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HSBC to pull down shutters on Brazil, focus on China, India
June 10, 2015, 3:46 am

Brazil's top three private-sector lenders have placed bids for HSBC Bank Brasil Banco Múltiplo [Xinhua]

Brazil’s top three private-sector lenders have placed bids for HSBC Bank Brasil Banco Múltiplo [Xinhua]

British bank HSBC announced Tuesday that it will shut down almost all of its activities in Brazil, and will instead concentrate more on its presence in Asia, mainly in China and India.

HSBC is the 6th biggest bank in Brazil.

HSBC said it would leave a “modest participation” in Brazil to continue attending to big corporate clients. The banking giant is also likely to shift its headquarters from London to Hong Kong.

Brazil’s top three private-sector lenders have placed bids for HSBC Bank Brasil Banco Múltiplo (as the bank is formally known in the Latin American nation).

Currently, HSBC has 853 agencies in 531 of Brazil’s municipalities, employing over 21,000 people. It also has 452 banking service centers, 699 electronic banking service centers and 1,809 self-service centers with 4,728 automatic bank machines.

This is  the second biggest overhaul at HSBC since the financial crisis of 2008.

Between 2011 and 2014, the bank cut 40,000 jobs in the country to reduce costs and to concentrate on activities that were considered strategic.

Tuesday’s announcement came as part of a restructuring plan to save up to $5 billion by 2017. The plan is expected to put around 50,000 people out of work all over the world and would close 12 per cent of branches in its seven biggest markets. It has 5,800 branches globally.

About 7,000-8,000 job cuts would be in Britain.

The bank plans to accelerate investments in Asia by developing business in both the Pearl River Delta in China’s Guangdong Province, and in the ASEAN region.

 

Source: Agencies

2 Responses to HSBC to pull down shutters on Brazil, focus on China, India

  1. Harrold Reply

    June 10, 2015 at 9:32 am

    Why would China and India want anything to do with this criminal Banking institution that launders money for drug runners and terrorist operations? They are letting the wold into the hen house.

  2. Ipman Reply

    June 10, 2015 at 8:10 pm

    These big banks are capitalist they are trying to move in on the pie cause if not they will be outside looking in. The Brics Nations are ahead of all their shams and will have systems in place to deal with the Western Scourge. The WEST is falling on their control and dominance of other nation.

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