Standard Chartered shuts 20 India branches, focuses on wealth management
What's the story
British banking giant Standard Chartered has cut its branch network in India from some 100 to 80 in the last year, according to Business Standard. The move is part of a strategic shift toward wealth management and affluent banking. The decision comes amid a larger trend of foreign banks reshaping their retail operations in India due to fierce competition from domestic lenders.
Network rationalization
Branch rationalization while retaining RBI licenses
As part of its network rationalization strategy, Standard Chartered has merged some branches and closed select standalone locations. However, the bank has retained the corresponding Reserve Bank of India (RBI) licenses. This way, it keeps the option to redeploy them in the future. Despite the reduction in branches, Standard Chartered still has the largest branch network among foreign banks operating in India through this model.
Strategic shift
Consolidation aligns with changing market dynamics
Responding to Business Standard, Standard Chartered said the consolidation fits its strategy of strengthening ties with wealthy and wealth-management clients. It said, "The bank is consolidating and sharpening its focus on the wealth and affluent segment in India, moving from single-product relationships to multi-product relationships." This shift is in line with changing market dynamics and client needs.
Future growth
Plans to boost priority banking centers
As part of its strategy, Standard Chartered plans to increase its priority banking centers from 20 to around 30 by the end of 2026. The bank also intends to invest in larger wealth centers, digital capabilities, and relationship managers. This comes after a series of portfolio adjustments, including selling its personal loan business to Kotak Mahindra Bank for some ₹4,100 crore worth of standard assets.
Global expansion
Global wealth management push
Standard Chartered's wealth push isn't just limited to India. The bank recently partnered with BlackRock to launch the Signature Select APAC Allocation Plus Fund, a multi-asset investment product for affluent and high-net-worth investors across Asia-Pacific and other international markets. This move highlights the global nature of Standard Chartered's strategic shift toward wealth management services.