Bank of Georgia draws remaining tranche of EBRD's GEL facility
Source - SMW
BGEO Group's banking business subsidiary, JSC Bank of Georgia, has drawn down GEL135m - the second tranche of the local currency facility signed with European Bank for Reconstruction and Development in May 2016.
The group said that similar to the first tranche disbursed upon signing the loan agreement, the second tranche had a maturity of five years and aimed to further support micro, small and medium-sized enterprises in their alignment with the European Union's Deep and Comprehensive Free Trade Agreement requirements, as well as women-led companies.
EBRD raised the local currency funds through a private placement of GEL-denominated bonds arranged by Galt & Taggart, the group's wholly owned brokerage subsidiary.
The group said that as a result, total funds attracted by the bank through this EBRD local currency facility now totalled GEL242m.
Bank chief executive Kaha Kiknavelidze said: 'I am pleased to see that EBRD, Bank of Georgia and Galt & Taggart have once again joined forces to provide Georgian micro, small and medium-sized enterprises with long-term local currency funding.
'We are currently achieving strong levels of local currency lending growth, and this GEL-denominated funding and its accompanying incentives offered by EBRD will continue to successfully serve the on-going de-dollarisation of the Georgian economy and benefit local businesses in gaining further access to tailor-made financial products.'
At 9:33am: (LON:BGEO) BGEO Group share price was -16p at 3628p