Portuguese state bank closes offshore branch in Macau

31 July 2017

The offshore branch of Portuguese state-owned bank Caixa Geral de Depósitos (CGD) in Macau will be closed by the end of the year, the bank’s chief executive announced last Friday.

Paulo Macedo said that besides the Macau offshore branch the bank will also close its branch in the Cayman Islands, as well as the London branch, leaving CGD with only a representative office in the British capital.

The two offshore branches stopped receiving deposits at the beginning of the year, and now have only around 250 million euros in deposits in the Cayman Islands and around 350 million euros in Macau, figures which have been falling. Customers have been notified in order to find other options or to end their relationship with CGD.

The CGD group will be represented in Macau only by Banco Nacional Ultramarino, a locally established bank and one of the two currency issuing banks in the territory, along with the Bank of China.

Caixa Geral de Depósitos, a bank that was recently the target of a capitalisation of approximately 5 billion euros, suffered losses of 50 million euros in the first half of the year, then in 2016 recorded its biggest ever loss of 1.859 billion euros. (macauhub)