Georgia : Low-Income Housing Finance

Nonsovereign Project | 52187-002

The transaction will support mortgage and home renovation financing for households with lower incomes. The proposed ADB assistance comprises senior loan of up to $25 million or its lari equivalent to Credo with a tenor of up to 5 years.

Project Details

  • Project Officer
    Arshad, Basit
    Private Sector Operations Department
    Request for information
  • Country/Economy
    Georgia
  • Sector
    • Finance
Project Name Low-Income Housing Finance
Project Number 52187-002
Borrower / Company Credo Bank JSC
Country / Economy Georgia
Location Nation-wide
Type or Modality of Assistance
3752 Loan Ordinary capital resources USD 25.00 million Committed
Strategic Agendas Inclusive economic growth
Drivers of Change Private sector development
Sector / Subsector

Finance / Banking systems and nonbank financial institutions

Gender Gender equity theme
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Portfolio Management Division, PSOD
Responsible ADB Officer Arshad, Basit
Project Sponsor(s)
Description The transaction will support mortgage and home renovation financing for households with lower incomes. The proposed ADB assistance comprises senior loan of up to $25 million or its lari equivalent to Credo with a tenor of up to 5 years.
Objectives and Scope Credo will focus on funding home renovation and construction in rural areas and the periphery of the capital targeting low-income clients.
Status of Development Objectives XARR was completed in 2022 and the project was rated successful.
Status of Operation/Construction Operation loan fully disbursed and expected to be repaid in June 2024.
Linkage to Country/Regional Strategy

The transaction supports the following key operational priorities of ADB's Strategy 2030: (i) addressing remaining poverty and reducing inequalities; (ii) promoting rural development; and (iii) improving progress in gender equality. The transaction is consistent with government efforts to promote the well-being of its citizens and ADBs country partnership strategy, 2014 - 2018 for Georgia.

Consistency with sector strategy and relevant ADB operations. ADB plays a tangible role in deepening the finance sector in Georgia. Since 2007, ADB provided nonsovereign loans amounting to $255 million and TA to banks. As well as through its Trade Finance Program. ADB's nonsovereign efforts align with a sovereign program approved in 2016 and a new program anticipated for 2019 to develop the capital markets, including the issuance of lari bonds and covered bond legislation, among other banking policy reforms.

Safeguard Categories
Environment FI-C
Involuntary Resettlement FI-C
Indigenous Peoples FI-C
Summary of Environmental and Social Aspects
Environmental Aspects Credo's housing loans funded under the transactions have minimal or no adverse environmental impacts.
Involuntary Resettlement Credo's housing loans funded under the ADB loan are unlikely to entail impacts on involuntary resettlement.
Indigenous Peoples Credo's housing loans funded under the ADB loan are unlikely to entail impacts on indigenous peoples.
Stakeholder Communication, Participation, and Consultation Potential mortgage finance borrowers participated in Credo's extensive market research activity. Credo has extensive national networks of branches and village councilors through which to engage and empower beneficiaries. Participation plans will not be prepared as Credo maintains strong public profiles through its branch presence and marketing, which allow it to participate actively with civil society.
Timetable for assistance design, processing and implementation
Concept Clearance 31 Jul 2018
Credit Committee Meeting 29 Oct 2018
Approval 05 Dec 2018
Last PDS Update 06 Oct 2023

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Title Document Type Document Date
Low-Income Housing Finance: Extended Annual Review Report Extended Annual Review Reports Nov 2022
Low-Income Housing Finance: Initial Poverty and Social Analysis Initial Poverty and Social Analysis Jan 2019
Low-Income Housing Finance and Affordable Mortgage Finance: Report and Recommendation of the President Reports and Recommendations of the President Nov 2018

Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.


Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

None currently available.


The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.

  • 21 Sep 2023 | Project Result / Case Study

    In Georgia, ADB Helped 13,000 Women Gain Access to Affordable Housing

    ADB provided a loan of $22.9 million in 2018 to support affordable housing finance in Georgia. The ADB loan has helped 13,320 women heading rural households with home renovation requirements and empowered them to lead their families financially.