Standard Chartered is aiming to slash more than 7,000 jobs over the next four years amid an AI push as it seeks to replace “lower-value human capital” with technology and will become one of the top names in finance going for headcount cuts by adopting artificial intelligence. The bank, on Tuesday, cited AI as a driver to make its operations slimmer in its goal to increase profitability and tackle competition.&nbsp;The plan is to cut thousands of support jobs as global banks are increasingly moving towards artificial intelligence use to reduce workforce costs. The lender said it aims to reduce corporate function roles by more than 15% by 2030 while expanding the use of AI to improve operational efficiency.&nbsp;The London-headquartered bank had 52,271 employees in back-office functions at the end of last year.&nbsp;&nbsp;Also Read: <a href="https://www.wionews.com/india-news/jahangir-khan-pulls-out-of-falta-contest-2-days-before-repoll-trinamool-says-succumbed-to-pressure-1779195775695">‘Pushpa bows’: Jahangir Khan pulls out of Falta contest 2 days before repoll; Trinamool says ‘succumbed to pressure’</a>&nbsp;&nbsp;As per reports, HSBC Holdings Plc and some Wall Street firms are also mulling deep job cuts over the coming years. Goldman Sachs Group Inc. President and Chief Operating Officer John Waldron recently described his firm’s traditional operations as a “human assembly line” ripe for automation.&nbsp;&nbsp;<h2>Standard Chartered shares rise 2.4% in Horn Kong</h2>&nbsp;Standard Chartered shares rose as much as 2.4% in morning trading in Hong Kong. The announcement came as the lender kicked off an investor and analyst hub in Hong Kong on Tuesday.&nbsp;&nbsp;Alongside the AI-driven restructuring and a recent reshuffle of senior management, Standard Chartered is aiming for a 3 percentage point improvement in its return on tangible equity, targeting more than 15% in 2028 and about 18% in 2030.&nbsp;The bank also expects to improve its cost-to-income ratio to 57% in 2028.&nbsp;Also Read: <a href="https://www.wionews.com/world/trump-says-media-and-democrats-would-spin-even-iranian-surrender-as-us-defeat-1779123203379">Trump says media and Democrats would spin even Iranian surrender as US defeat</a>&nbsp;The job cuts would drive productivity improvements to raise income per employee by about 20% by 2028, according to the bank.&nbsp;Corporate function roles are support roles and include positions such as risk management and regulatory compliance, according to its website.&nbsp;<h2>‘Not cost-cutting, it’s replacing lower-value human capital</h2>&nbsp;“It’s not cost-cutting. It’s replacing, in some cases, lower-value human capital with the financial capital and the investment capital we’re putting in,” CEO Bill Winters told reporters on Tuesday.&nbsp;Winters said the reduction will be driven by automation and adoption of artificial intelligence as some staff retrain.&nbsp;Also Read: <a href="https://www.wionews.com/world/iran-s-fresh-offer-insufficient-for-a-deal-risks-resumption-of-war-senior-us-official-1779121624177">Iran’s fresh offer ‘insufficient’ for a deal, risks resumption of war: Senior US official</a>&nbsp;“So, the people that want to reskill, that want ⁠to carry on, we’re giving every opportunity to reposition,” Winters said, referring to the retraining option given to impacted staff.&nbsp;Japanese lender Mizuho in March unveiled up to 5,000 job cuts over a decade. And banks globally are scrambling to integrate frontier AI models and fend off rising cyber threats.

Alongside the AI-driven restructuring, Standard Chartered is aiming for a 3 percentage point improvement in its return on tangible equity, targeting more than 15% in 2028 and about 18% in 2030. The job cuts would drive productivity improvements to raise income per employee by about 20%.

