Small and medium-sized enterprises (SMEs) play an important role in Georgia’s economy.
SMEs provide more than 67% of employment and about 62% of gross value added. Although
the environmental footprint of individual SMEs may be low, their aggregate impact
in many respects exceeds that of large businesses.
Commercial banks have an important role to play in providing access to green finance,
particularly for SMEs. This report reviews the experience with green lending in the
SME sector in Georgia. The analysis identifies the main challenges with lending to
SMEs for green projects and discusses possible solutions. The report, in particular,
looks at the role of the government and the policy instruments it can use to stimulate
higher demand for green lending in the SME sector.
Published on December 19, 2019Also available in: Georgian