The European Bank for Reconstruction and Development (EBRD) and Credo Bank signed finance agreement in amount of US$ 15 million equivalent in Local Currency. The facility aims to support viable micro, small and medium entrepreneurs in Georgia.
The EBRD and Credo Bank have been partners since 2007. Credo Bank, ranked 9 among 16 banks in Georgia holds a 2.4% market share and is one of the largest micro-finance lenders in the country with a strong presence in rural areas.
Bruno Balvanera, the EBRD’s Director for Caucasus said: “The loan to Credo Bank underlines the EBRD’s commitment to the country’s future development and promotion of the private entrepreneurship in the country, especially reaching clients in the regions and rural areas. The private sector whose revenue streams are predominantly in local currency are highly susceptible to exchange rate risks. Working with Credo Bank, with its high regional outreach and service quality, is yet another successful step in our efforts to help companies to reduce their currency risk”.
Zaal Pirtskhelava, the CEO of Credo Bank said: “We highly value such successful continuation of partnership with EBRD. This Local Currency transaction is an important step to support micro, small and medium businesses in Georgia. Besides, with its strong regional outreach, Credo Bank will further contribute to the mission of this transaction and focus on lending to entrepreneurs outside Tbilisi.”
The EBRD is the largest institutional investor in Georgia. Since the beginning of its operations, the EBRD has invested approximately €3.2 billion in over 224 projects. The Bank focuses on supporting the private sector; investing in energy sector projects and investing in infrastructure, logistics, telecommunications and the financial sector to support cross-border economic activities.
About Credo Bank
Credo Bank is the leading bank on Georgian microfinance market in terms of countrywide presence and number of clients. It operates 68 branches and supports up to 280 thousand customers across Georgia. The bank’s mission is to provide sustainable financial services to micro, small and medium businesses, with a preference for rural activities and those businesses that create income and employment opportunities. Credo Bank is owned by consortium of international shareholders, the social impact investors - Access Microfinance Holding AG, ResponsAbility Investment Management AG and Triodos Investment Management BV.