Bank to scale down units in India

FIRST Rand yesterday said it had decided to scale down its exposure to the retail and banking businesses in India.

The bank said the decision was taken after its strategic review in its operations in India. However, it said it remained committed to India and that its retail and commercial franchises should be in position to compete in the longer term.

The group said it would continue to service its clients’ needs in India.

Chief executive Alan Pullinger after he won the backing of the cabinet and Zuma appointed him to a task force on education.

“The cabinet has affirmed its support for Finance Minister said the medium-term operations had become limited as a result of the country’s competitive and regulatory dynamics.

Pullinger said the group would not focus its strategies on growing its businesses in South Africa and Africa.

“FirstRand remains fully committed to those business lines that remain as part of the India branch, particularly the CIB (corporate and investment banking),” Pullinger said. – Manyane Manyane Pravin Gordhan,” Jeff Radebe, a minister in the presidency, said following a cabinet meeting. He was “innocent until otherwise proven by a court of law”.

Speculation has been rife that Gordhan was on the verge of being fired after prosecutors said on October 11 that he would be charged for fraudulently approving the early retirement of a former colleague and then rehiring him on a contract basis.

Political

Gordhan, who has clashed with Zuma over the management of state companies and the national tax agency, said the case was a political stitch-up and he had nothing to answer for.

Gordhan has been a key driver of a campaign to maintain South Africa’s investment-grade credit rating, up for review over the next two months.

He has received the backing of senior officials, including Deputy President Cyril Ramaphosa.