Standard Chartered Plc is making strategic moves to expand its presence in Africa, with a focus on growing its wealth management and transaction banking businesses. This decision comes after a period of consolidation where the bank exited several smaller markets on the continent.
According to a report by Bloomberg, the London-based bank is exploring opportunities to enter new markets in Africa, with Morocco being one of the countries under consideration. Chris Egberink, CEO and head of banking & coverage for South Africa, mentioned that the timing of the expansion will depend on various factors such as regulatory engagement, licensing processes, due diligence, and client interest.
The expansion in Africa is part of Standard Chartered’s broader strategy to concentrate on wealth management and cross-border transactional services. Following a streamlining initiative that began in April 2022, the bank has exited operations in several countries and is currently exploring the sale of its retail banking units in Botswana, Uganda, and Zambia.
Despite regional uncertainties, Standard Chartered remains optimistic about its position in South Africa. Egberink emphasized that the bank maintains a “risk-on” position in the country, even amidst tensions within the coalition government and global volatility driven by trade policies.
Standard Chartered has benefited from the exit of several global competitors from the South African market, including Société Générale SA, BNP Paribas SA, and HSBC Holdings Plc. This has allowed the bank to capitalize on strong deal activity in sectors such as metals and mining, retail clothing, manufacturing, construction, and water treatment.
As Standard Chartered repositions for growth in Africa, the bank is poised to leverage its expertise in wealth management and transaction banking to capitalize on emerging opportunities in the region. With a focus on strategic expansion and a commitment to serving clients in key markets, Standard Chartered is well-positioned to drive sustainable growth in Africa.
