Looking to buy Australia and New Zealand Banking Group (ASX: ANZ) shares? The market is likely digesting news of the bank's plans to pull out of Myanmar this morning.
ANZ cited "increasing operational complexity" as the final nail in the coffin in its dealings in the pariah state. Myanmar has been under military rule since 2021.
The ANZ share price is up 0.61% at the start of Wednesday's session to $24.82
Let's take a closer look at the latest news from the S&P/ASX 200 Index (ASX: XJO) big four bank.
Own ANZ shares? Here's why the bank is leaving Myanmar
Those considering buying ANZ shares will likely want to know of the latest news putting the bank in the headlines.
The ASX 200 favourite announced it will be abandoning its operations in Myanmar early next year, subject to local regulatory approval, yesterday. A statement from ANZ read:
Due to increasing operational complexity over the past several months, the bank has been working with its institutional customers to transition to alternative banking arrangements.
ANZ managing director Simon Ireland commented in the release:
The decision follows careful consideration of the local operating conditions. We thank the team for working tirelessly to support our customers during this time.
Our international network and supporting the trade and capital flows of our customers around the region is a critical part of our strategy, and will continue to be for the long term.
The bank has a small team based in Myanmar, where it has been operating since 2015, to support the onshore and cross-border needs of multinational companies.
It comes just weeks after ANZ was found to have processed around $5,000 worth of transactions to a military-owned bank, ABC News reported.
A conglomerate controlling said bank is said to be facing sanctions from the United States, the United Kingdom, and the European Union – none of which ANZ breached.
The ANZ share price has fallen 11% since the start of 2022. It has also fallen 9% since this time last year.
For comparison, the ASX 200 has dropped 5% year to date and 3% over the last 12 months.
