HSBC says to cut $5bn by 2017, sell Brazil and Turkey businesses

9th June 2015, Comments 0 comments

Scandal-hit bank HSBC announced Tuesday up to 25,000 job cuts as part of a global restructuring that entails its withdrawal from Brazil and Turkey, while it also mulls abandoning London as its HQ.

In a statement to the Hong Kong stock exchange it also said it intends to save $5 billion in annual costs within two years.

The announcement comes ahead of an investor update later Tuesday in which chief executive Stuart Gulliver is expected to announce thousands of job cuts, according to reports.

"HSBC is now undertaking a significant reshaping of its business portfolio," the statement said.

It added that the bank was "redeploying resources to capture expected future growth opportunities".

The bank would aim to save $4.5-$5 billion in annual costs by 2017, including selling its businesses in Turkey and Brazil, the statement said, adding it would step up investments in Asia.

It also said said it expected to complete a review of where to locate its headquarters by the end of this year.

© 2015 AFP

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