Georgia and the International Bank for Reconstruction and Development signed an agreement providing USD 35 million in financial resources for the “Banking Resolution Readiness Project in Georgia”.

The agreement was signed by Minister of Finance, Lasha Khutsishvili and World Bank Regional Director for the South Caucasus Roland Price.

The signing ceremony was attended by Natia Turnava, Governor of the National Bank of Georgia [NBG], Deputy Finance Minister Ekaterine Guntsadze, First Vice President of the NBG Ekaterine Mikabadze, as well as representatives of the Ministry of Finance, the NBG, and the World Bank.

The project approved by the World Bank will establish a pre-arranged USD 35 million credit line for the Resolution Fund.

With the World Bank’s involvement, the activities implemented under the project, as well as future planned measures, will contribute to further improving the National Bank’s resolution framework, increasing its effectiveness, and bringing it closer to the best international practices. The credit line will serve as an additional financial protection mechanism for the Resolution Fund while it is being replenished to its target level and will support the timely and effective implementation of resolution processes.