Bar­clays to re­struc­ture Mideast cor­po­rate bank­ing

The Pak Banker - - COMPANIES/BOSS -

Bar­clays Plc will dis­miss about 150 staff in Dubai as it re­struc­tures its Middle East cor­po­rate bank­ing busi­ness, a per­son with knowl­edge of the mat­ter said.

The bank will close its of­fices at Emaar Square and re­lo­cate bankers and sup­port staff to its of­fice at Dubai In­ter­na­tional Fi­nan­cial Cen­tre, said the per­son, ask­ing not to be iden­ti­fied be­cause the dis­missals aren't pub­lic.

Bar­clays will keep its cor­po­rate branch in Abu Dhabi and whole­sale bank­ing li­cense with U.A.E. Cen­tral Bank, the per­son said. Bar­clays Plc Chief Ex­ec­u­tive Of­fi­cer Jes Sta­ley plans to elim­i­nate 1,200 jobs world­wide and shut se­cu­ri­ties op­er­a­tions across Asia, peo­ple with knowl­edge of the mat­ter said last month.

The for­mer JPMor­gan Chase & Co. banker has also im­posed a hir­ing freeze and is re­struc­tur­ing the wealth-man­age­ment busi­ness to shore up earn­ings growth, peo­ple fa­mil­iar have said. Bar­clays is adopt­ing an op­er­at­ing model that bet­ter lever­ages global ca­pa­bil­i­ties and its cen­ters of ex­cel­lence in the Middle East, ac­cord­ing to a spokesman in Dubai.

Banks in the U.A.E may have cut as many as 1,500 job­sin the past six months, ac­cord­ing to fi­nan­cial re­cruiters and Bloomberg cal­cu­la­tions.

While dis­missals are tak­ing place at in­ter­na­tional com­pa­nies such as Stan­dard Char­tered Plc and HSBC Hold­ings Plc, lo­cal lenders, once seen as havens for sea­soned ex­pa­tri­ate bankers, are also dis­miss­ing work­ers.

HSBC laid off about 150 em­ploy­ees at its retail, com­mer­cial bank­ing op­er­a­tions in the U.A.E., a per­son with knowl­edge of the mat­ter said in Novem­ber.Stan­dard Char­tered also cut about 100 po­si­tions at the end of the year, the re­cruiters said, ask­ing not to be iden­ti­fied be­cause the mat­ter is pri­vate.

BNP Paribas SA was con­sid­er­ing more than 100 job cuts in Oc­to­ber, two peo­ple with knowl­edge of the mat­ter said at the time. Bar­clays had plans to in­crease the num­ber of cor­po­rate bankers in the Gulf by more than 10 per­cent in 2014, Rezwan Mirza, head of that busi­ness in the U.A.E and Gulf coun­tries, said in an in­ter­view in May that year. The bank agreed to sell its retail bank­ing busi­ness in the U.A.E to Abu Dhabi Is­lamic Bank PJSC for 650 mil­lion dirhams ($177 mil­lion) in April.

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