Standard Chartered reduces income growth target

11th Nov 2013 13:24

Standard Chartered has reduced its income growth target for the next couple of years due to slower economic growth and stricter regulations.The British bank said it still expects to deliver income growth of at least 10% a year in the long-term but short term growth would probably be "high single digit". The group also unveiled plans to get rid of smaller, underperforming businesses to focus on more profitable ventures. "We are unlikely to achieve double digit income growth for the next couple of years," finance director, Richard Meddings, said at the start of an investor day for analysts, according to Reuters."In a world where GDP growth may slow and regulation and competition are changing, we need to adapt our framework."Last year Standard Chartered closed its retail banking business in Japan. Chief Executive Peter Sands said the group would sell its retail banking in Lebanon as part of an effort to reins in costs.Sands added that the firm would take a harder approach to how they allocate capital and investment.Shares were up 1.82% to 1,510.50p at 13:55 on Monday.RD