Britain’s Standard Chartered is planning to exit its operations in seven countries in Africa and the Middle East, the mass exodus move aims to narrow its focus to the region’s faster-growing markets, including Egypt and Saudi Arabia.
In a statement on Thursday, the lender said it would no longer have a presence in Angola, Cameroon, Gambia, Jordan, Lebanon, Sierra Leone, and Zimbabwe. It will also exit consumer, private, and business banking businesses in Tanzania and the Ivory Coast to focus solely on corporate, commercial, and institutional banking there.
The markets Standard Chartered plans to exit made up about 1 percent of total group income in 2021 and a similar proportion of profit before tax, the statement read.
“The Group is currently present in 59 markets and serves clients in a further 83. The markets that will be exited generated around one per cent of total Group 2021 income and a similar proportion of profit before tax.”
The British lender said it remained committed to the region as it had obtained preliminary approval for a banking licence in Egypt, and recently opened its first branch in Saudi Arabia.
“We are sharpening our focus on the most significant opportunities for growth while also simplifying our business,” chief executive Bill Winters said in the statement.
The moves are subject to regulatory approval, the lender added in the statement.
“There will be no change to how the Group reports these businesses for the first quarter 2022 results. Changes to their presentation will be shown at the half year 2022 results.” the statement concluded.
