German state-owned bank reveals financial Cooperation Portfolio in Georgia

Energy efficiency measures and approximation to EU energy efficiency standards in buildings

Energy efficiency measures represent a high potential for saving CO2 emissions in Georgia. At present, however, there is still a lack of concrete demand and experience for energy-efficient construction. In Batumi, FC will finance the energy-efficient rehabilitation of public buildings (mostly kindergartens). Modern energy efficiency standards in accordance with EU specifications are to be applied to the investments and the introduction of a nationwide energy efficiency program for public buildings is to be prepared.

7.5 million euros (Grant) under implementation

Policy-based Loan (PBL) in the energy sector

The project, which is being implemented together with the French development bank AFD and the EU, involves financial support from the Georgian government for a far-reaching energy re-form. It is based on Georgia's contractual commitments to become a full member of the EU Energy Community (EUEC) in 2017. The aim is to create a transparent and regionally integrated energy market and to promote the development of renewable energy and demand-side energy efficiency, particularly in the buildings sector.

Up to 90 million euros per year (Loan); total financing as of 2020: 199 million euros, 8.4 million euros (EU-NIF Grant) under implementation

Expansion of electricity transmission in Georgia

A reliable electricity supply is a basic prerequisite for economic development. In Georgia, the project will eliminate existing bottlenecks in the electricity transmission grid and thus enable the further expansion of renewable energies (in particular hydropower). At the same time, state-of-the-art technologies enable and enhance electricity trading with neighboring countries.

260 million euros (Loan), 18 million euros (EU-NIF-Grant), 1 million euros (Grant) under implementation

Technical vocational and educational training (TVET)

The Georgian government wants to strengthen training occupations and thus create an alternative to university education in the medium term. The project will finance a Centre of Excellence which, in addition to classical vocational school functions, will take on tasks similar to an inter-company center as well as the training of vocational school teachers and offer adult education courses.

20 million euros (Loan), 3 million euros (Grant) under implementation

Policy-Based Loan (PBL) for "Strengthening of Competitive-ness and Crisis Resilience of the Georgian Economy"

The principal objective of the Policy-Based Loan is to support Georgia’s ongoing reforms in areas critical for inclusive economic growth while also helping the country’s efforts to mitigate the economic impact of the COVID-19 pandemic. It builds on and complements the World Bank "Economic Management and Competitiveness Development Policy Operation". In the short term, the agreed-up reforms help shield the Georgian economy from the impact of the COVID-19 crisis. In the medium term, they strengthen the resilience of the economy to future shocks, e.g., through the enactment of new insolvency legislation, and help to unlock Georgia’s investment and job-creation opportunities.

180 million euros (Loan) under implementation

Social protection during the COVID-19 Pandemic

The objective of the project is the strengthening of the Georgian social protection system with the goal of cushioning the economic impact of the Covid-19 crisis on the most vulnerable parts of the population.

15 million euros (Loan), 5.81 million euros (Grant) under implementation

Eco regional Nature Conservation Program South Caucasus

Promotion of protected areas in the Southern Caucasus (Georgia)

The declared long-term objective of FC engagement in biodiversity in the South Caucasus is the implementation of a cross-border, "Ecoregional Conservation Plan". As part of the program "Promotion of protected areas in the Southern Caucasus - Georgia", equipment and management will be improved in four national parks: Kazbegi, Algeti, Kintrishi, and Psav-Khevsureti. In addition, cooperation is being established with local communities in order to increase acceptance of the protected areas and at the same time create alternative income opportunities.

8.25 million euros (Grant) under implementation

Biodiversity and sustainable local development - Georgia

This project continues the FC engagement in Georgia with the improvement of biodiversity and landscape protection through the expansion of protected areas, the improvement of the management of protected areas, and the promotion of ecotourism as a source of revenue for the local population. In addition, the project contributes to the establishment of a system of sustainable forest management and the strengthening of its climate resilience with a special focus on the Adjara region of Georgia.

26.23 million euros (Grant) under implementation

Economic integration, housing and social infrastructure for IDPs

A significant proportion of refugees from the two conflict regions of Abkhazia and South Ossetia still live in refugee shelters and are disproportionately affected by unemployment. This project will improve economic and social integration (livelihood) as well as access to social infrastructure and housing for Georgian internally displaced persons (IDPs). The international NGO Danish Refugee Council (DRC) is implementing the project together with the Georgian authorities.

10 million euros (Grant) under implementation

Underground gas storage facility

The project will finance the construction of the Samgori South Dome gas storage facility, 20 km southeast of the Georgian capital Tbilisi. This is the first gas storage facility in Georgia. Its purpose is to secure the supply of Georgian households and electricity producers, even in the event of interrupted gas supplies from neighboring countries, and thus to meet EU requirements for the security of supply. In addition, the gas storage facility is to compensate for seasonal fluctuations in the supply and demand of natural gas - with positive price effects for consumers.

30 million euros (Loan) under implementation