When we discuss Georgia as a favorable business destination for offshore companies we generally discuss about its strategic location, robust infrastructure, tax benefits, enabling trade treaties with a number of countries, pro capitalist and free market economy, no red tape, low cost skilled workforce, a democratic system of governance, and an easy to get residence permit among many other positives.
Importantly, the country has been favorably marked by credible international agencies like the World Bank, Transparency International, International Monetary Fund etc. For example, the country has been ranked 23rd out of 189 countries in the index of ease of doing business in 2016 by the World Bank.
A robust banking sector
The one sector that generally gets overlooked in Georgia’s success story is its banking sector. However, it should be kept in mind that the success of any economy is underpinned by its stable banking system, for it acts as a facilitator and conduit for all types of business transactions. The Georgian banking sector has received a positive feedback from agencies like Fitch and KPMG, which had ranked it as stable.
The sector has a number of commercial banks – small, medium, and big totalling about 19 in number with an asset base of $12.4 billion as of January 2017. As an investor, you can avail swift and seamless credit facilities from the banking sector both at the individual and corporate levels to fund your projects.
Why bank in Georgia?
- To save assets
Georgia has emerged as one of the new tax havens thanks to the business friendly policies of the government. Thus, you can park your funds in a safe and secure manner in any of the commercial banks in Georgia with no one asking you questions. Moreover, the country has not entered into any type of agreement (like the MCAA treaty) with other countries regarding automatic exchange of tax related information. Besides, the banks offer modern banking services like ATMs, internet banking, credit cards, demat accounts etc. In fact, you can operate your personal bank account in Georgia from offshore as well.
- To get a temporary residence permit
According to the new law should you want to get a temporary residence permit in Georgia, you need to mandatorily maintain a savings bank account in any of its commercial banks with a minimum balance of 3000 GEL.
How to open a personal bank account in Georgia?
The process is fairly simple with the submission of a few documents. No need to wait for days on end, for once the documents are submitted you can get your bank account up and running in just 3 to 4 hours. The documents to be submitted are:
- Local identity document ID
- Personal public service number
- Client data sheet
If you happen to be a foreign resident you too can open a personal and corporate bank account with the minimum of fuss. The best part is that you need not be physically present for the same, for your representative can do it on your behalf. The documents would include a power of attorney to hire a local lawyer and a notarized copy of your passport among others.
Opening a personal bank account in Georgia can be advantageous for you as an investor in terms of parking your assets and getting swift credits.