The Asian Development Bank (ADB) has signed a $50 million loan agreement with JSC Rustavi Azot (Rustavi Azot Indorama) to modernize its fertilizer production facilities in Georgia using energy-efficient technologies. The project aims to enhance energy efficiency in fertilizer production while promoting sustainable agricultural practices, aligning with Georgia’s Vision 2030 and Nationally Determined Contribution targets.
ADB Country Director for Georgia, Lesley Bearman Lahm, emphasized that the project supports the country’s transition to a green and integrated economy by developing decarbonization and energy-efficient technologies. The modernization will focus on the company’s ammonia and high-density ammonium nitrate production facilities, incorporating energy-efficient systems to strengthen fertilizer supply chains, reduce energy consumption, and cut greenhouse gas emissions by 120 kilotons of carbon dioxide equivalent per year. Part of the loan is structured as a green loan, with funds allocated to eligible environmentally friendly initiatives.
Indorama Corporation Vice Chairman Amit Lohia highlighted that the financing will accelerate Rustavi Azot’s modernization and decarbonization efforts, enabling the deployment of energy-efficient technologies that benefit both the industry and the environment while enhancing the company’s competitiveness.
In addition to infrastructure improvements, ADB has mobilized $500,000 in technical assistance to support smallholder farmers in Georgia, particularly women. The initiative aims to promote resilient agricultural practices, sustainable soil management, and efficient fertilizer application to prevent land degradation, restore soil health, and boost productivity.
The project is part of ADB’s broader strategy to invest $40 billion in food systems transformation across Asia and the Pacific from 2022 to 2030, including $11 billion through private sector partnerships. JSC Rustavi Azot, founded in 1956, is Georgia’s only fertilizer manufacturer and the largest chemical and nitrogen fertilizer producer in the South Caucasus, fully owned by Singapore-based Indorama Corporation.
ADB has been a key development partner in Georgia since 2007, providing loans, grants, and technical assistance totaling $5 billion. Its five-year country partnership strategy aims to support the nation’s green and inclusive development, including investments in infrastructure, policy reforms, capacity building, and regional integration.
Established in 1966, ADB is a leading multilateral development bank promoting inclusive, resilient, and sustainable growth in Asia and the Pacific. With 69 member countries, it leverages innovative financial tools and partnerships to address complex challenges, improve lives, build quality infrastructure, and safeguard the environment.
