• ABOUT US
    • History
    • Our Team
    • Advertising
    • Subscription
  • CONTACT US
Georgia Today
No Result
View All Result
  • News
  • Politics
  • Business & Economy
  • Social & Society
  • Sports
  • Culture
  • News
  • Politics
  • Business & Economy
  • Social & Society
  • Sports
  • Culture
No Result
View All Result
Georgia Today
No Result
View All Result

IFC, ADB Invest in Georgia’s First Green Bond to Boost Climate Finance

by Georgia Today
October 13, 2022
in Business & Economy, Editor's Pick, Newspaper
Reading Time: 3 mins read
This initiative will support the further development of Georgia’s local capital market through its first domestic green bond and the largest in the country. Photo: Qartli Wind Power Plant, GRPO

This initiative will support the further development of Georgia’s local capital market through its first domestic green bond and the largest in the country. Photo: Qartli Wind Power Plant, GRPO

Tbilisi, Georgia, October 12, 2022—To promote climate finance and capital market development in Georgia, IFC has stepped in as an anchor investor in the country’s first green bond with a subscription of $20 million in the $80 million issuance. This is the largest domestic corporate bond placement in Georgia to date. Further, the Asian Development Bank (ADB) invested $4 million in the green bond.

The bond issuer is Georgian Renewable Power Operations (GRPO), an affiliate of Georgia Capital, a leading investment management company in the country. The landmark transaction and the investment is expected to help mitigate climate change by avoiding around 170,000 tons of CO2 emissions annually, equivalent to greenhouse gases from over 33,000 vehicles.

The aim is to boost private sector-led renewable energy generation and energy independence in a country where over 30% of demand is met by imports and gas-fired thermal plants, and where electricity consumption is increasing.

With the war in Ukraine disrupting financial markets and access to finance, local capital markets can play a key role in mobilizing investors and providing alternative financing sources. While Georgia’s corporate bond market is still emerging, the project is expected to catalyze further issuances of green bonds and other sustainable finance instruments. That will spur capital market development in the country, critical amid the volatility and uncertainty caused by the war, and its impact on energy security.

Zurab Gordeziani, Chief Executive Officer of GRPO, said: “The transaction will contribute to the development of the Georgian capital market through being the first green secured bond issuance on the Georgian capital market and the largest corporate transaction. The issuance was met with considerable interest from investors, including international financial institutions. GRPO expresses its gratitude to IFC for acting as an anchor investor in this transaction.”

IFC and ADB’s investments will also help set a precedent, encouraging alignment with good governance, environmental and social standards to develop more renewable energy projects in Georgia.

“With the first green bonds issuance in Georgia, IFC’s timely funding will help boost renewable energy development in the country. Given that Georgia’s corporate bond market is still nascent, we are confident IFC’s support will help deepen the nation’s debt capital market, creating jobs, improving energy security, and driving sustainable economic growth,” said Ivana Fernandes Duarte, IFC’s Regional Manager for the South Caucasus.

The project complements ongoing World Bank efforts to support Georgia’s capital and fixed income markets development, as well as the country’s role as a regional power exchange hub.
ADB will administer a $4 million subscription to the bond through Leading Asia’s Private Infrastructure Fund (LEAP).

“ADB’s assistance will support the further development of Georgia’s local capital market through the first domestic green note and largest bond to be listed in the country,” said ADB Private Sector Operations Department Senior Investment Specialist David Urbaneja-Furelos. “This investment builds on our track record as an anchor investor in Georgia’s past green bonds and shows how our involvement in these and other debt instruments can help our members to meet their climate goals.”

“I am delighted to announce that GRPO successfully issued an $80 million green bond. The transaction met with considerable interest from investors, being able to access capital even during the current unprecedented times. We are thankful to ADB for playing a key role as one of the strategic investors in the note,” said Georgia Capital Chairman and Chief Executive Officer Irakli Gilauri.

About Georgian Renewable Power Operations
Georgian Renewable Power Operations (GRPO), which is a part of the Georgian Renewable Power Holding (GRPH), is one of the leading renewable energy platforms in Georgia. The company owns and operates 71 MW installed capacity of commissioned renewable energy assets, including 4 hydro power plants and the only wind farm in Georgia. GRPO’s ultimate sole owner is Georgia Capital PLC, the largest investment management company in Georgia, listed on the premium segment of the London Stock Exchange. For more information, visit: www.grpc.ge.

