Scotiabank To Close 120 Branches Worldwide, Will Lay Off 1,500

NICARAGUA NEWS — The Canadian-based Scotiabank warns that it’s cutting the equivalent of 1,500 jobs companywide — about two-thirds of them in Canada — and the closure of 120 branches among a number of accounting measures that will cut about CA$341 million from its profit for the fourth quarter.

scotiabank-e1354212296789The announcement from Toronto did not indicate how it will affect operations in Nicaragua.

In 2008, Scotiabank expanded its Nicaragua position by acquiring the remaining 49% of the shares of Financiera Arrendadora Centroamericana (Finarca).

Scotia Leasing Nicaragua S.A. is a non regulated company 100% owned by the Scotiabank de Costa Rica financial group.

In Central America, Scotiabank is present in Belize, El Salvador, Guatemala, Nicaragua and Panama. In South America, Brazil, Colombia, Chile, Peru, Trinidad & Tobago, Uruguay, and Venezuela,

Last August, Scotiabank president and CEO Brian Porter said the bank was continuing to work on increasing its presence in Central and South America.

“Today’s announcement is a result of making some difficult but necessary decisions to support our long-term goals,” Porter  told the Toronto Star Tuesday morning.

Despite the magnitude of the announcement, the bank said it remains on track to meet its 2014 financial objectives. Like Canada’s other major banks, Scotiabank has been extremely profitable — with a total $5.57 billion of net profit in the first three quarters of 2014.

Sources:; Toronto Star; El Financiero (Costa Rica)