OeEB signed a long-term credit line of USD 15 million for ProCredit Bank Georgia. The funds will be used for financing energy efficiency projects as well as for on-lending to local small and medium-sized enterprises (SME).
In recent years Georgia has been confronted with an increasing energy demand. Georgia is highly dependent on expensive energy imports, and the rising energy prices reduce companies’ competitiveness. One part of the solution is the better use of existing resources. Indeed, the inefficient use of energy, outdated machinery and insufficient insulation cause a high loss of energy.
Although there is increasing awareness among society and businesses of the advantages of a more efficient use of energy, the necessary financing is often not available. Lack of financing is - for small and medium-sized enterprises in particular - one of the main obstacles to business development.
The loan granted by OeEB will be used to finance energy efficiency investments – in private households as well as in small and medium-sized enterprises. Moreover, the credit line helps improve SMEs’ access to finance in general.
OeEB’s credit line therefore contributes to reducing Georgia’s dependence on energy imports as well as to the economic growth and to securing and creating jobs.