Overview:
Standard chartered Bank joins the growing list of British banks exiting Africa.
Standard Chartered Bank has announced its full exit from five African markets as well as Jordan and Lebanon.
In a statement issued on Sunday, Standard Chartered Bank Chief Executive Officer (CEO) Bill Winters said they are ceasing operations in Angola, Cameroon, Gambia, Sierra Leone and Zimbabwe to those areas “where it can have the greatest scale and growth potential.”
“As set out during its full year 2021 results presentation, Standard Chartered PLC (“the Group”) is accelerating its strategy to deliver efficiencies, reduce complexity and drive scale. Today the Group announces a set of actions to redirect resources within its Africa and Middle East (“AME”) region to those areas where it can have the greatest scale and growth potential, in order to better support its clients,” the statement states.
“Subject to regulatory approval, the Group now intends to exit onshore operations in seven markets in AME and in a further two markets focus solely on its Corporate, Commercial and Institutional Banking (“CCIB”) business,” it adds.
In Tanzania and Cote d’Ivoire, the Consumer, Private and Business Banking businesses will be exited and the focus will turn solely to CCIB.
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.
As set out during its full year 2021 results presentation, Standard Chartered PLC (“the Group”) is accelerating its strategy to deliver efficiencies, reduce complexity and drive scale. Today the Group announces a set of actions to redirect resources within its Africa and Middle East (“AME”) region to those areas where it can have the greatest scale and growth potential, in order to better support its clients,”
bANK’S STATEMENT
Standard Chartered Group CEO, Bill Winters, said: “As we set out earlier in the year, 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.
Collectively, our actions will position the AME franchise for the next phase of growth after a very strong 2021 performance. 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 Bank joins the growing list of British banks exiting Africa.
In 2016, Barclays left Africa, selling off a 62.3% stake in Barclays Africa Group.