Several major Asian banks are preparing to submit offers for HSBC’s retail banking business in Indonesia, reported Bloomberg. 

The group of interested parties includes Singapore’s DBS Group, Oversea-Chinese Banking Corp. (OCBC), United Overseas Bank (UOB), Malaysia’s CIMB Group, and Japan’s Sumitomo Mitsui Financial Group (SMFG).

Formal bids are expected by mid-March.

The value of HSBC’s Indonesian retail operations is estimated to exceed $200m.

HSBC has been consulting advisers as it considers divesting its consumer banking division in Indonesia.

HSBC is conducting reviews of its retail operations in Australia, Indonesia, and Egypt, though no conclusions have been reached, the news publication added.

The review also includes HSBC Life Singapore.

Since Georges Elhedery took on the role of CEO in 2024, HSBC has introduced substantial organisational changes, including reducing its workforce and streamlining management, as well as exiting some former core activities.

When contacted, representatives for DBS, UOB, OCBC, CIMB and SMFG did not provide comment.

HSBC also declined to elaborate on the status of the review regarding its Indonesian operations.

Foreign banks have shown growing interest in Indonesia amid robust economic growth, and recent years have seen global lenders such as HSBC and Citigroup move away from certain non-core assets in the region.

ANZ Group Holdings has been among those weighing the sale of stakes in local banking ventures.

HSBC has operated in Indonesia since 1884 and expanded its presence through the acquisition of PT Bank Ekonomi Raharja, which became PT Bank HSBC Indonesia in 2016.

The bank currently employs about 2,300 people across 28 branches serving both commercial and personal banking clients.

Earlier, HSBC has considered a public listing for its Indonesian unit.

Last year, HSBC agreed to sell its retail banking operations in Sri Lanka to Nations Trust Bank.