Commerzbank will exit from numerous markets, including Hong Kong, as part of its ongoing restructuring plans worldwide, which include 10,000 job cuts.
Commerzbank will exit the Hong Kong market, according to a «Handelsblatt» report (German only) citing an internal memo. Asia sales activities will be based in Singapore and the Dubai unit will continue operating as a representative office.
According to Nikolaus Giesbert, Commerzbank's divisional board member for institutionals, the «key trade corridors» for the German economy have been identified for the bank with regards to its presence which it will retain in Europe, Asia and the U.S.
This follows a $3.5 billion annual loss recorded by the German lender in 2020.
Shrinking Global Footprint
In addition to Hong Kong, the bank will withdraw from Luxembourg, Hungary, Barcelona, Bratislava and Brussels. Representative offices in Azerbaijan, Georgia, Indonesia, Iraq, Kazakhstan, Lebanon, Malaysia, Serbia and Venezuela will also be closed by 2024.
In South America, it will seek a sale of its Brazil subsidiary and open a representative office.
Globally, the bank will reduce its presence from about 50 countries to less than 40.
