BSTDB Builds Up Partnership with Basisbank to Finance SMEs in Georgia
Press Release | 17-Jun-2019
The Black Sea Trade and Development Bank (BSTDB) is scaling up its support for the financial sector in Georgia with a 3-year multi-currency loan facility to Basisbank. The loan consists of two tranches: USD 10 million and EUR 5 million. Basisbank will use the facility to finance small and medium-sized enterprises (SMEs) in Georgia.
“Supporting the SME sector development is our strategic priority in Georgia and in other member countries. We hope our strengthened partnership with Basisbank in this sector will generate a positive impact on the private sector growth and employment in Georgia”, said Dmitry Pankin, BSTDB President at the signing of the agreement.
Commenting on the deal, Mr. David Tsaava, General Director of Basisbank, said: “We are happy to continue strengthening cooperation with our valuable partner BSTDB by signing another SME facility agreement for the development of Georgian businesses. For us it is especially significant to support our SMEs clients in their business expansion needs. Through this new facility, we acquire excellent possibility to stimulate further growth of our SME clients. Our lasting partnership with BSTDB once again proves the high level of trust and genuine cooperation between our institutions.”
BSTDB has been cooperating with Basisbank since 2012, when then first Trade Finance facility was signed. To date, through the revolving facility, BSTDB’s aggregate financing to the Georgian exporters and importers reached US$ 98 million, showing one of highest utilization rates in Bank’s member countries. In 2016 BSTDB provided the first USD 5 million SME Loan to Basisbank, which was successfully repaid this year, having financed 22 individual sub-loans to Georgian SMEs.
Established in 1993 and headquartered in Tbilisi, Basisbank provides a broad range of banking services to about 145.000 retail and corporate clients through a network of 22 branches in Georgia. Basisbank is the 6th largest in the country with total assets of over US$500 million and shareholders’ equity close to US$79 million.
90% owned by Xinjiang Hualing Industry & Trade (Group) Co., Basisbank has developed cooperation with multilateral development banks and other international lenders.
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.
Press contact:
Haroula Christodoulou
Phone: +30 2310 290533
E-mail: cchristodoulou@bstdb.org