Standard Chartered is aiming to slash more than 7,000 jobs over the next four years amid an AI push as it seeks to replace “lower-value human capital” with technology and will become one of the top names in finance going for headcount cuts by adopting artificial intelligence. The bank, on Tuesday, cited AI as a driver to make its operations slimmer in its goal to increase profitability and tackle competition. The plan is to cut thousands of support jobs as global banks are increasingly moving towards artificial intelligence use to reduce workforce costs. The lender said it aims to reduce corporate function roles by more than 15% by 2030 while expanding the use of AI to improve operational efficiency. The London-headquartered bank had 52,271 employees in back-office functions at the end of last year. Also Read: ‘Pushpa bows’: Jahangir Khan pulls out of Falta contest 2 days before repoll; Trinamool says ‘succumbed to pressure’ As per reports, HSBC Holdings Plc and some Wall Street firms are also mulling deep job cuts over the coming years. Goldman Sachs Group Inc. President and Chief Operating Officer John Waldron recently described his firm’s traditional operations as a “human assembly line” ripe for automation. Standard Chartered shares rise 2.4% in Horn Kong Standard Chartered shares rose as much as 2.4% in morning trading in Hong Kong. The announcement came as the lender kicked off an investor and analyst hub in Hong Kong on Tuesday. Alongside the AI-driven restructuring and a recent reshuffle of senior management, Standard Chartered is aiming for a 3 percentage point improvement in its return on tangible equity, targeting more than 15% in 2028 and about 18% in 2030. The bank also expects to improve its cost-to-income ratio to 57% in 2028. Also Read: Trump says media and Democrats would spin even Iranian surrender as US defeat The job cuts would drive productivity improvements to raise income per employee by about 20% by 2028, according to the bank. Corporate function roles are support roles and include positions such as risk management and regulatory compliance, according to its website. ‘Not cost-cutting, it’s replacing lower-value human capital “It’s not cost-cutting. It’s replacing, in some cases, lower-value human capital with the financial capital and the investment capital we’re putting in,” CEO Bill Winters told reporters on Tuesday. Winters said the reduction will be driven by automation and adoption of artificial intelligence as some staff retrain. Also Read: Iran’s fresh offer ‘insufficient’ for a deal, risks resumption of war: Senior US official “So, the people that want to reskill, that want ⁠to carry on, we’re giving every opportunity to reposition,” Winters said, referring to the retraining option given to impacted staff. Japanese lender Mizuho in March unveiled up to 5,000 job cuts over a decade. And banks globally are scrambling to integrate frontier AI models and fend off rising cyber threats.

Alongside the AI-driven restructuring, Standard Chartered is aiming for a 3 percentage point improvement in its return on tangible equity, targeting more than 15% in 2028 and about 18% in 2030. The job cuts would drive productivity improvements to raise income per employee by about 20%.

Standard Chartered plans to cut over 7,000 jobs in AI push, will replace ‘lower-value human capital’

Standard Chartered, a London-headquartered bank, has announced the suspension of new investments by its clients in China into offshore products via a quota-based channel, citing "commercial reasons."

This decision comes among a surge in demand for overseas investments driven by weaknesses in the local market and currency imbalance.

The bank did not provide detailed explanations for the suspension but acknowledged the move in the middle of Beijing's efforts to stem capital outflows amidst a weakening yuan and a slowing economy.

China's principal overseas investment route is the qualified domestic institutional investor (QDII) programme, which was launched in 2006.

Though, StanChart's recent decision reflects challenges in meeting the demands of Chinese wealth and corporate clients seeking offshore investments. The suspension applies to new subscriptions into offshore-domiciled funds sold via the QDII program, effective from last Thursday, according to a client note issued by StanChart.

The decision follows a trend of growing appetite among domestic investors for overseas assets since late 2022, driven by China's underperforming stock market compared to major offshore markets like the US.

The CSI300 index, China's blue-chip index, has hit five-year lows and experienced an 18 per cent decline over the past year, attributed to various economic challenges including a debt crisis in the property sector. Experts suggest that quota limitations likely influenced StanChart's decision, given the absence of new quotas issued since 2021.

Economic and geopolitical concerns have spurred an exodus of investors from China, redirecting capital into alternative markets such as Japan. The benchmark Nikkei index has experienced significant gains in middle of this trend.

While Beijing has introduced market support measures since August, including reducing trading costs and prioritising equity fund launches, capital outflows continue to pose challenges. StanChart's move align with renewed depreciation pressure on the yuan in 2024, influenced by the dollar's resurgence.

StanChart's CEO Bill Winters has recently highlighted opportunities in China's wealth management sector, emphasising the bank's cross-border services as a competitive advantage over domestic peers.

In fact the concerns about potential tightening measures from Beijing, Winters remains optimistic about the bank's cross-border business. StanChart holds a QDII quota of $2.8 billion, making it the third-largest among foreign banks, behind HSBC and Citigroup.

However, neither the bank nor the regulator has disclosed the extent to which these quotas have been utilised.

(With inputs from Reuters)

Standard Chartered, a London-headquartered bank, has announced the suspension of new investments by its clients in China into offshore products via a quota-based channel, citing "commercial reasons.

