EBRD lends €15 million to ProCredit Bank Georgia to support youth-led businesses

• EBRD unlocks €15 million on-lent to youth-led businesses
• First dedicated youth financing in Georgia
• Financing combined with advisory support to strengthen young entrepreneurs

The European Bank for Reconstruction and Development (EBRD) is strengthening its support for young entrepreneurs in Georgia with a new loan of up to €15 million to ProCredit Bank Georgia, a leading lender to micro, small and medium-sized enterprises (MSMEs).

The financing is provided under the EBRD’s Youth in Business (YiB) Caucasus Programme and represents the first transaction under this programme in Georgia. It will increase access to finance for private youth-led MSMEs, helping young business owners to start, grow and formalise their enterprises.

Through this partnership, ProCredit Bank Georgia will expand lending to private businesses and entrepreneurs under the age of 35, including first-time borrowers and businesses located outside the capital, Tbilisi. Young entrepreneurs often face significant barriers in accessing finance due to limited credit histories and collateral; the facility is designed to address these gaps and support more inclusive economic growth.

ProCredit Bank has been operating in Georgia since 1999, playing an important role in the development of the SME sector through tailored financing and advisory services.

“This is a first of its kind product for the Georgian market. By partnering with ProCredit Bank Georgia, the EBRD can effectively reach young entrepreneurs with tailored financial solutions at a critical stage of their development. ProCredit’s long standing commitment to SME financing, strong local presence and prudent risk management make it a trusted partner to channel these funds and expand access to finance for youth led businesses across Georgia,” said Alkis Vryenios Drakinos, EBRD Regional Director for the Caucasus.

In addition to financing, the project is supported by EBRD advisory services, which will help strengthen the bank’s capacity to serve youth-led businesses and provide non-financial support to entrepreneurs. These services will focus on improving business skills, competitiveness, digitalisation and long-term resilience.

The initiative is expected to stimulate job creation, encourage innovation and contribute to the development of a dedicated youth banking market in Georgia, demonstrating that youth-led MSMEs represent a viable and bankable segment when supported with tailored financial and non-financial solutions.

Since the start of its operations in Georgia in 1996, the EBRD has invested more than €5.7 billion in the country across 318 projects, supporting the private sector, financial institutions and sustainable economic development.