Bank of Georgia Group PLC on Thursday said its subsidiary JSC Bank of Georgia has signed a €50 million loan with European Investment Bank, which has a maturity of up to seven years.

The Tbilisi-based bank said the funds will be used to finance investment projects promoted by small and medium-sized and midcap companies in Georgia.

Under the deal, Bank of Georgia will use at least 30% of the loan in green lending.

Chief Executive Officer Archil Gachechiladze says: ‘We greatly appreciate EIB’s ongoing support for Bank of Georgia and Georgian businesses. This transaction, with a specific focus on green investments, is another important step towards the sustainable development of the local economy.’

The firm also said that JSC Bank of Georgia has agreed an €25 million subordinated credit facility agreement with Green for Growth fund, Southeast Europe SA and an €20 million subordinated facility agreement with the European Fund for Southeast Europe SA.

The maturity for these loans is 10 years, the firm said.

It added that the loans both have green components.

Gachechiladze said: ‘I would like to thank our long-term partners, GGF and EFSE, for their cooperation. We appreciate their ongoing support for Bank of Georgia and local businesses in Georgia. These facilities enable us to continue empowering our customers, while maintaining a strong capital position.’

Bank of Georgia shares fell 0.5% to 3,959.94 pence each on Thursday afternoon in London.

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