HSBC is reportedly planning to lay off employees working for its investment bank as the lender continues its wider cost-saving strategy.

According to a report by Bloomberg, people familiar with the matter said that while the job cuts will kick off in Asia, employees based in other markets will also be impacted.

The move comes as new HSBC chief executive Georges Elhedery pushes ahead with the bank's wider strategy to streamline costs and improve organisational efficiency.

Since he took the helm in September 2024, Elhedery has launched a sweeping reorganisation of the bank's operations along geographical lines.

This has included merging commercial and investment banking units and scaling back investment banking operations in the UK, Europe and Americas.

In December, Bloomberg also reported that HSBC was axing around 40 per cent of its top 175 senior managers. These cuts are expected to complete by June this year.

Responding to a query about the latest round of cuts, an HSBC spokesperson told Bloomberg: “As announced on October 2024, HSBC is focused on increasing leadership and market share in the areas where it has a clear competitive advantage and where it has the greatest opportunities to grow.”

People close to the matter told the publication that some layoffs are already taking place in the bank’s markets division, with wider cuts expected from Monday 17 February.

One of the people revealed that the layoffs will take place over several weeks and months, with people being dismissed based on performance, simplifying operations, and removing a duplication of roles.

Last month, HSBC has announced the closure of its international payments app Zing, marking another setback in the bank's FinTech expansion efforts, just 12 months after its launch.

The digital payments platform, which promised "transparent fees and competitive rates", will be shut down following challenges with compliance restructuring and the bank's wider strategic review.

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