Press Releases
print

IFC Joins Forces with the National Bank of Georgia to Boost Governance and Sustainable Finance


In Tbilisi:
Tamar Barbakadze, IFC

Phone: +995 32 223 43 00/01/02

E-mail:
tbarbakadze@ifc.org

Kakha Barabadze, the National Bank of Georgia

Phone: +995 599243465

E-mail:
kbarabadze@nbg.gov.ge


Tbilisi, September 26, 2018—IFC, a member of the World Bank Group, today signed a cooperation agreement with the National Bank of Georgia to enhance environmental, social, and corporate governance standards in the private sector and help commercial banks and companies improve performance, enhance competitiveness, and attract investment.

IFC will provide advice on developing corporate governance codes for public companies and commercial banks, with special emphasis on the governance of environmental and social issues. The IFC-supported Sustainable Banking Network (SBN) will also work with the National Bank on designing a sustainable finance roadmap, developing a regulatory framework, and providing technical guidance, as well as helping financial institutions develop and issue green and climate finance products such as green bonds.

To kick off the cooperation and share global and regional experiences, IFC, SBN, and the National Bank hosted Tbilisi’s first sustainable finance workshop today, which was attended by over 50 participants from Georgia’s financial sector, the SBN, and central banks from the region.


The National Bank of Georgia aims to enhance the role of the financial system in managing environmental, social, and governance risks and mobilizing capital for green investments in Georgia. The support of IFC and the SBN will be important in helping us develop a sustainable finance framework,” said Koba Gvenetadze, Governor of the National Bank of Georgia.

The National Bank joined the SBN in late 2017
and is an active member of its Green Bond Working Group. Members from 35 countries, representing about $43 trillion in banking assets in emerging markets, are united by the aim to make their national financial systems sustainable. To date, 17 SBN countries have released finance policies and principles that integrate environmental, social, and corporate governance into investment projects and increase capital flows to green projects and assets.  

Jan van Bilsen, IFC Regional Manager for the South Caucasus, said: “Sustainability is critical to business success. Today in Tbilisi, we mark the launch of sustainable finance reforms that can make Georgia’s financial system and companies greener and better governed. This offers many advantages to financial institutions and companies, including reducing lending risks, targeting green investment opportunities, and increasing their appeal for investors.”


IFC has significant experience in the area, having helped more than 50 countries around the world develop corporate governance codes. IFC’s environmental, social, and corporate governance policies are widely adopted as market standards and embedded in operational policies by corporations, investors, financial intermediaries, stock exchanges, regulators, and countries.

Georgia became an IFC member and shareholder in 1995. Since then, IFC has provided around $1.88 billion in long-term financing, of which nearly $980 million was mobilized from partners, in 60 projects in financial services, agribusiness, manufacturing, and infrastructure. In addition, IFC has supported more than $394 million in trade through its trade finance program, and implemented a number of advisory projects focused on developing the private sector.


About IFC

IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work with more than 2,000 businesses worldwide, using our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In fiscal year 2018, we delivered more than $23 billion in long-term financing for developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity. For more information, visit
www.ifc.org

Stay Connected

www.facebook.com/IFCwbg
www.twitter.com/IFC_org
www.youtube.com/IFCvideocasts
www.ifc.org/SocialMediaIndex
www.instagram.com\ifc_org

About SBN
The Sustainable Banking Network (SBN) is a knowledge and capacity-building platform of financial regulators, banking associations, and environmental regulators from emerging markets committed to developing sustainable finance frameworks based on national context and priorities, as well as international good practices. IFC acts as the Secretariat of the Network, playing the role of facilitator and technical adviser to SBN.  For more information on the Sustainable Banking Network, visit
www.ifc.org/sbn.