The French bank Société Générale marked the launch of its operations in Georgia with the opening of a new headquarters of the local Bank Republic on October 17.
Société Générale announced its acquisition of a 60% share in Georgian Bank Republic in September. The terms of the deal were not disclosed.
President Saakashvili, who attended the opening ceremony of the new headquarters, said that Société Générale’s investment is a sign that Georgia “is trusted.”
“This is significant and historic day for Georgia’s economy, because one of the largest western institutions has entered into the Georgian market for the first time in Georgia’s history. This means that Georgia has an economic future and it means that each Georgian citizen has an economic future. This is a confirmation of the World Bank statement that Georgia is the number one reformer. It means that credit will be more available for Georgian companies and it means more foreign investments, because when foreign companies see that such an attractive bank is operating here, they will gladly invest in the Georgian economy… And I want to say that more new major foreign companies will come to Georgia very soon,” Saakashvili said.
Also in September the European Bank for Reconstruction and Development (ABRD) acquired a 10% stake in Bank Republic.
Bank Republic, with 74 000 clients, had GEL 7,1 million net profit in 2005 and GEL 5,8 million net profit in the first half of 2006.