Standard Chartered, a London-headquartered bank, has announced the suspension of new investments by its clients in China into offshore products via a quota-based channel, citing "commercial reasons." This decision comes among a surge in demand for overseas investments driven by weaknesses in the local market and currency imbalance. The bank did not provide detailed explanations for the suspension but acknowledged the move in the middle of Beijing's efforts to stem capital outflows amidst a weakening yuan and a slowing economy. China's principal overseas investment route is the qualified domestic institutional investor (QDII) programme, which was launched in 2006. Though, StanChart's recent decision reflects challenges in meeting the demands of Chinese wealth and corporate clients seeking offshore investments. The suspension applies to new subscriptions into offshore-domiciled funds sold via the QDII program, effective from last Thursday, according to a client note issued by StanChart. The decision follows a trend of growing appetite among domestic investors for overseas assets since late 2022, driven by China's underperforming stock market compared to major offshore markets like the US. The CSI300 index, China's blue-chip index, has hit five-year lows and experienced an 18 per cent decline over the past year, attributed to various economic challenges including a debt crisis in the property sector. Experts suggest that quota limitations likely influenced StanChart's decision, given the absence of new quotas issued since 2021. Economic and geopolitical concerns have spurred an exodus of investors from China, redirecting capital into alternative markets such as Japan. The benchmark Nikkei index has experienced significant gains in middle of this trend. While Beijing has introduced market support measures since August, including reducing trading costs and prioritising equity fund launches, capital outflows continue to pose challenges. StanChart's move align with renewed depreciation pressure on the yuan in 2024, influenced by the dollar's resurgence. StanChart's CEO Bill Winters has recently highlighted opportunities in China's wealth management sector, emphasising the bank's cross-border services as a competitive advantage over domestic peers. In fact the concerns about potential tightening measures from Beijing, Winters remains optimistic about the bank's cross-border business. StanChart holds a QDII quota of $2.8 billion, making it the third-largest among foreign banks, behind HSBC and Citigroup. However, neither the bank nor the regulator has disclosed the extent to which these quotas have been utilised. (With inputs from Reuters)

Standard Chartered halts new China offshore investments amid capital outflow worries

If you have invested in Cryptocurrency, we have some news for you, according to report from Standard Chartered - could hit hundred thousand dollar by the end of 2024. It is believed that Bitcoin could gain from various factors, be it from recent turmoil in the banking sector or from the improved profitability of crypto mining.

Have you invested in Cryptocurrency? Know how Bitcoin is a good investment | Business News | WION

Standard Chartered PLC (StanChart) on Thursday posted a 57% fall in annual profit, missing analyst estimates, on higher credit impairments due to the COVID-19 pandemic.

StanChart, which earns the bulk of its revenue in Asia, posted a pretax profit of $1.61 billion. That compared with $3.71 billion in 2019 and the $1.85 billion average of analyst forecasts compiled by the bank.

Credit impairments last year more than doubled compared with a year earlier to $2.3 billion because of the pandemic, the bank said, but noted the majority of these took place in the first half of the year.

The London-headquartered lender said it would return capital to investors via a 9 cents per share dividend and $254 million buyback, with the total payout being the maximum permitted under temporary 'guardrails' set by the Bank of England.

The central bank last year told Britain's largest lenders to suspend dividend payments and share buybacks for 2020 to help them maintain capital buffers against an expected hit to loan books from the pandemic.

"Having now resumed it, we expect to be able to increase the full-year dividend per share over time as we execute our strategy and progress towards a 10% return on tangible equity," Jose Vinals, Standard Chartered's chairman, said in the exchange filing.

The bank said its return on tangible equity, a key profit metric, would climb from 3% to 7% by 2023.

It also said overall income in 2021 is likely to be similar to 2020's because of the impact of global interest rate cuts.

Standard Chartered PLC (StanChart) on Thursday posted a 57% fall in annual profit, missing analyst estimates, on higher credit impairments due to the COVID-19 pandemic.

