Terabank Signs GEL 80 million Loan Agreement with FMO
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Terabank has signed a GEL 80,000,000 loan agreement with FMO, the Dutch entrepreneurial development bank (FMO). This agreement marks an important step toward diversifying the bank's funding sources and strengthening its support for the business sector. With this Georgian Lari-loan, FMO supports the natural growth of Terabank's overall loan portfolio in local currency, thereby directly contributing to the de-dollarization of Georgia's economy.
The raised funds will be allocated as follows:
- 75% will finance micro, small, and medium-sized enterprises, including projects in the agro, rural, women-led, and youth segments.
- 25% will support environmental (green) projects.
Ruhi Cosgun, Manager Financial Institutions at FMO, said, "This agreement reflects FMO's commitment to expanding access to finance for underserved entrepreneurs in Georgia. By sharing risk with Terabank and supporting localโcurrency lending, we help strengthen the bank's ability to grow its SME portfolio and reach communities that are often overlooked, while also contributing to the deโdollarization of the economy. We value our partnership with Terabank in supporting inclusive and sustainable business development."
This partnership is significant for Terabank as it enhances access to financing for businesses, supports regional development, and promotes sustainable, green initiatives.
About FMO
FMO is the Dutch entrepreneurial development bank. As a leading impact investor, FMO supports sustainable private sector growth in developing countries and emerging markets by investing in ambitious projects and entrepreneurs. FMO believes that a strong private sector leads to economic and social development and hasโฏa 50+ yearโฏproven track-recordโฏinโฏempowering entrepreneurs to make local economies more inclusive, productive, resilient, and sustainable. FMO focuses on three sectors that have high development impact: Agribusiness, Food & Water, Energy, and Financial Institutions. With a total committed portfolio of EUR 13 billion spanning over 85 countries, FMO is one of the larger bilateral private sector development banks globally.
