HSBC Focuses Expansion On Asian Markets Post Halt Of Operations In Some Countries

HSBC's ongoing Asian pivot has already resulted in planned sales of all or parts of its operations in France, Greece, Russia, and Canada.

According to Chief Financial Officer Georges Elhedery, HSBC is considering exiting as many as one in every five of the countries in which it operates in order to focus on Asian expansion.

These reviews, which could result in the British bank selling or consolidating operations in 12 countries, come in response to pressure from Chinese shareholder Ping An Insurance, which wants HSBC to prioritise growth in its lucrative Asian business, which accounts for 78% of group profit.

While the markets under consideration are small, the move demonstrates the pressure HSBC is under to shrink its once global local banking operations in order to boost returns and appease investors.

HSBC does not break out the results of each individual country in which it operates in its overall results, making it difficult to identify underperforming markets. However, its operations in Europe and Latin America may be scrutinised.