Project description
and objectives:
|
The proposed project will allow Bank Republic to meet the growing demand from
Georgian micro and small enterprises for medium-term financing, an area which
is underserved. This will enable the bank to increase its competitiveness in
the local market and diversify its customer base.
|
Transition impact:
|
Transition impact will be achieved through strengthening a competitive bank
and broadening its outreach to smaller entrepreneurs who traditionally have
little access to mediurm term funding. Further, the outreach will provide
more financial alternatives to small businesses and foster competition. The
project will support institution-building by introducing established and
successful MSE lending technologies including training staff, selection of
quality borrowers and strengthening loan marketing and monitoring. Overall,
it is anticipated that financial intermediation will be increased.
|
The client:
|
Bank Republic, founded in 1991, is the sixth largest private commercial bank
in Georgia by total assets and one of the top four in terms of profitability.
|
EBRD finance:
|
EBRD financing will consist of a USD 3 million five-year MSE senior loan.
|
Total project cost:
|
USD 3 million.
|
Environmental impact:
|
Bank Republic will comply with EBRD’s Environmental Procedures for Small and
Micro Loans, which include: compliance with applicable national environmental,
health, safety and labour requirements; adherence to the Environmental
Exclusion and Referral Lists, submission of annual environmental reports to
the Bank as well as nomination of a member of Bank Republic senior management
to be responsible for environmental issues.
|
Technical
cooperation:
|
Bank Republic has recently been included in the Small Enterprise Lending
Programme (SELP) which provides MSE institution-building assistance to two
other banks in Georgia. The existing TC contract (EUR 1.35 million) is funded
by EU and will run until end 2006.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
|
Company contact:
|
Lado Sakvarelidze, Relations with IFIs
E-mail: Lados@republic.com.ge
|
EBRD contact:
|
Christopher Falco, Operation Leader: falcoc@ebrd.com
|
Business opportunities:
|
For business opportunities or procurement, contact the client company.
|
General enquiries:
|
EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
|
