The action is being taken at a moment when the bank is intensifying its efforts in Asia as part of a strategic reorganization that it revealed in 2021 and has closed operations in other areas, such as the US and France.

CEO Noel Quinn said in a statement that the sale of the Argentina division “is another important step in the execution of our strategy and enables us to focus our resources on higher-value opportunities across our international network.”

According to the statement, HSBC anticipates suffering a $1 billion pre-tax loss in the first quarter of this year as a result of the transaction.