Standard Chartered PLC (StanChart) on Thursday posted a 57% fall in annual profit, missing analyst estimates, on higher credit impairments due to the COVID-19 pandemic. StanChart, which earns the bulk of its revenue in Asia, posted a pretax profit of $1.61 billion. That compared with $3.71 billion in 2019 and the $1.85 billion average of analyst forecasts compiled by the bank. Credit impairments last year more than doubled compared with a year earlier to $2.3 billion because of the pandemic, the bank said, but noted the majority of these took place in the first half of the year. The London-headquartered lender said it would return capital to investors via a 9 cents per share dividend and $254 million buyback, with the total payout being the maximum permitted under temporary 'guardrails' set by the Bank of England. The central bank last year told Britain's largest lenders to suspend dividend payments and share buybacks for 2020 to help them maintain capital buffers against an expected hit to loan books from the pandemic. "Having now resumed it, we expect to be able to increase the full-year dividend per share over time as we execute our strategy and progress towards a 10% return on tangible equity," Jose Vinals, Standard Chartered's chairman, said in the exchange filing. The bank said its return on tangible equity, a key profit metric, would climb from 3% to 7% by 2023. It also said overall income in 2021 is likely to be similar to 2020's because of the impact of global interest rate cuts.

Standard Chartered profit falls 57 per cent as COVID inflates bad loans

The Indian rupee Monday signed off the last trading session of 2018 with 18 paise gains at 69.77 per dollar but clocked a 9.23 per cent fall during the year after witnessing its one of the tumultuous years in the recent past.

On year-over-year basis, the rupee depreciated by a whopping 509 paise, or 9.23 per cent, as compared to 2017-end level of 63.87.

Forex traders, however, said fundamentals are supportive for the rupee over the next 6-12 months amid supportive growth momentum, robust forex reserves.

"Attractive real yields (net of inflation), growth momentum and robust forex reserves of $394 billion and US dollar stabilisation is likely to be positive for the INR," global financial services major Standard Chartered said in a research note.

However, in the near-term, the trend in the US dollar, oil price and ensuing general elections will determine the direction for the local unit, it noted.

The rupee opened higher at 69.76 per dollar as against Friday's closing level of 69.95 at the Interbank Foreign Exchange (Forex) market and hovered in a range of 69.95 and 69.74 before ending at 69.77 per dollar, showing a gain of 18 paise.

The rupee has gained 58 paise in the last two trading sessions.

Meanwhile, the dollar index was trading down by 0.26 per cent at 96.15 against a basket of six currencies in the late afternoon trade.

Indian equity benchmarks Sensex and Nifty Monday ended the last trading session of 2018 on a sluggish note but clocked gains for the third straight year in a row amid positive cues from global markets and strengthening rupee.

Both indices Sensex and Nifty snapped their three-session winning run and closed the final session of the calendar year with marginal losses.

The 30-share BSE index fell 8.39 points, or 0.02 per cent, to finish at 36,068.33; while the broader NSE Nifty edged lower by 2.65 points, or 0.02 per cent, to 10,862.55.

Brent crude, the international benchmark, was up 2.27 per cent at $54.42 per barrel.

Foreign funds pulled out Rs 326.87 crore from the capital markets on a net basis, while domestic institutional investors bought shares worth Rs 321.98 crore Monday, provisional data showed.

The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 69.7923 and for rupee/euro at 79.7805. The reference rate for rupee/British pound was fixed at 88.5488 and for rupee/100 Japanese yen at 63.21.&nbsp;

The Indian rupee Monday signed off the last trading session of 2018 with 18 paise gains at 69.77 per dollar but clocked a 9.23 per cent fall during the year after witnessing its one of the tumultuous years in the recent past.

The Indian rupee Monday signed off the last trading session of 2018 with 18 paise gains at 69.77 per dollar but clocked a 9.23 per cent fall during the year after witnessing its one of the tumultuous years in the recent past. On year-over-year basis, the rupee depreciated by a whopping 509 paise, or 9.23 per cent, as compared to 2017-end level of 63.87. Forex traders, however, said fundamentals are supportive for the rupee over the next 6-12 months amid supportive growth momentum, robust forex reserves. "Attractive real yields (net of inflation), growth momentum and robust forex reserves of $394 billion and US dollar stabilisation is likely to be positive for the INR," global financial services major Standard Chartered said in a research note. However, in the near-term, the trend in the US dollar, oil price and ensuing general elections will determine the direction for the local unit, it noted. The rupee opened higher at 69.76 per dollar as against Friday's closing level of 69.95 at the Interbank Foreign Exchange (Forex) market and hovered in a range of 69.95 and 69.74 before ending at 69.77 per dollar, showing a gain of 18 paise. The rupee has gained 58 paise in the last two trading sessions. Meanwhile, the dollar index was trading down by 0.26 per cent at 96.15 against a basket of six currencies in the late afternoon trade. Indian equity benchmarks Sensex and Nifty Monday ended the last trading session of 2018 on a sluggish note but clocked gains for the third straight year in a row amid positive cues from global markets and strengthening rupee. Both indices Sensex and Nifty snapped their three-session winning run and closed the final session of the calendar year with marginal losses. The 30-share BSE index fell 8.39 points, or 0.02 per cent, to finish at 36,068.33; while the broader NSE Nifty edged lower by 2.65 points, or 0.02 per cent, to 10,862.55. Brent crude, the international benchmark, was up 2.27 per cent at $54.42 per barrel. Foreign funds pulled out Rs 326.87 crore from the capital markets on a net basis, while domestic institutional investors bought shares worth Rs 321.98 crore Monday, provisional data showed. The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 69.7923 and for rupee/euro at 79.7805. The reference rate for rupee/British pound was fixed at 88.5488 and for rupee/100 Japanese yen at 63.21.

