HSBC official says Bank's business in Armenia successful

PanARMENIAN.Net - HSBC Bank Armenia is satisfied with the success of its business in Armenia, the Bank’s Chief Executive Officer said.

As Astrid Clifford stated at news conference in Yerevan, in May 2001, HSBC announced its new strategy, envisaging focusing of resources and financing in the markets capable of securing rapid growth and profitability of the capital.

According to Ms. Clifford, the new strategy is based on 5 objective indices, assessing the effectiveness of the bank's presence in the country.

Commenting on HSBC withdrawal from Georgia, she noted that a special approach was applied, with country's market volume and the bank's activity period considered.

HSBC will withdraw from Georgia by early 2012 as part of its retreat from markets where it lacks scale, HSBC Bank Georgia said on September 6.

“In Georgia we have limited size and scale and, despite considerable efforts in the country, we feel now is the right time to withdraw from the market. We have informed the regulator and our employees, and will be informing our customers as we work towards securing a smooth exit,” Guy Lewis, chief executive of HSBC Bank Georgia, said in a statement.

HSBC announced on August 1 that it will cut 25,000 more jobs around the world, in addition to the thousands of job cuts already underway, after reporting a surge in profit.

HSBC Chief Executive Stuart Gulliver said he expects to cut 25,000 jobs between now and 2013.

According to Ms. Clifford, HSBC Bank Armenia will continue operations, with USD 1 mln investment in technical innovations planned. “HSBC business in Armenia has been good ever since the opening of the Bank; we also have a significant share in the country's banking market,” she stressed.

Armenia will remain the only country of HSBC presence in South Caucasus.