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PROMOTING FINANCIAL SECTOR GROWTH AND SERVICE DIVERSITY

July 10, 2014



Approval: 14 Jan 2013 Closing : 26 Feb 2015 Project Number : 46925-014 Status : Active Phase : Execution Approved Amount (thousand) : USD 50,000 Country : Georgia Sector/subsector classification: Not yet classified/ For Classification The adb assistance is a senior loan to tbc bank of $50 million with a tenor of five years. tbc bank will use the proceeds to diversify its exposure to georgia~s regions outside the capital tbilisi by (i) increasing lending to micro small and medium sized enterprises including farms; (ii) providing enhanced access to longer-term finance for the msmes in support of regional income and employment; and (iii) gradually fund smaller entities, thereby supporting diversification of tbc~s loan book, and reducing tbc~s large exposures. tbc will utilize its retail, sme, and corporate platforms, as well as its subsidiary bank constanta microfinance lending platform.1 objectives and scope impact. the impacts of the investment are (i) improved access to financial services for msmes operating in rural regions outside the capital and (ii) enhanced resilience of georgia s banking system. it is expected that more prudent financial intermediation by banks, with a special focus on the regions, will lead to greater consumer confidence. this will be reflected by an increase in bank deposits and loans, as well as an increase in the private credit to gdp ratio. outcome. the outcome of the investment is that tbc remains profitable and becomes a more resilient bank, prudently serving the diverse needs of georgia s economy. tbc is expected to set an example for other banks in the industry and position itself to be able to withstand possible future financial stress by putting in place advanced approaches for maintaining capital adequacy, improving its risk management capability to exceed minimum requirements of basel ii and iii, and improving efficiencies. outputs. tbc will improve its service outreach to msmes in the regions, and diversify its risk exposure by (i) reducing borrower (group), sector and regional concentration; (ii) maintaining adequate asset quality and asset liability management; and (iii) ensuring adequate investment is made in human resources, processes and systems to deliver sufficient liquidity, capital adequacy and profitability.

Project completion date : 2015-02-26 12:00:00

Major organization : ASIAN DEVELOPMENT BANK (ADB)

Address : 6 ADB Avenue, Mandaluyong City 1550, Philippineshttp://www.adb.org/ Private Sector Operations Department Private Sector Financial Institutions Division Attn: Rainer Hartel (rhartel@adb.org)



Country :Philippines

Financier : Asian Development Bank (ADB)


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Source: TendersInfo (India)


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