BSTDB INCREASES FINANCING TO MICRO AND SMALL BUSINESSES IN GEORGIA

Press Release | 30-Jan-2006

The Black Sea Trade and Development Bank (BSTDB) has approved a medium-term Micro and SME Loan Facility to ProCredit Bank Georgia in the amount of USD 6 million.

The credit line carries a tenor of two years and intends to finance sub-loans offered by Procredit Bank Georgia to micro, small and medium-sized enterprises in Georgia. The support that BSTDB is giving through Procredit Bank Georgia will benefit multiple eligible Georgian enterprises and deliver the much-needed medium-term financing to the Georgian market. The borrower already has a successful credit history with BSTDB’s first SME facility in the amount of USD 5 million signed in January 2005, which was successfully utilized.

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ProCredit Bank Georgia is a development oriented full service bank offering a wide range of banking products and services. The Bank focuses on lending to micro, small and medium-sized enterprises in order to improve access to financing for the dynamic and fast-growing SME sector in the country. Majority shareholders of the Bank are well-established international organizations including, among others, KfW, IFC, EBRD and Procredit Holding AG. Procredit Bank Georgia has a long-term rating of B by Fitch.

The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Türkiye, and Ukraine. The BSTDB headquarters is in Thessaloniki, Greece. With an authorized capital of SDR 1 billion (approx. USD 1,45 billion), the Bank supports economic development and regional cooperation by providing financing, guarantees, and equity for projects in the public and private sectors in its member countries. BSTDB is assigned investment grade rating of Baa2 by Moody’s.