Georgia Utilities
Image credit: Stock

The Asian Development Bank (ADB) has announced $20 million in green bonds to upgrade water and sanitation and to fund the implementation of renewables by water utilities.

The green bonds will be issued by Georgia Global Utilities to fund projects in Georgia’s capital Tbilisi and nearby municipalities.

The green bonds will refinance debt of renewable energy and water operations.

The ADB will also administer a further investment of up to $20 million in the bonds issued by Asia’s Leading Private Infrastructure Fund (LEAP).

Related articles:
Georgia adopts two key energy efficiency laws
IEA and ADB renew cooperation on energy sustainability

The investments form part of a $250 million issue by Georgia Global Utilities to be made over a period of five years.

Director of Infrastructure Finance, South Asia, Central Asia, and West Asia at ADB’s Private Sector Operations Department Shantanu Chakraborty, said: “ADB’s assistance will help ensure that communities in and around Tbilisi are supplied with water 24 hours per day, and that water supply and sanitation systems in those urban centers function properly.

“ADB’s anchor investment will demonstrate to potential investors the compelling investment opportunities in financing water and clean energy initiatives in Georgia’s private sector.”

Georgia Capital Chairman and Chief Executive Officer Irakli Gilauri said: “I am delighted to announce that GGU has issued the first-ever green notes from Georgia. The transaction was met with considerable interest from investors, being able to access capital even during the current unprecedented times. We are thankful to ADB for playing a key role by acting as one of the anchor investors for the notes.”