Rupee's tumultuous year ends with 9% annual loss at 69.77 a dollar

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered.

<a href="http://www.wionews.com/business-economy/inflation-in-2018-data-shows-price-rise-within-comfort-zone-but-farmers-187302">Attractive real yields (net of inflation)</a>, growth momentum and robust forex reserves of $394 billion are likely to be positive for the Indian rupee (INR), said the report titled '2019 India Outlook — A year to prepare and react'.

On the macro overview, the report expects India's GDP growth to remain robust in 2019, supported by tailwinds from recent policy reforms (GST and bankruptcy code implementation), signs of a revival in private capex and pre-election spending.

"In our assessment, consumer price inflation (CPI) is likely to average 4 per cent in 2019. Benign food inflation, positive base effects, recent correction in oil prices and INR stability is likely to keep inflationary pressures under check," it said.

The report also said<a href="http://www.wionews.com/business-economy/rbi-exploring-mobile-phone-based-solution-to-help-visually-impaired-identify-banknotes-187305"> the RBI</a> is likely to stay on hold in 2019, as inflation is likely to remain within its medium-term target of 4 per cent.

"However, if inflation continues to undershoot RBI's target, there is a &nbsp;possibility of a rate cut later in 2019," it noted.

On the equity market, Standard Chartered said, "We remain positive on Indian equity markets in 2019, though more cautious compared to 2018."

"As we head into 2019, Indian markets are likely to remain volatile. We take a balanced approach to investing being selective in taking risk (diversified equity exposure) while keeping a greater margin of safety (preference for bonds) and keeping some dry power for tactical opportunities during the year," said Nitin Singh, MD and Head, Standard Chartered Wealth Management India.

Citing reasons for the likely volatility in markets, the report said India's twin deficits are likely to remain under pressure in 2019 as fiscal slippage risk is high and current account deficit rises amid a weak global funding environment.

"Second, while we don't see systemic risk arising from the recent liquidity pressures on non-banking financial companies (NBFCs), markets still need to adjust in the near-term to tighter financial conditions amid an elevated credit risk," it said.

It added that "as we near the general elections in mid-2019, risk premiums could rise to factor in political uncertainty".

The report said the macro environment is still supportive for equities.

Earnings growth outlook remains robust with high double-digit growth expected in 2019, it said.

"In our assessment, the recent market correction from 2018 peak has created a greater valuation buffer, with valuations converging closer to longer-term averages, compared to peak valuations a few months back," reads the report.

However, rising margin pressures and its impact on future profitability, stretched valuations relative to bonds and cash and moderating flows amid tighter liquidity are risks to equity outlook, it added.

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered.

