Tuesday , May 17 2022

Scotiabank to leave nine countries shaking the Caribbean


TORONTO – The Nova Scotia Bank said on Tuesday that it was the fourth quarter earnings that was just below expectations and said it was planning to leave nine countries in the Caribbean as part of that business's stimulus.

The bank, who has acted in the Caribbean since 1889, said he would re-focus his business in the region by selling his insurance operations in Jamaica and Trinidad and Tobago to Sagicor Financial Corporation, who will be a partner to sell products insurance in those countries.

Scotiabank said he intended to sell his banking operations in Anguilla, Antigua, Dominica, Grenada, Guyana, St Kitts & Nevis, St Lucia, St Maarten, St Vincent and Grenadines in the Republic's Financial Payments.

"Due to the increasing regulatory complexity and the need for continuous investment in technology to support our regulatory requirements, the decision was made to focus the bank's efforts on those markets with a significant scale that we can make the biggest difference to our customers, "Ignacio Deschamps, said the international banking head of the Scotiabank group, in a statement.

The transactions do not apply to Scotiabank, he said, but it will lead to its core 1 tier capital ratio, a key measure of financial strength, increasing from 10 base points when the agreements, and # 39; subject to regulatory approval, closing.

The bank reported earnings balanced per share of $ 1.77 in the quarter ending 31st October, up to 8 percent but slightly lower than average forecasts by analysts of $ 1.79 per share , according to IBES data by Refinitiv.

With the exception of one-off costs, net income rose from 13 per cent to $ 2.35 billion, compared to the average estimate by $ 2.24 billion analysts, according to IBES data.

For the full year, Scotiabank said he had a 7 per cent increase in earnings in his Canadian business to $ 4.4 billion, helped to better margins as he benefited from Canada's five-year decline in the Bank of Canada and growth in customer deposits.

The bank's international business earnings increased by 18 per cent during the year, which is stimulated by the growth of the Pacific League Alliance, which includes Peru, Mexico, Chile and Columbia and accounts for about a quarter of its revenue .

Scotiabank is the first of the leading Canadian banks to report fourth quarter earnings. The Royal Bank of Canada's Report and Toronto-Dominion Bank later this week.

With Canadian Press files

© Thomson Reuters 2018

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