HSBC has announced its decision to exit retail banking operations in Bangladesh, with the phase-out process set to begin in the second half of this year.
In a press release issued on Wednesday, the bank stated that the decision was made after evaluating the relative market position of its retail business in Bangladesh and the strategic importance of the segment within HSBC’s global portfolio.
While the move solely affects the retail banking division, HSBC assured that it will provide necessary support to existing customers, including assistance in transferring accounts to other financial institutions. Additionally, the bank will cease onboarding new retail customers or opening new retail accounts.
The decision will not impact HSBC’s corporate or institutional banking operations in Bangladesh. The bank confirmed that it will continue its corporate banking services as usual and will further strengthen its presence in trade, investment, and client servicing in the country.
This move is part of HSBC Group’s broader strategy to streamline and focus its global operations, as outlined in its October 2024 announcement. The bank reiterated its commitment to maintaining operations in markets where it holds strong competitive advantages.