Release date: 26 August 2016
Promoter – Financial Intermediary
PUBLIC ENTITY(IES)Location
Description
A framework loan to support the investments targeting the upgrade of infrastructure in various municipalities across Georgia.
Objectives
The proposed project is a framework loan to finance Local Self-Governments (LSG) investment needs in line with the Government's decentralization agenda. The project is a repeat-operation of the 2015 0172 Georgia urban reconstruction and development FL, approved in July 2015. The new operation will however not include an emergency component. The project´s development objective is to improve the efficiency and reliability of targeted municipal services and infrastructure. This will be achieved by investing in high-priority local infrastructure improvements, and by supporting LSGs in enhancing their capacity and systems for service delivery. The final beneficiaries of the schemes are the countrywide residents of towns and villages, who currently experience sub-standard quality of municipal services and other public sector services. The targeted sectors will primarily be municipal roads, public buildings, water, solid waste and possibly tourism infrastructure. The schemes are expected to be located over the entire country.
Comments
This operation is covered by the EU Guarantee for EIB loans outside the EU.
Sector(s)
Proposed EIB finance (Approximate amount)
EUR 100 million
Total cost (Approximate amount)
EUR 200 million
Environmental aspects
The project comprises mainly small and medium sized municipal infrastructure schemes in built up areas. Therefore, the potential negative environmental impacts are likely to be minor. However, if situated in the EU, some of the schemes could potentially fall under Annex I or Annex II of EIA Directive 2011/92/EU. Appropriate screening procedures, also in relation to natural habitats and protected species, as well as land acquisition/resettlement will be put in place. It is generally considered that the social impacts will mainly be positive, with improved access to municipal services (municipal roads, public buildings, water, solid waste and possibly tourism infrastructure) as well as the generation of additional employment. The project's compliance with applicable national environmental legislation as well as EU environmental and social principles, standards and practices will be verified during appraisal.
Procurement
The Bank will require the Promoter to ensure that any procurement procedures are carried out in accordance with the Bank's Guide to Procurement.
Status
Signed - 13/12/2016
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).