BSTDB to Boost Support for Leasing in Georgia
Press Release | 06-Nov-2014
The Black Sea Trade and Development Bank (BSTDB) will increase the availability of financing to private businesses in Georgia with a USD 4 million facility to JCB TBC Leasing.
The three-year facility will be used to finance leases of production equipment and commercial vehicles to small- and medium-sized local companies (SMEs).
Ms. Nana Mikashavidze, CEO of JSC TBC Leasing, highlighted the importance of the facility: “The new loan extended by BSTDB to TBC Leasing provides increased access to finance for Georgian SMEs through the development of non-banking finance sector in Georgia. Leasing, as a tool for investment in equipment, promotes economic growth leading in turn to the creation of employment, which is very important to the country”.
Speaking at the signing ceremony in Tbilisi, Mr. Ihsan Ugur Delikanli, BSTDB President, said: “BSTDB remains committed to supporting small business development in Georgia and in the Black Sea region, which is the backbone of market economy. Stronger leasing sector will benefit Georgia’s economic growth by providing small businesses with reasonable funding sources for their investments at a time when businesses continue to face limited access to financing mechanisms. The new loan to TBC Leasing complements the BSTDB special SME credit lines provided to Georgian banks”.
This is the third leasing facility extended by BSTDB to TBC Leasing, bringing the total amount to USD 10 million. The previous two successfully utilized facilities were provided in 2007 and 2011.
Since the start of BSTDB’s operations in Georgia, the Bank has cumulatively disbursed over EUR 135 million mainly focused on support for SME and the financial sector development.
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TBC Leasing was established in 2003 by the Georgian JSC TBC Bank, which owns 90% of the company. The remaining 10% is owned by the European Bank for Reconstruction and Development (EBRD). TBC Leasing targets small- and medium-sized private companies, which seek to acquire fixed assets by leasing. With almost 67% of the market share, TBC Leasing is currently the leading provider of financial lease services in Georgia in terms of assets and portfolio size. The company has a diversified portfolio across sectors, including medicine, agriculture, construction, trade, services, transportation, etc. For additional information, please visit www.tbcleasing.ge.
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 are in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is EUR 3.45 billion. BSTDB is rated long-term “A-” by Standard and Poor’s and “A2” by Moody’s. For information on BSTDB, visit www.bstdb.org.