Financed ProjectsBasisbank, GE, Dual Currency SME LoanBasisbank, GE, Dual Currency SME Loan

Identification Code:

OP/19/0008

Total Operation Cost:

0

Maturity:

36 months

Identification Code:

OP/19/0008

Total Operation Cost:

0

Maturity:

36 months

Operation Status:

Description and Purpose of the Operation:

Basisbank, GE, Dual Currency SME Loan

Countries of Operation:

Georgia (100,00 %)

Financial Product:

SME's

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Dual Currency SME Loan Facility to JSC "Basisbank"

Co-Financiers/Participants:

N/A

Guarantors/Sponsors:

N/A

Developmental and Regional Cooperation Impact:

This operation involves a US$ 10 million + EUR 5 million lending facility with JSC Basisbank, for on-lending to eligible small and medium sized enterprises (SMEs). It is expected to have modest but favorable economic benefits for the Georgian economy, the most relevant being additional tax revenue gains from increased economic activity resulting from the financing provided, increases in employment, and multiplier effects for other parts of the economy. Regional cooperation element is likely to be nil, as most of the beneficiary SMEs are likely to be mainly oriented to the domestic market.

Environmental Classification and Impact (summary):

Basisbank is an existing Borrower of BSTDB under a trade finance facility and SME loan. The Borrower has a functioning Environmental and Social Management System (ESMS) consisting of E&S Risk Management Instruction adopted in 2010 and last amended in 2018. It establishes the framework for identification, assessment, mitigation and reporting of the material E&S risks across the Basisbank’s activity. The system covers labour and employment practices, human rights, resource efficiency, pollution prevention, biodiversity and cultural heritage. As per the approved ESMS the Borrower committed to finance environmentally sound and sustainable operations, and with due consideration of the excluded activities.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org

Financial Product:

SME's

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

Dual Currency SME Loan Facility to JSC "Basisbank"

Co-Financiers/Participants:

N/A

Guarantors/Sponsors:

N/A

Developmental and Regional Cooperation Impact:

This operation involves a US$ 10 million + EUR 5 million lending facility with JSC Basisbank, for on-lending to eligible small and medium sized enterprises (SMEs). It is expected to have modest but favorable economic benefits for the Georgian economy, the most relevant being additional tax revenue gains from increased economic activity resulting from the financing provided, increases in employment, and multiplier effects for other parts of the economy. Regional cooperation element is likely to be nil, as most of the beneficiary SMEs are likely to be mainly oriented to the domestic market.

Environmental Classification and Impact (summary):

Basisbank is an existing Borrower of BSTDB under a trade finance facility and SME loan. The Borrower has a functioning Environmental and Social Management System (ESMS) consisting of E&S Risk Management Instruction adopted in 2010 and last amended in 2018. It establishes the framework for identification, assessment, mitigation and reporting of the material E&S risks across the Basisbank’s activity. The system covers labour and employment practices, human rights, resource efficiency, pollution prevention, biodiversity and cultural heritage. As per the approved ESMS the Borrower committed to finance environmentally sound and sustainable operations, and with due consideration of the excluded activities.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org