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Which Commercial Bank Will Issue Pensions? - Gov’t Announces Tender Of GEL 105 MLN

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Natia Taktakishvili
13.04.22 18:00
518
Social Service Agency announces tender to select a commercial bank, which will issue social assistance and pensions. The value of the tender is determined by GEL 105 million and will be valid from January 1, 2023 to January 1, 2029.

According to the current terms, the state did not pay money for the issue of pensions. However, it will provide additional remuneration to banks for this service.

Banks will be selected in the tender according to two criteria, the first criterion will be the service cost, which the bank will provide. The share of this criterion totals to 30% during the evaluation.

The second and more important criterion is the interest rate, which the bank offers the elderly and socially vulnerable persons. The starting point for the interest rate is 10.6%, while the maximum rate from which the tender starts is 15%, so the interest rate amounts to 10.6% + 15% = 25.6%.

This means, that commercial banks must set a rate below 15%, so the state will select the bank that will set the lowest interest rate in the tender.

70% of the tender evaluation criteria depend on the volume of the interest rate.

Commercial banks can submit the proposals from May 11 to May 16.