BRIDGETOWN, Barbados–The Royal Bank of Canada (RBC) has become the latest Canadian bank to cut its losses in the Caribbean, with confirmation that it will be shuttering its international wealth management business in the region, as well as several international advisory businesses in North America.
The move follows RBC's sale of its Jamaican operations earlier this year–on which it made a loss–and an announcement by The Bank of Nova Scotia earlier this month of its plans to downsize around 120 branches in Mexico and the Caribbean, in preference for high-growth areas.
CIBC, which operates in the region as FirstCaribbean International Bank, also suffered a net-loss for the six months ending April 30, incurring a Cdn $420 goodwill impairment charge, largely related to its under-performing operation in the Bahamas.Sources indicate that the closure of RBC's regional wealth management divisions–domiciled in The Bahamas, Barbados and the Cayman Islands–as well as management teams in Toronto, Montreal and the United States, could affect over 300 employees.
CMC