The EBRD is considering the financing of the rehabilitation of existing Berth 14 within the existing Poti sea port. This Berth will be rehabilitated for use as a container terminal. Funds will be used for dredging, paving and replacement of part of the top end of the quay, together with the purchase of mobile harbour cranes, reach stackers and an empty container handler.

The project is expected to have a significant transition impact. In the first instance, private sector participation will allow funds to be mobilised to develop the new port, which could not be achieved by the public sector alone. The end result will be Georgia’s ability to maximise its potential as a transit country. Second, the private sponsor is providing a new and experienced management team together with training programmes facilitating the transfer and dispersion of skills. Finally, the sponsor has been tasked and is implementing measures to improve corporate governance at the Port.

The borrower is JSC Poti Sea Port Corporation, a private company which owns and operates Poti Sea Port. The Project is supported by Ras Al Khaimah Investment Authority, a public authority incorporated in emirate of Ras Al Khaimah (United Arab Emirates).

EBRD finance:

EBRD will provide a senior loan of up to EUR 8 million for Phase 1 of the port development plan. The remaining project costs will be financed by the client.

Total project cost:

EUR 10.1 million (for Phase 1).