Europe's Top Banks Are Cutting Losses Throughout Latin America
- Weak profits and capital levels are driving the trend
- U.S., Spanish, Swiss and local banks will gain market share
Societe Generale SA
Photographer: Jason Alden/BloombergThis article is for subscribers only.
European banks are on the retreat all across Latin America.
Societe Generale SA announced in February that it’s dismissing more than 1,000 workers while exiting the consumer-finance business in Brazil. In August, HSBC Holdings Plc sold its unprofitable Brazilian unit, with more than 20,000 employees. Two months later, it was Deutsche Bank AG’s turn. The German lender said it’s closing offices in Argentina, Mexico, Chile, Peru and Uruguay and moving Brazilian trading activities elsewhere. Barclays Plc is shrinking its operations in Brazil too.