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British multinational bank Standard Chartered has put its retail business in Ghana on sale, a move that could pique the interest of South African banks looking to diversify their earnings away from their home market.Standard Bank (operating as Stanbic), Absa and FNB already have a sizeable presence in the gold-rich West African country.Standard Chartered on Thursday said it will exit the wealth and retail banking sector in Ghana as part of a withdrawal from what it deems noncore markets.“We are focused on the next phase of our growth by prioritising businesses where we have a strong competitive advantage and a distinctive cross-border proposition,” said Xorse Godzi, CEO and head of coverage at Standard Chartered Ghana. “Ghana remains a core part of our international network, and we continue to see long-term opportunities driven by trade, infrastructure investment and capital flows,” Godzi added.“The transition is expected to be phased over 18 to 24 months, subject to regulatory approvals. During this period, it will be business-as-usual for clients, with continued engagement to ensure an orderly transition and minimal disruption.“Our wealth and retail business in Ghana is a strong franchise with an established client base and talented colleagues. We believe that it is well-positioned to continue to succeed under new ownership.”Still, the bank’s decision to retain the corporate and investment banking business could prove to be a stumbling block for potential suitors, and even more so for South African lenders.South Africa’s banking majors, which have sought to grow earnings outside their home market, have placed a healthy premium on leading that expansion with their corporate and investment operations.Standard Chartered sought to deploy a similar strategy for its wealth and retail business in Botswana. However, in March it put the corporate and investment business up for sale as well after pushback from potential suitors.South African lenders Absa and FirstRand, owner of FNB, have already reached agreements to buy Standard Chartered’s Uganda and Zambia businesses, respectively.FNB Zambia on Wednesday said it has concluded the transaction, having received approval from the country’s central bank.Shifting footprintStandard Chartered, which has operated in Ghana for more than 130 years, laid out plans in 2024 to exit wealth and retail operations in Botswana, Uganda and Zambia to free up capital amid a broad shake-up.Absa, which aims to wean itself off dependence on South Africa, Kenya and Ghana for earnings, snapped up the Uganda assets, while FirstRand captured the Zambian business.Standard Chartered has already exited or scaled back in several other African countries, including Zimbabwe, Angola, Cameroon, Gambia and Sierra Leone, as it and other European lenders face stiff competition from domestic players.In 2024, British multinational bank HSBC left South Africa. It transferred its clients and banking assets and liabilities to FirstRand and Absa, while its South Africa-based employees headed to FirstRand.French multinational BNP Paribas wound down its corporate and investment banking services in South Africa two years ago, ending its 12-year presence in the country.Bongiwe Gangeni, head of Standard Chartered wealth and retail banking for Europe, the Middle East and Africa, said the lender still has an investment appetite for Africa, driven by its hubs in Kenya and Nigeria.“We continue to actively review our portfolio to ensure capital is deployed where it delivers the strongest returns and strategic impact. We remain committed to supporting our clients through this transition, with a clear focus on continuity and client outcomes,” she said.
