ADB invests $20 mln in Georgian Railway green bonds to modernise rail network
The investment forms part of a $500 million issuance by Georgian Railway of 7-year green bonds, the first green bond issuance by a state-owned entity and a transport company from Georgia and the South Caucasus, that will be listed on the London Stock Exchange. Photo: Nino Alavidze/Agenda.ge.
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The Asian Development Bank (ADB) has invested $20 million in green bonds issued by Georgian Railway with the proceeds to be used primarily to roll over maturing Eurobonds that it had issued to improve existing railway lines as a part of an ongoing modernisation project, announces the ADB.
The investment forms part of a $500 million issuance by Georgian Railway of 7-year green bonds, the first green bond issuance by a state-owned entity and a transport company from Georgia and the South Caucasus, that will be listed on the London Stock Exchange.
The issuance of these green bonds will enable Georgian Railway to modernise its rail network, which is vital to the country’s economy, as well as to the region, to ensure faster and safer rail transport", said ADB Private Sector Operations Department Director of Infrastructure Finance for South Asia, Central Asia, and West Asia Shantanu Chakraborty.
Georgian Railway’s Chief Executive Officer David Peradze said that Georgian Railway had issued the first green bonds by a Georgian transport entity.
The transaction received considerable interest from investors, helping Georgian Railway to access the capital market even during the current unprecedented times", Peradze said.
Georgian Railway is wholly owned by the Partnership Fund, Georgia’s state-owned investment fund. It provides freight services, transshipping a variety of cargo principally from the Caspian Sea and Central Asia in the east to the Black Sea in the west. It also provides domestic and international passenger services.
The European Union is launching a new twinning project in order to help the Georgian railway sector to adapt to EU standards and regulations and to strengthen the railway regulatory environment of Georgia.
The annual meeting of the Asian Development Bank (ADB) board of governors will be held in Georgia in 2024, announces Georgian Finance Minister Lasha Khutsishvili. As chairman of the board of governors of the ADB, Khutsishvili has opened the sessions as part of the 54th ADB annual meeting which was held virtually on 3-5 May 2021.
The Asian Development Bank (ADB) has approved a $8.3 million loan for construction of Olympic swimming pool in Georgia’s western city of Kutaisi.
The Ministry of Finance of Georgia has completed the placement of $500 million Eurobonds on the London Stock Exchange with a maturity date of five years and a coupon rate of 2.75%. Georgian Finance Minister Lasha Khutsishvili says the state budget of Georgia will save about 350 million GEL thanks to the low coupon rate.
The European Union has donated 20 pieces of passport readers to further enable the Georgian Ministry of Interior Affairs to combat irregular migration and enhance border security. The devices with a total value of € 22,000 (90,000 GEL) will contribute to training of border control officers.
Over 3 billion GEL (about $0.95 bln/€0.80 bln) will be invested in transport infrastructure in the next 10 years, Georgian Economy Minister Natia Turnava has announced while presenting Georgia’s new 10-year economic development strategy earlier today.
The European Union (EU) will allocate €3.9 billion to help Georgia improve transport and logistics connectivity, announces Georgian Prime Minister Irakli Garibashvili after the meeting with European Commissioner for Neighbourhood and Enlargement Oliver Varhelyi today. The €3.9 billion aid package consists of a €1.17 billion grant and the rest is a loan.
The Asian Development Bank (ADB) has approved a €101 million loan to build and upgrade infrastructure and enhance services in urban centres to boost regional development and economic opportunities in Georgia.
In a bid to promote climate finance and capital market development in Georgia, the International Finance Corporation, the European Bank for Reconstruction and Development and the Asian Development Bank have invested in the country’s first green bond.