7th Jul 2020 11:20
(Alliance News) - Bank of Georgia Group PLC on Tuesday said its subsidiary JSC Bank of Georgia has signed a EUR60 million loan guarantee agreement with European Investment Bank Group under the InnovFin SME Guarantee Facility.
The Georgian lender said the facility covers 50% of every loan given by the bank under the guarantee and targets small & medium-sized enterprises and mid-caps that require investment and working capital to finance research, development and innovation activities.
Bank of Georgia added that as a response to the Covid-19 pandemic, the guarantee also covers 80% of loans provided by the bank to SMEs and mid-caps hurt by the crisis for their working capital needs.
"I am delighted to see that Bank of Georgia and EIB Group have successfully cooperated under the InnovFin Guarantee Facility, which will increase the bank's capacity to offer financial services to Georgian MSMEs and mid-caps that invest in research and development and digitalisation, and are innovation-oriented. I wish to thank the EIB Group for this support and hope to have further successful transactions with them in the future," said Chief Executive Archil Gachechiladze.
The stock was trading 1.3% lower at 1,062.00 pence each on Tuesday morning in London and down 36% from the start of the year.
By Ife Taiwo; [email protected].
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