Barclays is in the top-10 list of world largest banks. It’s been growing its international offices for more than a hundred years, but is closing a lot of them swiftly right now. The famous Lehman Brothers headquarters were also bought by Barclays at its time. It is important to know what Barclays is doing in view of coming economic collapse and regions that may become especially unfavorable for living or even survival.
The story started in 2013, after Barclays announced its losses for 2012 and plans to cut jobs and scale back some banking activities for Africa and Europe. Then it continued in 2014 with more losses and job cuts. But what’s more important, Barclays sold its Spanish assets (in retail banking) to Caixabank for 800 million Euros. By that time, Barclays had lost 2.5 billion Euros in Europe and that deal was the first step towards preparing for harder future.
This year (2016), right in January, Barclays has already declared about closing its investment banking services in Russia, Australia, and some Asian countries, including Indonesia and Thailand. At the same time, the bank was preparing to scale back on markets in Brazil and services in Central Europe, Middle East and South Africa. Finally, by the beginning of January, Barclays has already left South Korea and Taiwan. Curiously, Barclays is looking to exit precious metal market.
This week – on the 1st of March, Barclays announced to sell its part in Africa. Staley explained, Barclays would concentrate on Great Britain and the US market more. The sales process may take 2-3 years. Nothing peculiar here, unless you know that Barclays’s been in Africa for more than 100 years and now tries to escape the market fast.
Being one of the largest British banks, Barclays clearly signals on what is going to happen in the near future. Some may conclude that even countries, earlier accounted as more or less stabile, may suffer more than we can expect it now, perhaps. Especially, when one considers Barclays centennial history in Africa – it has survived two World Wars there, but what is that dramatic that future preparing for us that it now goes away from there?
Our previous article on cash ban in Europe – right here.