Economy
Posted: 4 days ago

German Government to Allocate up to 200 Million Euros for Financing Priority Areas for Georgia

The Federal Republic of Germany continues to support investment projects in Georgia.

The Government of Georgia and the Federal Republic of Germany have signed an agreement, which provides for the allocation of a soft loan of about 170 million euros and a grant of 28,5 million euros to Georgia.

The document was formed by Ivane Machavariani, Minister of Finances and German Ambassador to Georgia Hubert Knirsch.

The signing of this agreement was preceded by the governmental negotiations on development cooperation between Georgia and the Federal Republic of Germany on November 6-7, 2019.

Financial resources will be used to fund the following projects:

  • "Sustainable Urban Mobility in Georgia" - a loan of 100 million euros and a grant of 2,0 million euros for the necessary measures for the implementation and supervision of the project;
  • "Open Program Energy Efficiency in Georgia" - a loan of 40 million euros and a grant of 3,2 million euros for the necessary measures for the implementation and supervision of the project;
  • "Communal Infrastructure for Environment and Tourism" - a loan of 30 million euros, and 3,0 million euros for the necessary measures for the implementation and supervision of the project;
  • "Biodiversity and Sustainable Local Development - Georgia" - 18.5 million Euro grant;
  • "Energy Efficiency Measures and Approximation to EU Energy Efficiency Standards in Buildings - Phase II" - € 1.8 million grant.

The measures to be implemented in this matter will be defined later and relevant loan and grant agreements will be formed in accordance with the Laws of Georgia on Grants and Public Debt.