The Asian Development Bank (ADB) has raised approximately $46 million through bond sales in lari, the Georgian currency, the bank said on Friday.
The sales proceeds will be loaned to Georgia's TBC Bank to finance micro-, small and medium-size enterprises nationwide.
“Small enterprises employ nearly half of Georgia’s work force, and getting better access to bank financing will help them to grow, providing more jobs and incomes,” ADB Bank Treasurer Pierre Van Peteghem said. “This bond sale -- the largest by a foreign issuer — will provide a key market benchmark and could encourage more borrowers, both domestic and foreign, to tap the Georgian bond market.”
The bank also said this move avoids currency risks as it works to further develop and support employment and the investment sector overall.
"We are happy to have received the loan made possible by this landmark bond," TBC Bank CEO Vakhtang Butskhrikidze said. "The transaction will help develop Georgia's financial sector, and we will put the funds to work to promote development of the Georgian economy."