Germany allocates €156m to Georgia

Germany is offering €156 million (415 million GEL) to Georgia.

This deal of financial support was solidified yesterday after Georgia’s Finance Ministry signed an agreement with the Federal Ministry for Economic Cooperation and Development.

It was noted KfW Development Bank will grant €140 million that will go towards bilateral financial cooperation while the remaining €16.3 million will be granted by the German Federal Enterprise for International Cooperation (GIZ) with funds allocated towards supporting technical cooperation.

The €140 million KfW funds will finance several directions in Georgia.

• €5 million will finance the Financial Sector Support Program;
• €100 million will be spent on building a high voltage power line; and
• €34 million will be allocated to the Samegrelo and Kakheti regions for running the Solid Waste Management Program.

For the past two years the Solid Waste Management Pogram was successfully carried out in Georgia’s second largest city Kutaisi with the support of KfW.

KfW was responsible for implementing bilateral financial cooperation between Georgia and Germany.

Meanwhile the GIZ aid will support technical cooperation between Georgia and Germany.

GIZ will offer €16.3 million aid to continuing its ongoing regional projects in the field of sustainable economy development, energy and environmental protection. At the same time, the money will be spent on developing democracy, local governance and legal statehood.