Georgia

Germany is the most important donor in the Georgian energy sector and has played a key role over the last 20 years. These efforts include initial emergency supply measures, investments in efficient electricity generation, transmission and distribution as well as the promotion of renewable energy. 90 % of electricity is generated from environmentally friendly hydropower. Thanks to the activities of KfW Development Bank, Georgia was able to stabilize its power supply and is even able to export electricity today.

Project information - Energy Alliance Georgia

After the collapse of the Soviet Union, there were no banks in Georgia that specialized in loans for small enterprises. Consequently, in 1999 KfW founded the first microfinance bank in the country (today ProCredit Bank (PCB)). At the beginning, PCB mainly targeted micro, small and medium-sized enterprises (MSMEs) and played an important role in their development — especially in rural areas. Today, PCB has 58 branches and is the third-largest bank in Georgia. The success of ProCredit Bank caused that most Georgia banks expanded their business to include the customer group of MSMEs.

Water supply in Georgia, with its abundant water resources, is paradoxically a major problem. The reason is that the largely ailing infrastructure partially dates back to before World War II. Sewage disposal also barely meets minimum standards: the sewage is generally not purified. KfW Development Bank's work therefore plays an important role in supplying people in Georgia with clean drinking water and in sewage treatment and waste removal. The main focus of cooperation is repairing and expanding the entire drinking water and sewage systems in Batumi, which is the third-largest city in the country with 130,000 inhabitants.

BMZ via KfW Development Bank invests in national parks and is the largest donor in environmental and nature conservation in the southern Caucasus. With its "3-pillar concept", KfW helps Georgia, Armenia and Azerbaijan to preserve their unique natural environment and species diversity for future generations. The concept aims to harmonize environmental protection in the three countries, to identify new protected areas and to finance operation of new and already existing national parks. In 1999, for example, the "Borjomi-Karagauli" National Park was established and it has received funding ever since.