Standard unveils ambitious plans for consumer market
Standard Chartered is aiming to double profits from consumer banking every three to five years, it said yesterday.
The London-based bank, whose activities are focused in Asia, also said it was optimistic about its prospects, as it began a briefing trip for analysts in Dubai and Korea.
Shares in Standard Chartered have been climbing steadily since 2003, helped by growth in the Asia Pacific region and in south Asia, the Middle East and Africa, Britain and America. Last week it announced it had won a licence to open a further three sub-branches in China in the first quarter of 2006. The company’s shares rose 3 per cent following a buy note from Swiss broker UBS.
Speaking to analysts, Mike De Noma, head of Standard Chartered’s consumer banking division, said the unit was targeting an unrivalled position in Asia, Africa and the Middle East and exploiting offshore capabilities.
Already, consumer banking accounts for more than three quarters of its profits.
The group believes there is huge potential to grow the small-medium enterprise division, in which it could double its income.
The unit hopes to carve out a market share of 5-10 per cent in 20 countries. In China there is scope for an increase because it only has a 1 per cent share in the market.
Vishu Ramachandran, chief executive of consumer banking, said the bank was cautiously optimistic about its future following a strong first half. It will issue a per close trading update on 7 December.