The US dollar strength, oil prices and next year's general elections will determine the rupee's direction in the near-term, with fundamentals being supportive for the domestic currency over the next 6-12 months, says a report by Standard Chartered. Attractive real yields (net of inflation), growth momentum and robust forex reserves of $394 billion are likely to be positive for the Indian rupee (INR), said the report titled '2019 India Outlook — A year to prepare and react'. On the macro overview, the report expects India's GDP growth to remain robust in 2019, supported by tailwinds from recent policy reforms (GST and bankruptcy code implementation), signs of a revival in private capex and pre-election spending. "In our assessment, consumer price inflation (CPI) is likely to average 4 per cent in 2019. Benign food inflation, positive base effects, recent correction in oil prices and INR stability is likely to keep inflationary pressures under check," it said. The report also said the RBI is likely to stay on hold in 2019, as inflation is likely to remain within its medium-term target of 4 per cent. "However, if inflation continues to undershoot RBI's target, there is a possibility of a rate cut later in 2019," it noted. On the equity market, Standard Chartered said, "We remain positive on Indian equity markets in 2019, though more cautious compared to 2018." "As we head into 2019, Indian markets are likely to remain volatile. We take a balanced approach to investing being selective in taking risk (diversified equity exposure) while keeping a greater margin of safety (preference for bonds) and keeping some dry power for tactical opportunities during the year," said Nitin Singh, MD and Head, Standard Chartered Wealth Management India. Citing reasons for the likely volatility in markets, the report said India's twin deficits are likely to remain under pressure in 2019 as fiscal slippage risk is high and current account deficit rises amid a weak global funding environment. "Second, while we don't see systemic risk arising from the recent liquidity pressures on non-banking financial companies (NBFCs), markets still need to adjust in the near-term to tighter financial conditions amid an elevated credit risk," it said. It added that "as we near the general elections in mid-2019, risk premiums could rise to factor in political uncertainty". The report said the macro environment is still supportive for equities. Earnings growth outlook remains robust with high double-digit growth expected in 2019, it said. "In our assessment, the recent market correction from 2018 peak has created a greater valuation buffer, with valuations converging closer to longer-term averages, compared to peak valuations a few months back," reads the report. However, rising margin pressures and its impact on future profitability, stretched valuations relative to bonds and cash and moderating flows amid tighter liquidity are risks to equity outlook, it added.

US dollar strength, oil prices, general elections to determine rupee direction in near term: Report

Singapore&#39;s central bank said on Friday it imposed penalties on the local units of Standard Chartered Bank and Coutts for money laundering breaches related to Malaysia&#39;s scandal-tainted 1Malaysia Development Berhard&nbsp;(1MDB) fund.

The penalties are S$5.2 million ($3.65 million) and S$2.4 million, respectively.

The Monetary Authority of Singapore has also served notice of its intention to issue a prohibition order against Tim Leissner, a former director and representative of Goldman Sachs Singapore.

The proposed order will prohibit Leissner for a period of 10 years from performing any regulated activity under the Securities Future Act, or taking part, directly or indirectly, in the management of any capital market services firm in Singapore. Leissner had been the&nbsp;Southeast Asia&nbsp;chairman of Goldman Sachs, and according to a <a href="https://www.bloomberg.com/news/articles/2016-03-30/the-rise-and-fall-of-tim-leissner-goldman-s-big-man-in-malaysia">Bloomberg </a>report&nbsp;a &quot;star banker&quot;.&nbsp;

Last year, Malaysia&#39;s Prime Minister, Najib Tun Razak, was accused of channelling at least&nbsp;$681&nbsp;million from 1MDB, a government-run strategic development company, into his personal band account.

Amid the breaking of the 1MDB scandal, Leissner, who Bloomberg reports had helped Goldman Sachs raise $6.5 billion for the state fund he oversaw, left amid questions surrounding the fund, his work on an Indonesian mining deal and also an allegedly inaccurate reference letter.&nbsp;

Singapore&#39;s central bank said it was nearing the end of its 1MDB-related investigations and will provide a final update early next year.

(WION with agencies)

The fallout from the nearly $700 million scandal is still ongoing, and both local banks and Goldman Sachs are among those being punished

Singapore's central bank said on Friday it imposed penalties on the local units of Standard Chartered Bank and Coutts for money laundering breaches related to Malaysia's scandal-tainted 1Malaysia Development Berhard (1MDB) fund. The penalties are S$5.2 million ($3.65 million) and S$2.4 million, respectively. The Monetary Authority of Singapore has also served notice of its intention to issue a prohibition order against Tim Leissner, a former director and representative of Goldman Sachs Singapore. The proposed order will prohibit Leissner for a period of 10 years from performing any regulated activity under the Securities Future Act, or taking part, directly or indirectly, in the management of any capital market services firm in Singapore. Leissner had been the Southeast Asia chairman of Goldman Sachs, and according to a Bloomberg report a "star banker". Last year, Malaysia's Prime Minister, Najib Tun Razak, was accused of channelling at least $681 million from 1MDB, a government-run strategic development company, into his personal band account. Amid the breaking of the 1MDB scandal, Leissner, who Bloomberg reports had helped Goldman Sachs raise $6.5 billion for the state fund he oversaw, left amid questions surrounding the fund, his work on an Indonesian mining deal and also an allegedly inaccurate reference letter. Singapore's central bank said it was nearing the end of its 1MDB-related investigations and will provide a final update early next year. (WION with agencies)

Singapore central bank imposes penalties on Standard Chartered, Coutts in 1MDB-related probe

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