The FINANCIAL — The FINANCIAL – In Q3 2010, Total Operating Income of Bank of Georgia on a standalone basis amounted to GEL 74.9 million, which is an increase of 22% compared to the same period of the previous year, done in line with international financial standards.
The Q3 2010 net income consisted of 23.7 million GEL, which presents an increase of 118.7% compared to the same period of the year 2009.
The total assets of the Bank increased by 28% compared to the previous year’s results and reached more than 3.5 billion GEL according to the three quarters of 2010. The total amount of bank loans exceeded 2 billion GEL, which is an increase of 25% compared to the previous year’s results.
Moreover, there was an unpredictable increase in client deposits, reaching 1.5 billion GEL, which is more than 43% compared to the three quarter results of 2010 to 2009.
“Bank of Georgia increased in lending, the credit portfolio increased approximately by 570 million GEL in 2010, which is a 30% increase in crediting and reached over 2 billion GEL. From the deposit side, there was approximately a 55% increase by 600 million GEL,” said Irakli Gilauri, CEO of Bank of Georgia .
The year 2010 was successful for Bank of Georgia in terms of getting external finances from international financial institutions. In total the Bank received 150 million USD, out of which 50 million was from EBRD, 50 million from ADB and the other 50 million USD from EFSE. The majority of finances was allocated for crediting small and medium sized businesses.
The price of Bank of Georgia stocks increased significanltly on the London Stock Exchange during 2010. From 8.35 USD in January 2010 to the end of November 2010 when the price equalled 18.00 USD – in the fourth year of issuing stock on the London Stock Exchange.
Bank of Georgia opened its representative office in London in autumn 2010. The major mission of the representative office is for the Bank to be closer to its investors, which are presented by leading western funds. Moreover, the office will provide consultation service for international clients concerning deposit service and will support further investments for Georgia.
“Bank of Georgia will continue offering innovative products. We are an innovative bank and are making huge investment in cutting-edge technologies, which will give us the opportunity to provide perfect, client-oriented service as well as products,” Gilauri declared.
Bank of Georgia offered new products and services to its clients in 2010. The Bank started issuing American Express Blue Card in July 2010. To get the card a monthly income of just 400 GEL is adequate. Up till now 50,000 American Express Cards have been issued by Bank of Georgia.
Moreover, Bank of Georgia offered completely new service to its clients in autumn 2010. When arriving at an auto salon, as well as replacing an old car with a new one and having the opportunity to get a loan, clients have the opportunity to test new models. Gilauri declared that with this project they managed to motivate auto lending and 2 million GEL has already been loaned within the project framework.
The clients of Bank of Georgia, who are switched to a salary scheme, can directly get a loan approved via SMS, without even visiting the Bank. The Bank has already distributed 4.5 million GEL via SMS Loan.
The exclusive personal banking service SOLO celebrated its one year anniversary in November 2010. SOLO is mainly oriented on middle and high income society and currently serves approximately 2,000 clients. Despite the special banking product offers, clients of SOLO can use so-called Lifestyle offers, which mean getting special terms while purchasing tickets, entrance to closed and special events, exclusive discounts and more.
The Bank started the new charity project Meotsnebe Bavshvebi in 2010. Within the framework of the project, the Bank opened deposits for nine homeless children, with a total volume of 1,000 GEL for each, adding 50 GEL monthly before the child becomes an adult. Moreover, from the opened children’s deposits at the Bank, between September and 31 December, the Bank will single out 1% of the initial deposit amount and charge it to these nine homeless children. There were 1,700 clients switched to the project and deposits of 230,000 GEL volume were opened.
For New Year, Bank of Georgia started the large-scale musical project love.bog.ge. Within the framework of the project, with a specially written song for the Bank, each individual can take a 1 minute clip and participate in the internet competition. The competition will reveal three winners, who will be announced on 13 January 2011 on the TV. The winner will get a 5 day trip to Paris for two. There is an additional fourth prize – Sympathy of the Spectator, the winner of which will be the individual who gets the majority of “likes” on the web page love.bog.ge. Currently there are 120 video clips participating in the competition. The clips can be uploaded till 31 December, 2010.
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