BAKU, Azerbaijan, May 18
Tamilla Mammadova – Trend:
Georgian Credo Bank attracted 51 million lari ($14.9 million) from the European Fund for Southeast Europe (EFSE) and the Green for Growth Fund (GGF), Trend reports via Georgian media.
As reported, the two long-term local currency investments aim to support rural micro and small entrepreneurs in Georgia.
The transactions were led by the advisor to EFSE and the GGF, impact asset manager Finance in Motion.
Some 34 million lari ($9.9 million) provided by EFSE aims to support income generation and business growth, especially against the headwinds of the coronavirus pandemic. Whereas, 17 million lari ($4.9 million) from GGF targets to expand access to green financing across the country to implement energy and resource efficiency measures, therefore, contributing to post-pandemic greener recovery.
“EFSE’s long-term local currency loan will be directed to finance activities of farmers during the current peak agriculture season, it will significantly mitigate currency-induced credit risk for our customers and contribute towards strengthening of national agriculture sector during the pandemic. Moreover, with GFF proceeds Credo Bank will create access to green finance, promote smart households and sustainable businesses in rural Georgia,” said Chief Executive Officer of Credo Bank Zaza Pirtskhelava.
Credo Bank is the leading bank in the Georgian microfinance market in terms of countrywide presence and the number of clients. It operates 75 service centers and supports more than 335,000 customers across Georgia.
The Green for Growth Fund invests in measures designed to cut energy use and CO2 emissions, and improve resource efficiency in 19 markets across Southeast Europe, the Caucasus, Ukraine, Moldova, the Middle East, and North Africa. The fund provides such financing directly to renewable energy projects, corporates, and municipalities or indirectly via selected financial institutions.
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