LONDON Royal Bank of Scotland (RBS) will close its corporate banking operations in India as part of a plan to sell or shut businesses in two-thirds of the countries it operates in, a person familiar with the situation said.
RBS, which was briefly the world's largest bank by assets, has spent the eight years since a 45 billion pound ($64 billion) government bailout cutting costs and reorganising.
It is closing the Indian business after failing to find a buyer, the person told Reuters on Monday.
Earlier this year, Reuters reported Singapore's biggest lender DBS Group Holdings and South African banking group FirstRand were in separate talks to buy the unit. "After examining a number of potential sale options for our banking business in India, we have concluded that it is not feasible to sell the business in its entirety," the bank said in a statement. "We will now look at other options which may include a wind down or sale of individual parts."The decision to close the India business is part of Chief Executive Ross McEwan's strategy announced last year to operate in 13 countries, down from 38.
McEwan has cut thousands of jobs and assets to reduce expenses, in a bid to boost earnings after eight straight years of losses.
($1 = 0.7026 pounds)
(Reporting by Andrew MacAskill; Editing by Alexander Smith)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Firstpost is now on WhatsApp. For the latest analysis, commentary and news updates, sign up for our WhatsApp services. Just go to Firstpost.com/Whatsapp and hit the Subscribe button.
Updated Date: Apr 11, 2016 18:38:44 IST