Standard Chartered quits multiple African markets
Standard Chartered is quitting six African countries and shutting its consumer banking businesses in a further two to concentrate on more profitable markets.
The bank said it would close its operations in Angola, Cameroon, Gambia, Jordan, Sierra Leone and Zimbabwe as well as Lebanon. It will also stop offering consumer and business banking in Tanzania and Cote d’Ivoire to focus on corporate and commercial banking.
The FTSE 100 bank said it would continue to serve corporate clients in all these markets from its international network. The jettisoned markets generate about 1% of annual income and profit.
Standard Chartered said it had invested heavily in Africa and the Middle East (AME) including upgrading digital capabilities in African markets. It said the closures were part of a plan to redirect resources to high-growth markets.
The emerging markets lender has opened a branch in Saudi Arabia and gained approval for a banking licence in Egypt to concentrate on big, fast growing economies.
Read: BoG backs suit of borrowers by lenders in debt recovery strategies
Bill Winters, the bank’s chief executive, said: “We are sharpening our focus on the most significant opportunities for growth while also simplifying our business. We remain excited by a number of opportunities we see in the AME region, as illustrated by our new markets, but remain disciplined in our assessment of where we can deliver significantly improved shareholder returns.
“We are grateful to our colleagues and partners in each of these impacted markets for their hard work and dedication and are committed to supporting them through this transition.”
Standard Chartered shares rose 0.7% to 506p at 10:30 BST.
