Issue of Debt

Bank of Georgia
                  

      Bank of Georgia Receives A US$ 123.5 Million Syndicated Loan Facility

JSC Bank of Georgia (LSE: BGEO, GSE: GEB), the leading Georgian universal bank,
announced today that it has completed the placement of its debut US$123.5
million syndicated loan transaction. The deal was oversubscribed, which led to
an increase in the size of the loan by US$23.5 million from the initial target
of US$100 million. The facility has a 12-month tranche (priced at 1.90% over
LIBOR), an 18-month tranche (priced at 2.20% over LIBOR) and a three-year
tranche (priced at 2.75% over LIBOR)

Citi and Asian Development Bank were the arrangers and Citi acted as the
bookrunner for the 12 month and 18 month tranches.

'We are delighted to have successfully placed our debut syndicated loan, the
largest ever raised by a Georgian bank. It is unusual to have the debut
syndicated facility with maturity exceeding 12 months, and the strong response
from the traditionally conservative bank market is particularly noteworthy,
especially in the current credit market conditions. Citi, ADB and our funding
team have done a very good job. We will build on this transaction and come back
to the syndicated loan market every year' commented Lado Gurgenidze, Chairman of
the Supervisory Board.