By Team GT

Tags: ADBGeorgian Renewable Power OperationsGreen bondGRPOIFCInvestors
ShareShareTweet

Related Posts

Prof. Michael Clarke on Putin’s Endgame: Break NATO, Dominate Europe, Cement His Legacy
Editor's Pick

Prof. Michael Clarke on Putin’s Endgame: Break NATO, Dominate Europe, Cement His Legacy

June 22, 2025
TI Georgia accuses ACB head of hiding Ivanishvili’s asset disclosure
Business & Economy

TI Georgia accuses ACB head of hiding Ivanishvili’s asset disclosure

June 20, 2025
PMCG: Number of high earners doubles in Georgia, gender gaps remain
Business & Economy

PMCG: Number of high earners doubles in Georgia, gender gaps remain

June 20, 2025

Recommended

Putin, Xi, and allied leaders mark Russia’s Victory Day at Moscow parade

Putin, Xi, and allied leaders mark Russia’s Victory Day at Moscow parade

1 month ago
Experience Seamless Connectivity with Silknet eSIM in Georgia

Experience Seamless Connectivity with Silknet eSIM in Georgia

12 months ago
Champion Karateka Luka Khvedeliani on the Benefits of Georgian Karate for Georgia’s Youth

Georgia to Celebrate First Europe Day with European Union Candidate Status

1 year ago
Georgian Foreign Minister Holds Farewell Meeting with French Ambassador to Georgia

Georgian Foreign Minister Holds Farewell Meeting with French Ambassador to Georgia

3 years ago
Natia Mezvrishvili on Dealing with 2 Political Giants

Natia Mezvrishvili on Dealing with 2 Political Giants

3 years ago
Giorgi Gakharia: We were Told We Were Capable of Nothing – It’s All a Lie and Ukraine is a Great Example of This

Giorgi Gakharia: We were Told We Were Capable of Nothing – It’s All a Lie and Ukraine is a Great Example of This

3 years ago
GT Interview with Giorgi Badridze

GT Interview with Giorgi Badridze

3 years ago
Russo-Ukrainian War and Georgia – Analysis from security expert Kakha Kemoklidze

Russo-Ukrainian War and Georgia – Analysis from security expert Kakha Kemoklidze

3 years ago

Navigation

  • News
  • Politics
  • Business & Economy
  • Social & Society
  • Sports
  • Culture
  • International
  • Where.ge
  • Newspaper
  • Magazine
  • GEO
  • OP-ED
  • About Us
    • History
    • Our Team
    • Advertising
    • Subscription
  • Contact

Highlights

Ukraine Latest: Massive Russian Attack Kills 28, Injures 134 in Kyiv

Georgian NGOs Decry ‘Russian-Style’ Data Demands from Gov’t

EU Condemns Georgia’s Media Crackdown, Demands Release of Journalist Mzia Amaglobeli

MEP Kols: I strongly demanded strict sanctions against the regime suffocating democracy in Georgia

EU Parliament urges immediate release of Amaglobeli, Devdze, Japaridze, Melia, Gvaramia & Saakashvili

Economist Khishtovani: Business climate in Georgia continues to deteriorate

Trending

Experience Seamless Connectivity with Silknet eSIM in Georgia
Business & Economy

Experience Seamless Connectivity with Silknet eSIM in Georgia

by Georgia Today
June 26, 2024

Why Silknet's eSIM could be your top choice in Georgia  Since its introduction, eSIM technology has become...

Photo by the author

Virtuosity and Versatility: Marc-André Hamelin Opens Tbilisi Piano Festival 2024

May 30, 2024
  • Where.ge
  • Newspaper
  • GEO
  • Magazine
  • Old Website

2000-2024 © Georgia Today

No Result
View All Result
  • News
  • Politics
  • Business & Economy
  • Social & Society
  • Sports
  • Culture
  • International
  • Where.ge
  • Newspaper
  • Magazine
  • GEO
  • OP-ED
  • About Us
    • History
    • Our Team
    • Advertising
    • Subscription
  • Contact

2000-2024 © Georgia Today