“The merger of Basis Bank and Liberty Bank is further proof that Georgia’s banking sector is in an active phase of development and remains attractive to foreign investors,” stated the Executive Director of the National Bank of Georgia, Beka Dochviri, speaking at the official signing ceremony for the share purchase agreement.

In his view, the transaction is a significant event for Georgia’s banking sector both in terms of its scale and its substance.

“The importance of this deal in the context of international investment, and specifically in terms of Chinese capital, deserves particular note. It is worth noting that the financial sector has consistently been at the forefront of attracting foreign direct investment into Georgia for many years. This transaction is yet further confirmation that Georgia’s banking sector is in an active phase of development and continues to attract foreign investors,” Dochviri stated.

He further noted that executing a transaction of this magnitude in the financial sector is a matter of considerable responsibility, and one that requires close cooperation with the National Bank throughout.

“Carrying out a transaction of this scale in the financial sector is an event of the utmost responsibility, and demands close cooperation with the regulator, both in terms of protecting the interests of consumers and maintaining financial stability across the sector. Accordingly, over the past year, the National Bank has been working actively with both banks to ensure that this process is managed effectively. The merger of Basis Bank and Liberty Bank creates a genuine opportunity for a third, comparatively large systemic bank to emerge within the banking system; one that, through resource optimisation and economies of scale, will help foster a more competitive environment, which in turn will have a positive effect on consumer welfare. Ultimately, Basis Bank’s acquisition of Liberty Bank is not merely a corporate merger; it is a step towards a more competitive, more diverse, and more development-oriented banking system,” Dochviri stated.