in Georgia.

About EBRD

The EBRD is a multilateral bank that promotes the development of the private sector and entrepreneurial initiative in 36 economies across three continents. The Bank is owned by 71 countries as well as the EU and the EIB. EBRD investments are aimed at making the economies in its regions competitive, inclusive, well-governed, green, resilient and integrated.

About Credo Bank

Credo Bank is the fifth commercial bank in Georgia. With its wide regional outreach through 84 service centers, Credo Bank offers fully-fledged and innovative banking services to over 460,000 customers. The bank’s mission is to support Georgia’s entrepreneurs and their employees to create a better future by offering affordable financial services. International social impact and development finance institutions such as German - Access Microfinance Holding AG, Swiss - responsibility Investment Management AG, the Dutch – Triodos Investment Management BV and French – Proparco, own Credo Bank.