REG - TBC Bank Group PLC - TBC and AIIB Sign a US$ 100 million loan agreement

TBC BankAnnouncement

19/12/2022 09:15

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RNS Number : 1469K  TBC Bank Group PLC  19 December 2022

TBC Bank and AIIB Sign a US$ 100 million loan agreement
 

TBC Bank Group PLC ("TBC PLC") announces that its subsidiary, JSC TBC Bank
("TBC Bank"), has signed a loan agreement in the amount of US$ 100 million
with Asian Infrastructure Investment Bank ("AIIB"), marking AIIB's first ever
transaction with a commercial bank in Georgia. The entire facility is
available for disbursement in two currencies, including Georgian Lari, thereby
improving access to increasing demand for local currency funding.

This facility is designated to finance the business activities of local
entrepreneurs, primarily working capital needs and medium-term investments of
borrowers, promoting their sustainable economic development. In addition,
local currency financing will help to reduce dependence on foreign currency
borrowings, protecting business owners from direct exposure to exchange rate
risk.

 

Mr. Vakhtang Butskhrikidze, CEO, TBC Bank, commented:

"We are proud to have completed this inaugural transaction and become the
first partner financial institution for AIIB in Georgia. The availability of
local currency financing is very important to support the de-dollarization of
the Georgian economy and provide the most popular financial products to our
business customers, thereby supporting economic growth and job creation in the
country. This transaction reflects both institutions' commitment to launching
a successful cooperation and we look forward to more years of productive
partnership. "

 

Mr. Konstantin Limitovskiy, Vice President Investment Operations, AIIB,
commented:

"This transaction, which falls under AIIB's Covid-19 Recovery Facility,
exemplifies our commitment to adapt and innovate in support of our clients.
For the first time, AIIB will provide a medium term loan in Georgian Lari
(GEL). GEL financing will address the scarcity of local currency funding in
the market and support the economic resilience of SMEs.

We are pleased to establish a partnership with TBC Bank, the leading bank in
Georgia with a well-earned reputation for excellence in SME finance. AIIB
continues to support the real economy in Georgia to maintain recovery
momentum. This transaction marks the beginning of a long and mutually
beneficial relationship between our institutions. "

 

About AIIB

The Asian Infrastructure Investment Bank (AIIB) is a multilateral development
bank whose mission is financing Infrastructure for Tomorrow-infrastructure
with sustainability at its core. We began operations in Beijing in January
2016 and have since grown to 105 approved members worldwide. We are
capitalized at US$ 100 billion and Triple-A-rated by the major international
credit rating agencies. Collaborating with partners, AIIB meets clients' needs
by unlocking new capital and investing in infrastructure that is green,
technology-enabled and promotes regional connectivity. We promote high
standards by applying our Environmental and Social Framework
and Project-affected People’s Mechanism
(https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html#:~:text=The%20Project%2Daffected%20People's%20Mechanism,Environmental%20and%20Social%20Policy%20(ESP))
to every project, including TBC Bank's COVID-19 Credit Line Project.

 

For further enquiries, please contact:

Director of International Media and Investor Relations

Zoltan Szalai

Or

Head of Investor Relations

Anna Romelashvili

ir@tbcbank.com.ge (mailto:ir@tbcbank.com.ge)

 

About TBC Bank Group PLC ("TBC PLC")

TBC Bank Group PLC ("TBC PLC") is a public limited company registered in
England and Wales. TBC PLC is the parent company of JSC TBC Bank ("TBC Bank")
and a group of companies that principally operate in Georgia in the financial
sector and other closely related fields. TBC PLC also recently expanded its
operations into Uzbekistan. TBC PLC is listed on the London Stock Exchange
under the symbol TBCG and is a constituent of FTSE 250 Index. It is also a
member of the FTSE4Good Index Series and the MSCI United Kingdom Small Cap
Index.

 

TBC Bank, together with its subsidiaries, is a leading universal banking group
in Georgia, with a total market share of 38.8% of customer loans and 40.0% of
customer deposits as of 30 September 2022, according to data published by the
National Bank of Georgia.

 

 

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