HSBC to fold Middle East operations into Hong Kong

HSBC Holdings announced on Tuesday that the group’s operations in the Middle East and Turkey will be folded into a unit headquartered in Hong Kong from the beginning of next year.

Doug Houghton/Alamy via Reuters | The entrance to HSBC's headquarters in Hong Kong. The bank's Middle East operations will be based in the building from next year

• Middle East unit CEO leaving

• Decision takes effect next year

• Change intended to ‘reduce duplication’

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Stephen Moss, who has been based in Dubai as chief executive of the giant bank’s Middle East operations since April 2021, is leaving at the end of the year to “pursue other opportunities”, a bank spokesman confirmed.

Georges Elhedery, HSBC’s new chief executive who was based in Dubai for 10 years and took over as CEO of HSBC Group in July, said in a statement that the bank will now operate along four lines of business: Hong Kong, the UK, corporate and institutional banking, and international wealth and premier banking.

Elhedery has previously spoken of trimming middle management in the bank, which had assets of $2,97 billion as of June 30 and operations in 60 countries, making it one of the largest financial institutions in the world.

The Middle East, north Africa and Turkey will be part of ‘Eastern markets’, headquartered in Hong Kong, the source of much of the international bank’s profits.

“The changes will reduce the duplication of processes and decision making,” Elhedery said in the statement.

James Drummond