Westpac Banking to retreat from the east

Shrinking earnings: A pedestrian wearing a protective face mask walks past the illuminated Westpac Banking logo displayed at a branch in Sydney. Australia’s second-largest lender, whose capital has been eroded by the pandemic, says it will exit operations in Beijing, Shanghai, Hong Kong, Mumbai and Jakarta, where it does business with institutional clients. — Bloomberg

SYDNEY: Australia’s Westpac Banking Corp is exiting banking operations in China and some other Asian markets to focus on its core domestic and New Zealand businesses, as it grapples with capital constraints amid the Covid-19 pandemic.

The country’s second-largest lender, whose capital has been eroded by a record lawsuit settlement and a surge in bad-debt provisions due to the pandemic, said yesterday it will exit operations in Beijing, Shanghai, Hong Kong, Mumbai and Jakarta, where it does business with institutional clients.