European Fund for Southeast Europe (EFSE) and Green for Growth Fund (GGF) Strengthen Partnership with Basisbank through EUR 20 Million Financing to Accelerate Sustainable Growth and Support MSMEs in Georgia
The European Fund for Southeast Europe (EFSE), Green for Growth Fund (GGF) and JSC Basisbank (“BB”), are further expanding their partnership to support Basisbank’s accelerated growth and advancement on the market. The financing package includes: EUR 10 million worth of a Subordinated Loan by EFSE and EUR 5 million worth of a Subordinated Loan by GGF. The financing package bears a maturity of seven years and qualifies as Tier II capital under the Basel III framework, which serves as a capital cushion to balance the accelerated growth phase of Basisbank and underpin the expansion of the Bank’s lending activities, particularly to micro, small and medium-sized enterprises (MSMEs) with greater focus on sustainable investments.
Earlier in June 24, 2024, Basisbank also concluded EUR 5 million worth of senior loan deal with GGF to advance the bank’s E&S practices in line with the best international standards and support the bank in its green economy financing initiatives.
Mutually successful cooperation of BB with its partners GGF and EFSE dates back to the years 2018 and 2019, when the Funds extended generous support in the form of green and local currency financing to the Bank. Through many years of collaboration, BB, GGF and EFSE continue to contribute to the development of business in the country by expanding availability of long-term financing and devoting larger resources to the economy.
About EFSE
An impact investment fund established in 2005, the European Fund for Southeast Europe (EFSE) aims to foster economic development and prosperity in Southeast Europe and the Eastern Neighbourhood Region. EFSE was initiated by KfW Development Bank with the financial support of the German Federal Ministry for Economic Cooperation and Development (BMZ) and the European Commission. As the first public-private partnership of its kind, EFSE draws its capital from donor agencies, international financial institutions, and private institutional investors. Finance in Motion GmbH, Germany, serves as EFSE’s advisor and Hauck & Aufhäuser Fund Services S.A., Luxembourg, acts as manager. For more information on the European Fund for Southeast Europe, please visit: www.efse.lu
For more information on Finance in Motion, please visit: www.finance-in-motion.com
About GGF
The Green for Growth Fund (GGF) invests in measures to reduce energy use, CO2 emissions, and improving resource efficiency in 19 markets across Southeast Europe, the Caucasus, Ukraine, Moldova, the Middle East, and North Africa. It finances renewable energy projects, corporates, municipalities, and financial institutions, supported by its Technical Assistance Facility.
Initiated in December 2009 by Germany’s KfW Development Bank and the European Investment Bank, with financial support from the European Commission and more institutions, the GGF includes a diverse investor base of donor agencies, international financial institutions, and private investors. Finance in Motion GmbH and MACS Energy & Water GmbH provide advisory services. For more information, visit www.ggf.lu
About Finance in Motion
Finance in Motion is a global impact asset manager focused exclusively on sustainable development in emerging markets and developing economies. The company structures, manages, and advises impact investment funds that bring together public and private investors to address climate change, strengthen biodiversity conservation, foster the sustainable use of natural resources, improve livelihoods, and promote economic opportunities.
For more information, please visit us at: www.finance-in-motion.com
You can also follow us on X @financeinmotion and LinkedIn
About BasisBank
We are the 4th largest Financial Group in Georgia, with 30 years of market presence. We are positioning ourselves as a Universal Financial Institution with top number 3rd Bank Mindset, acting responsibly and earning lasting loyalty of our clients, partners, and stakeholders.
With market share of 5% we are the 3rd biggest Bank in business finance in Georgia, our retail business holds 4.4% of the market, making us the 4th largest bank in retail services. The Bank provides industry expertise, top-notch banking, insurance and leasing products and services across the country establishing itself as one of the significant market players in Georgia. Our strategic focus is on strengthening positions in all key areas, with new propositions and superior solutions to build on our strength as a customer-centric, forward-looking bank.
Our strong collaboration with our partner international financial institutions gives us distinct advantage. We are a trusted partner to many, highly rated international financial institutions, commercial banks and investment funds from all around the world including Asian region.