Royal Bank of Canada received the approvals from local governments and from the Eastern Caribbean Central Bank for the sale of its Eastern Caribbean banking operations.
The transaction, which includes RBC’s 11 branches in Antigua and Barbuda, Dominica, Grenada, Montserrat, St. Kitts and Nevis, St. Lucia, and St. Vincent and the Grenadines, was completed on 1 April.
RBC sold its Eastern Caribbean banking operations to a consortium of regional banks which includes 1st National Bank of St. Lucia, Antigua Commercial Bank, Bank of Dominica, Bank of Montserrat, and The Bank of Nevis.
“This transaction will allow RBC to align investments and resources into markets where our vision for being the Caribbean’s digitally-enabled relationship bank can be executed most-successfully,” said Rob Johnston, head of Caribbean banking, in a press release.
“The sale of our Eastern Caribbean banking operations to indigenous banks is also a critical step forward in strengthening the domestic financial services sectors in each of the countries and territories involved. This will help create a stronger climate for further growth, development, and prosperity,” he added.
Speaking on behalf of the consortium of banks in December, Johnathan Johannes, managing director of 1st National Bank St. Lucia, said the transaction would give the banks the size and scale to play a more active role in the development of their respective countries.
In addition, Johannes said the transaction would be a first step toward greater synergies, efficiencies and cross-territory marketing opportunities.
Following the closing of the sale, RBC’s Caribbean operations retain 3,000 employees and 41 branches and offices across Aruba, the Bahamas, Barbados, Bonaire, the Cayman Islands, Curaçao, Saba, Sint Maarten, Trinidad and Tobago, and the Turks and Caicos Islands.