Asian Development Bank became FINCA Bank Georgia’s newest financial partner, providing a loan of USD 7 million for on-lending to micro, small and medium sized enterprises in rural areas of Georgia, so that they can increase income, create jobs and raise their standard of living.
The loan may be denominated in Georgian lari to help boost local currency use and mitigate MSME exposure to foreign exchange risks.
“With the signing of the loan agreement with FINCA Bank Georgia and technical assistance agreements through ADB’s private sector operations with FINCA Azerbaijan and FINCA Bank Georgia we are pleased to establish an important milestone in our relationship with the FINCA microfinance network in Asia in supporting farming and rural entrepreneurship in Georgia and Azerbaijan,” said Rainer Hartel, Director, Public Management, Financial Sector and Trade at ADB.
“We are proud to work with FINCA Bank Georgia and supporting the company in going the extra mile to serve remote villages.”
“FINCA Bank Georgia has 18 years of experience working with entrepreneurs in Georgia. We understand their needs,” said Vusal Verdiyev, CEO of FINCA Bank Georgia. “This partnership will help us provide additional financing to both new and existing clients, who run agricultural, micro, small and medium sized businesses in rural Georgia. As this loan may be disbursed in Georgian lari, FINCA Bank Georgia is well-positioned to respond to current market challenges and our clients will have the opportunity to protect themselves from currency risks.”
Asian Development Bank, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration.
Established in 1966, it is owned by 67 members – 48 from the region.
FINCA Bank Georgia is a Joint Stock Company providing financial services to more than 80 000 clients through 40 branches nationwide. With a loan portfolio of more than US$70 million at the end 2015, FINCA Bank Georgia is part of the global FINCA microfinance network, serving nearly 2 million clients in 23 countries, with a double bottom line of financial sustainability and social performance. For more information, visit www.FINCA.ge.