IFC Anchors Landmark $130m Social Bond to Expand Oncology Care in Georgia

The social bond is issued under GHG’s Social Bond Framework, prepared in line with the International Capital Market Association’s (ICMA) Social Bond Principles.

The International Finance Corporation (IFC) is anchoring a 350 million Georgian lari (approx. USD 130 million) social bond issuance by Georgia Healthcare Group (GHG), the country’s largest healthcare services provider. IFC’s participation includes a 40 million Georgian lari subscription, helping to mobilize financing for high-quality oncology care and expanded healthcare access nationwide.

This transaction marks several historic firsts: it is the first healthcare-focused social bond in the Caucasus, the largest corporate social bond issuance in the region, and the largest-ever local-currency domestic corporate bond issuance in Georgia.

A Milestone for Healthcare and Capital Markets

The social bond is issued under GHG’s Social Bond Framework, prepared in line with the International Capital Market Association’s (ICMA) Social Bond Principles. The proceeds will be directed toward projects that expand access to outpatient and preventive healthcare services, particularly for cancer care, which remains one of Georgia’s most pressing public health challenges.

Cancer is among the leading causes of death in Georgia, with many cases diagnosed at late stages. Shifting the healthcare system toward early detection and preventive outpatient services is expected to improve survival rates, reduce the burden on hospitals, and lower the cost of treatment.

The social bond will also contribute to the development of Georgia’s capital markets, providing investors with an opportunity to combine financial returns with measurable social impact. With a five-year maturity and local-currency denomination, the issuance deepens Georgia’s bond market, where currently only about one-third of corporate bonds are issued in lari.

Expanding Access to Preventive and Outpatient Care

The financing will prioritize:

• Expanding outpatient healthcare facilities across Georgia, including underserved rural areas.

• Improving access to preventive screening and early diagnosis for oncology patients.

• Strengthening primary care services to reduce reliance on late-stage, high-cost interventions.

• Supporting job creation in the healthcare sector, boosting local employment and workforce participation.

By expanding preventive services, the initiative is expected to improve long-term health outcomes and strengthen the country’s human capital, a critical factor for economic growth.

Private Sector Role in Healthcare

The private sector already plays a dominant role in Georgia’s health system, owning 86% of hospital beds and controlling most outpatient and diagnostic services. With IFC’s support, GHG will be better positioned to expand its role in delivering accessible, affordable, and high-quality care.

IFC’s Broader Impact in Georgia

This project aligns with the World Bank Group’s broader strategy of strengthening healthcare systems while advancing capital market development in Georgia.

Since 1995, IFC has committed around USD 2.7 billion in long-term financing, including USD 1.2 billion mobilized from partners, across 74 projects in key sectors such as financial services, agribusiness, manufacturing, and infrastructure. Additionally, IFC has supported over USD 433 million in trade finance and delivered numerous advisory services to support private sector competitiveness and sustainable development.

A Model for Social Finance in Emerging Markets

The GHG social bond demonstrates how innovative financing tools can tackle urgent social challenges while strengthening financial systems. By anchoring this issuance, IFC not only expands access to healthcare but also showcases how social bonds can be effectively leveraged in emerging markets.

As Georgia continues its journey toward improved healthcare outcomes and deeper financial integration, this transaction could serve as a model for future issuances across the Caucasus and beyond.