EIB Lends EUR 100 mln to Georgia for Wastewater Infrastructure in Kutaisi
The European Investment Bank (EIB) is lending Georgia EUR 100 million to finance wastewater collection and treatment infrastructure in country’s second largest city of Kutaisi.
The loan will be used to fund rehabilitation and extension of the municipal sewerage system and the construction of a mechanical biological wastewater treatment plant in Kutaisi.
According to EIB the total project cost, which addresses water supply and wastewater investments in several municipalities in western Georgia, is EUR 280 million, co-financed with EUR 172 million by the Asian Development Bank (ADB); the project also includes grants from the Neighbourhood Investment Facility (EUR 4.75 million) and the Eastern Partnership Technical Assistance Trust Fund (EUR 3.25 million).
ADB approved USD 108 million loan for Georgia to finance improvement of water supply system in Zugdidi and sewerage system in Poti, towns in Samegrelo region in western Georgia, in December.
“Water and sanitary infrastructure is high on the EIB’s agenda in Georgia, in line with the government’s priorities. We have already financed a number of projects in this sector across the country, and this is another loan with a major environmental and health dimension,” said EIB Vice-President László Baranyay, who is in the Georgian capital to participate in the first Tbilisi Silk Road Forum on October 115-16.
On October 14 EIB announced about lending EUR 15 million to ProCredit Bank Georgia to finance projects by small and medium enterprises.
EIB, which opened its South Caucasus regional office in Tbilisi less than six months ago, has signed loans for EUR 548 million in Georgia since it started its operations in the country in 2010.
