JSC TBC Bank - Nasira Portfolio
Status: Approved investmentWhy disclosure?
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Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
TBC Bank (or TBC) is the leading financial group in Georgia with a full suite of financial products and services across all client segments, with market shares of 39.5% in total deposits and 39.1% in total loans as of March 2024. As one of the leading financial institutions in the region, TBC provides nation-wide retail, corporate and investment banking (CIB), and micro, small, and medium-sized enterprises (MSME) banking services. TBC Bank is owned by TBC Bank Group PLC, a UK-incorporated public holding company listed on the premium segment of the London Stock Exchange and a member of the FTSE 250 index. With a multi-billion loan portfolio, TBC Bank employs 10,000 people.
What is our funding objective?
The Nasira guarantee aims to further scale up TBC’s initiatives and is expected to mobilize USD 30 million in financing to Georgian MSMEs. The focus will be on underbanked segments such as young entrepreneurs, start-ups, woman owned-led businesses and rural based agribusiness enterprises, who face the most challenges in accessing funding.
Why do we fund this investment?
The partnership through the Nasira portfolio guarantee reflects the shared commitment of TBC and FMO to strengthen Georgia’s inclusive economic growth. TBC Bank is the largest MSME-lender in Georgia and has already been actively bringing new initiatives and innovative financing solutions to the market to support MSMEs.
What is the Environmental and Social categorization rationale?
The bank has been categorised as FI-Category A in accordance with FMO’s Sustainability Policy. The bank’s activities are deemed to have potential, significant and adverse environmental and social risks and/or impacts. The environmental and social (E&S) risks of the bank are managed through an existing Environmental and Social Risk Management System (ESMS) operated by dedicated E&S staff in-house. To further strengthen the ESMS and E&S capacity of the bank, an E&S Action Plan has been agreed upon between TBC Bank and FMO. As part of the transaction, TBC Bank is required to apply FMO's Exclusion List, Georgian E&S laws and regulations and the IFC Performance Standards Framework for applicable transactions.
More investments
| Date | Total FMO financing |
|---|---|
| 7/8/2024 | GEL 77.28 MLN |
- Region
- Europe & Central Asia
- Country
- Georgia
- Sector
- Financial Institutions
- Publication date
- 10/14/2024
- Effective date
- 7/8/2024
- Total FMO financing
- GEL 2.52 MLN
- Funding
- MASSIF
-
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk
Environmental & Social Category
(A, B+, B or C) - A