The European Bank for Reconstruction and Development (EBRD) is supporting Georgia’s leading telecoms company MagtiCom with a $100 million loan to improve and expand its broadband penetration in the regions of Georgia.
The EBRD financing will enable MagtiCom to acquire the fixed-line broadband internet network platform from the Caucasus Online in order to further expand into regions outside of Tbilisi.
MagtiCom, that is renowned for its drive for technological development, will be able to offer better and higher-speed internet services to its customers across the countries. The expansion of higher-quality internet connectivity will also increase competition in the telecommunications market of Georgia by driving other operators to follow the quality of network and services.
“This project is yet another example of EBRD’s efforts to support economic inclusion in the country. Georgia is a growing economy where the rural areas need a greater connectivity,” saidBrunoBalvanera, EBRD Director for Caucasus, Moldova & Belarus.
“Investing in the knowledge economy is part of the EBRD’s efforts to foster innovation in the country. Thisinvestment will support the development of higher quality of mobile network, internet as well as TV platform inthe more remote regions of Georgia. This in turn will help to boost the local economies and the country’s telecom sector as a whole. We are glad to work with such a strong partner as MagtiCom who has extensive expertise in the telecoms segment and high corporate governance standards.
MagtiCom constantly strives to innovate and to offer the latest technological solutions to its customers.
Since launching in 1997, MagtiCom has been rigorously innovative by introducing all stages of the mobile evolution by offering 2G, 3G, 4G and 4.5G networks; along with the fixed telephony and satellite television.
The financial support of the EBRD will assist MagtiCom to accomplish its goals- that is to provide to its customers easier solutions,high quality network access, and full communications ecosystem; especially in the rural parts of the country, said the representative from MagtiCom
The EBRD is a leading institutional investor in Georgia. Since the start of its operations in the country, the Bank has invested over €2.73 billion in 195 projects in the financial, corporate, infrastructure and energy sectors, with 91 per cent of these investments in the private sector.
The EBRD’s strategic plan for the countries where it invests, including Georgia, for the period 2016-18 has three priorities: strengthening economic resilience, addressing global challenges and supporting regional integration.