HSBC quits Pakistan.

[Edevelop]

I heard in Zia regime Pakistani banks didn't give interest on investment coz it's against Islam. Is it true? And if yes it's still running?

I don't think interest is harram in Islam but in fact its just not recommended...
Zia was a a big time Wahabi religious guy. So yes it must have been banned....
I don't know now what it is in Pakistan as it has been almost 8 years i haven't gone back...

 

[Awesome]

Pakistan's local banks are very competitive and also not too bad off compared to other foreign banks. Pakistan did not have the same bad debts problem. A lot of people who bought houses during the real estate boom did so on Cash.

 

[Marxist]

HSBC Won’t Quit Any Asian Markets - Deal Journal - WSJ



Indian obsession with Pakistan

the news you posted is old ( 2012/03/13 ) ...here is the latest one

HSBC in Talks to Sell Pakistan Branches

HSBC in Talks to Sell Pakistan Branches - WSJ.com

its part of reducing their global presence

 

[saiyan0321]

plz to indians read the first few posts they r very informative before making psycho claims.... and no chocker there considering it had only ten branches and had all the problems of foreign banks have... and believe it or not the rural people in pakistan believe to keep their money with them banks are used by a little bit higher class and even with this the banks which are many are doing thier best to keep customers by offering many incentives like ubl is doing so you see a bank that has only ten branches and to be honest i have never seen it over here had no chance with soo much competition

 

[GoodBoy]

You are confused. HSBC is Hong Kong based. UK's Standard Chartered which has large presence in Pakistan is still mincing meat of your economy as you put it. Hehe. I wish India open its banking sector more, have foreign banks lend us at a lower interest rates. Banking reforms needed in India.

HSBC Holdings plc (commonly known as HSBC) is a British multinational banking and financial services company headquartered in London, United Kingdom.[5] As of 2011 it was the world's second-largest banking and financial services group and second-largest public company according to a composite measure by Forbes magazine.[8]

 

[DelhiDareDevil]

i am happy..
these banks made minced meat of the economy of their home country UK...They had done same abroad...
good riddance for Pakistan

HSBC is a Chinese bank.

Its a shame to see what Chinese are doing to their only allies.

 

[Awesome]

HSBC is a Chinese bank.

Its a shame to see what Chinese are doing do their only allies.

What BS. Just because it has Hongkong and Shanghai in its name?

HSBC - Wikipedia, the free encyclopedia

HSBC Holdings plc (commonly known as HSBC) is a British multinational banking and financial services company headquartered in London, United Kingdom.

 

[DelhiDareDevil]

What BS. Just because it has Hongkong and Shanghai in its name?

HSBC - Wikipedia, the free encyclopedia

From your link it states:

The origins of the bank lie in Hong Kong and Shanghai, where branches were first opened in 1865.[4] Today, HSBC remains the largest bank in Hong Kong, and recent expansion in mainland China, where it is now the largest international bank, has returned it to that part of its roots.[6][10]

This shows China have a say in HSBC dealing.

 

[Awesome]

This shows China have a say in HSBC dealing.

Yes, indeed. A fellow named Strawman has some say in it too.

 

[Jade]

Pakistan's local banks are very competitive and also not too bad off compared to other foreign banks. Pakistan did not have the same bad debts problem. A lot of people who bought houses during the real estate boom did so on Cash.

Global banks have different functions as compared to local banks. Global banks connect local economy to the global one, bring in outside capital and make cost of capital much cheaper.

HSBC abandoning Pakistan may affect its destinations for FII.

From your link it states:

The origins of the bank lie in Hong Kong and Shanghai, where branches were first opened in 1865.[4] Today, HSBC remains the largest bank in Hong Kong, and recent expansion in mainland China, where it is now the largest international bank, has returned it to that part of its roots.[6][10]

This shows China have a say in HSBC dealing.

China has nothing to do with HSBC. HSBC is a British Multinational Bank headquartered in London

 

[Awesome]

Global banks have different functions as compared to local banks. Global banks connect local economy to the global one, bring in outside capital and make cost of capital much cheaper.

HSBC abandoning Pakistan may affect its destinations for FII.

Pakistan has many multinational banks as well performing that role. Best method to cheaply send money to Pakistan is to do it through Pakistani banks international branches.

 

[Jade]

Pakistan has many multinational banks as well performing that role. Best method to cheaply send money to Pakistan is to do it through Pakistani banks international branches.

It is not about whether there are other multinational banks functioning in Pakistan. It is the question of why HSBC abandoning Pakistan, and whether other multinational banks will follow suit.

I am not talking about sending money to Pakistan, but investments from international funds into Pakistan. All most all FII's invest their money through multinational banks.

 

[Patriot]

HSBC says it will pull out of the consumer banking market in Japan by shutting down six branches. It started the business in Japan four years ago. The bank said it will gradually phase out services for retail clients, but will continue serving corporate customers.

HSBC is undergoing a major revamp of its global operations. Last year, it said it would withdraw from "quite a few" retail banking markets over the next few years.
HSBC quits Japan consumer banking

 

[Awesome]

It is not about whether there are other multinational banks functioning in Pakistan. It is the question of why HSBC abandoning Pakistan, and whether other multinational banks will follow suit.

I am not talking about sending money to Pakistan, but investments from international funds into Pakistan. All most all FII's invest their money through multinational banks.

I was pointing out Pakistani banks are multinational too with operations in US, UK, CAS, Africa, China, Switzerland, Middle East, Far East.

If FDI is the main concern, then remember local banks get certain concessions and profit sharing by the State Bank which allows them to give better rates and services. Local banks are even allowed more branches, have thousands of branches each and 10,000 plus workers in the country.

Foreign banks are working on things like bank guarantees, remittance hubs (certain remittance networks Pakistani banks can't reach they go through them), treasury deals and perhaps remittances to their own home countries.

All areas where local banks are competitive too, so you have to be really good to survive in the market. HSBC is probably leaving because its no longer profitable or the profit margins have reduced beyond an acceptable limit.

 

[Cheetah786]

It is not about whether there are other multinational banks functioning in Pakistan. It is the question of why HSBC abandoning Pakistan, and whether other multinational banks will follow suit.

I am not talking about sending money to Pakistan, but investments from international funds into Pakistan. All most all FII's invest their money through multinational banks.

I guess the part where HSBC is leaving 75% of the world including USA Canada japan Russia Taiwan and other countries sends a different message but when it comes to Pakistan it is cause of bad investment.

Look at their share price it's very obvious their management sucks and is clueless, it would have been one thing if they were just quitting Pakistan .