Credit Suisse ex­its SA:

Business Day - - FRONT PAGE - Londiwe Buthelezi Fi­nance & Busi­ness Writer buthelezil@busi­nesslive.co.za

Swiss bank Credit Suisse has made a quiet exit from SA as the dead­line for meet­ing its cost sav­ings tar­get by the end of 2018 nears. It said on Wed­nes­day that it closed its Jo­han­nes­burg of­fice six months ago.

“We an­nounced ear­lier this year that we were re­view­ing our op­er­a­tions in Jo­han­nes­burg, and sub­se­quently took the de­ci­sion to close the of­fice,” the bank said in an e-mailed re­sponse.

The bank, which man­ages as­sets and of­fers pri­vate bank­ing ser­vices to wealthy in­vestors, had been op­er­at­ing the Jo­han­nes­burg of­fice for 10 years af­ter re-en­ter­ing in 2006.

It has 26 staff mem­bers af­ter cu­mu­la­tively re­duc­ing its SA head­count from 60 four years ago. The clos­ing of the SA op­er­a­tions was meant to help Credit Suisse meet its Sf4.2bn (about R59bn) cost-cut­ting tar­get at the end of 2018.

The com­pany has shut down sev­eral other of­fices in 2018, in­clud­ing Peru, Venezuela and one of its of­fices in Lon­don. It re­ported last week that it has now achieved 96% of its to­tal tar­geted cost sav­ings.

Since 2016, Credit Suisse has been ex­it­ing busi­nesses that, ac­cord­ing to the com­pany’s lat­est fi­nan­cial re­port, did not cover their cost of cap­i­tal or were not in line with its strat­egy.

But the bank said SA re­mained a fo­cus re­gion.

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.