ECO Loan
Eco loans for businesses are designed to help businesses to improve energy efficiency, increase competitiveness and reduce negative impact on the environment.
Benefits
A ProCredit eco loan for businesses can help your business to:
- improve efficiency and increase the quality of production
- reduce operating costs – lower energy costs mean lower business expenses
- reduce its negative impact on the environment
What can eco loans for businesses be used for?
Production processes – replacing old machines or equipment or purchasing additional machines or equipment
Building envelope – applying thermal insulation to external walls/ceilings/floors and installing double-/triple-glazed windows or doors
Electrical equipment – purchasing high-efficiency electric motors, new lighting systems, appliances rated A+ and above, etc.
Heating or cooling – installing new central heating/cooling systems, boilers, air conditioners, etc.
Waste management – separation of waste, recycling (paper, plastic, glass) prevention of waste, etc.
Renewable energy sources – installing solar water heating systems (flat collectors, vacuum tube collectors), ground heat pumps or biomass boilers (wood, pellet, etc.).
Note: Eco Loans are available by signing a line of credit agreement, supplemental line of credit agreement, short-term loan agreement, supplemental short-term loan agreement, business overdraft agreement, supplemental business overdraft agreement, loan agreement and supplemental loan agreement. You can find agreement templates on the official website of the Bank.
Loans with standard repayment schedule | GEL | USD | EUR |
Loan interest rate | Fixed, indexed (refinancing rate, 6 Month TERM SOFR, EURIBOR) | ||
Nominal interest rate | From 13.5% | From 7.70% | From 7.00% |
Effective interest rate | From 15.29% | From 9.03% | From 8.30% |
Effective interest rate in case of a 3% index increase in USD and EUR / 5% index increase in GEL | From 21.24% | From 12.94% | From 13.07% |
Effective interest rate in case of 15% depreciation of the foreign currency | N/A | From 28.04% | From 28.45% |
Loan disbursement fee | From 0.20% | ||
Cash withdrawal fee | 0.20% | 0.30% | 0.30% |
Real property mortgage registration fee | GEL 158 per property | ||
Real property mortgage cancellation fee | GEL 158 per property | ||
Prepayment fee/refinancing fee on different bank loan | For fixed rate: | ||
No more than 0% of the amount paid to cover the principal balance of the loan if there are 0 to 6 months left before the expiry of the agreement. | |||
No more than 0.5% of the amount paid to cover the principal balance of the loan if there are 6 to 12 months left before the expiry of the agreement. | |||
No more than 1% of the amount paid to cover the principal balance of the loan if there are 12 to 24 months left before the expiry of the agreement. | |||
No more than 2% of the amount paid to cover the principal balance of the loan if there are more than 24 months left before the expiry of the agreement. | |||
For indexed rate: | |||
0% if less than 6 months are left before the loan expiry. | |||
0.5% if more than 6 months are left before the loan expiry. |