Mumbai. HSBC India, part of London-based banking giant HSBC decided to close down 24 branches in 15 Indian cities after a strategic review of its retail banking and wealth management business showed customers increasingly opting for digital banking services.
The decision is taken in order to “reflect the changes in customer behavior, who are increasingly using digital channels for their banking”. The HSBC network will consolidate from 50 branches across 29 cities to 26 branches across 14 cities, it said in a statement.
“This move aims to position our retail banking and wealth management (RBWM) business for the future, with the right mix of digital versus physical branch distribution. Customer expectations are changing rapidly and we need to adapt accordingly.” Stuart Milne, group general manager and chief executive officer of HSBC India, said in a statement.
"India is a priority market for HSBC and we will continue to invest to achieve sustainable growth by supporting the needs of our customers," Stuart added.
A decision that will affect around 10 percent of the company’s retail customer base and lead to 300 jobs loss as HSBC employs over 33,000 people in the country. However, the bank is planning to redeploy the employees in other business.
The affected branches include Chennai (Adyar branch), Delhi (Basant Lok Branch and Punjabi Bagh), Guwahati branch, Indore branch, Jodhpur branch, Kolkata (Shakespeare Sarani, Howrah, Ultadanga, New Alipore and Salt Lake), Lucknow, Ludhiana, Mumbai (Thane branch), Mysore, Nagpur, Nasik, Patna, Pune (Deccan branch), Raipur branch, Surat branch, Trivandrum branch, Vadodara and Vishakhapatnam.