Société Générale Exits Ghana After 20 Years Of Operation

Société Générale Exits Ghana After 20 Years Of Operation

  • Société Générale has announced its plan to exit the Ghanaian market after 20 years of operation
  • The bank is the latest multinational to announce its exit from the country following Glovo's announcement
  • The bank says it intends to focus its resources on markets where it is a leading player

French bank Société Générale (SG) is set to exit the Ghanaian market after 20 years of operations.

This comes amidst concerns about several multinational companies leaving the country.

Société Générale Exits Ghana After 20 Years Of Operation
SG has exited several other African markets
Source: Getty Images

Société Générale is also said to be exiting several African markets, including Tunisia and Cameroon.

In December 2023, five months after the announcement of its exit from Congo, Mauritania, Equatorial Guinea, and Chad, SG sold its subsidiaries in Burkina Faso and Mozambique.

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It has been revealed that in its latest exits, the bank has engaged the services of investment bank Lazard to explore potential buyers for its subsidiaries in the markets it is disinvesting from.

According to reports, Absa Bank has emerged as a strong contender for acquiring SG’s subsidiaries.

SG stated that it aims to focus its resources on markets where it is a leading bank, which aligns with its overarching strategy, as stated on its website.

Société Générale’s exit from the Ghanaian market and other African markets reflects a growing trend where major Western banks have started disinvesting from African markets.

Analysts believe strong banks from Nigeria and South Africa could potentially fill the gap they leave.

Glovo exits Ghana market

Food delivery platform Glovo has announced its plan to end operations in Ghana on May 10, 2024.

The company cited profitability issues within the Ghanaian market as the reason for its early departure despite significant business expansion investments in the last two years.

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This was contained in a memo shared with the company’s network of restaurant partners via email.

According to the company, it will shift its resource investments to other countries where it operates to optimise service delivery.

Glovo informed partner restaurants that following the decision, it will officially shut down on May 10 at 10 pm, after which no more orders can be made on the app again.

Meanwhile, restaurant partners will receive outstanding payments following the terms and conditions.

Twitter staff receive compensation

In a separate story, YEN.com.gh reported that Twitter staff sacked from its Africa office in Accra have been finally paid off after over a year of complaints.

They had threatened to sue Twitter, now X, for failing to pay the redundancy money they were owed.

Elon Musk took over the company in 2022 and embarked on a massive global cull of employees.

Source: YEN.com.gh

Cornerlis Affre avatar

Cornerlis Affre (CA and Politics Editor) Cornerlis Kweku Affre is at present a Current Affairs Editor at Yen.com. He covers politics, business, and other current affairs. He has worked in various roles in the media space for at least 5 years. You can reach out to him at cornerlis.affre@yen.com.gh

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