Georgia : Credo COVID-19 Support for Agriculture Borrowers Project

Nonsovereign Project | 54270-001

The transaction involves a loan of up to either (i) $4,000,000, if the loan is denominated in $, or (ii) GEL 12,300,000, if the loan is denominated in GEL, to Credo Bank JSC (Credo) for coronavirus disease (COVID-19) Support for Agriculture Borrowers project in Georgia.

Project Details

  • Project Officer
    Arshad, Basit
    Private Sector Operations Department
    Request for information
  • Country/Economy
    Georgia
  • Sector
    • Finance
Project Name Credo COVID-19 Support for Agriculture Borrowers Project
Project Number 54270-001
Borrower / Company Credo Bank JSC
Country / Economy Georgia
Location Nation-wide
Type or Modality of Assistance
3973 Loan Ordinary capital resources USD 4.00 million Committed
Operational Priorities OP1: Addressing remaining poverty and reducing inequalities
OP2: Accelerating progress in gender equality
OP5: Promoting rural development and food security
Sector / Subsector

Finance / Small and medium enterprise finance and leasing

Gender Effective gender mainstreaming
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 involves a loan of up to either (i) $4,000,000, if the loan is denominated in $, or (ii) GEL 12,300,000, if the loan is denominated in GEL, to Credo Bank JSC (Credo) for coronavirus disease (COVID-19) Support for Agriculture Borrowers project in Georgia.
Objectives and Scope

The ADB assistance to Credo comprises a senior loan of up to either (i) $4,000,000 if the loan is denominated in United States dollars, or (ii) GEL12,300,000 if the loan is denominated in lari, with a tenor of up to 3 years. Credo will use the proceeds of the ADB loan to fund MSME borrowers in Georgia's agriculture sector.

Status of Development Objectives In progress.
Status of Operation/Construction Operation loan fully disbursed and expected to be fully repaid in March 2024.
Linkage to Country/Regional Strategy

The transactions support the following key operational priorities of ADB's Strategy 2030: (i) addressing remaining poverty and reducing inequalities, (ii) promoting rural development and food security, and (iii) accelerating progress in gender equality through the gender action plan.

ADB plays a tangible role in deepening the finance sector in Georgia. Since 2007, it has provided nonsovereign loans totaling $375 million and TA to banks (Bank of Georgia, Credo, Finca Bank, and TBC Bank) and the NBG. Bank of Georgia, Basis Bank, and TBC Bank are also beneficiaries of ADB's Trade Finance Program. The loan to Credo is part of ADB's wider COVID-19 response and is expected to strengthen Credo's partnership with ADB.

ADB's nonsovereign efforts are aligned with its country partnership strategy, 2019-2023 and country operations business plan, 2020-2022 for Georgia. ADB's nonsovereign operations will continuously support the creation of an enabling environment to catalyze access to financial services for MSMEs, including women entrepreneurs.22 The loan to Credo complements ADB's sovereign operations support package to Georgia, which includes (i) a Countercyclical Support Facility Loan of $100 million, approved on 28 May 2020;23 (ii) a Social Protection and Fiscal Management programmatic policy-based loan of $350 million, expected to be approved later in 2020; and (iii) other programs to support reforms in energy, urban water, and education.

Safeguard Categories
Environment FI
Involuntary Resettlement FI-C
Indigenous Peoples FI-C
Summary of Environmental and Social Aspects
Environmental Aspects ADB has categorized the investment in compliance with ADB's Safeguard Policy Statement (2009). This transaction is classified category FI for impacts on the environment.
Involuntary Resettlement

The project has no impact on involuntary resettlement.

Indigenous Peoples The project has no impact on indigenous peoples.
Stakeholder Communication, Participation, and Consultation Monitoring of the project will be carried out by ADB. Credo will provide ADB with required reporting at agreed reporting periods which include but are not limited to (i) financial statements on a quarterly basis; (ii) audited financial statements on an annual basis; (iii) compliance certificates for financial covenants; (iv) annual reporting on selected development indicators agreed between ADB and Credo; and (v) annual implementation status of its environmental and social management system (ESMS) reports.
Timetable for assistance design, processing and implementation
Concept Clearance 15 Jul 2020
Credit Committee Meeting 24 Sep 2020
Approval 15 Oct 2020
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
Credo COVID-19 Support for Agriculture Borrowers Project: Extended Annual Review Report Extended Annual Review Reports Dec 2023
Credo COVID-19 Support for Agriculture Borrowers Project: FAST Report Faster Approach to Small Nonsovereign Transactions Oct 2020
COVID-19 Support for Agriculture Borrowers Project: Initial Poverty and Social Analysis Initial Poverty and Social Analysis Jul 2020

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.

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