Georgia secures €30 mln loan from France for Khashuri water infrastructure project

Georgia has secured a €30 million loan from France to complete the water supply and drainage systems for Khashuri and nearby settlements in the central part of the country.

The loan agreement, which was finalized between the Ministry of Finance of Georgia and the French Development Agency (AFD), is part of the broader efforts to improve the country’s infrastructure.

According to the Ministry of Finance, “the Government of Georgia, in cooperation with international financial institutions, is implementing several investment projects in various infrastructural sectors, including roads, energy, water infrastructure, and irrigation systems.”

The loan agreement, which was formally approved by a government
decree on August 15, will finance the remaining work on the Khashuri water project. The loan is set for a 20-year term, with a five-year grace period.

The Ministry of Finance clarified that the agreement was already in place prior to the issuance of the decree and is now awaiting ratification by the Parliament of Georgia.

The water supply infrastructure project in Khashuri, which began in 2020, has a total cost of €58 million. Of this, €21.4 million worth of work remains to be completed, with funding provided through the loan agreement with AFD.