HSBC says its Asia job cuts won't affect its business on the Chinese mainland while Citigroup, which is also cutting staff, says it "will continue to grow business in China in the most efficient and productive way possible."

"HSBC China is not affected by the redundancies at HSBC in Hong Kong," HSBC China said yesterday. "As a locally incorporated foreign bank, HSBC China continues to develop its business in the mainland and has recently launched its new debit card business in 17 cities on the mainland."

HSBC plans to cut 500 jobs in Asia due to the slump in the global economy. The cuts will be made in various parts of the business, including back office functions, with about 450 jobs in Hong Kong going, the London-based bank said.

The China division of Citigroup, Citibank (China) Co, declined to comment further on the New York-based bank's layoff plans.

Citigroup has reported a loss for four straight quarters and on Monday announced plans to reduce its headcount by 20 percent from its peak of 2007 peak of 375,000. The company had already said in October that it was cutting about 22,000 jobs.

Even Chinese banks, which are little affected by the global crisis, are said to be exercising caution with regards to hiring new staff.

A banker with the Shanghai branch of a big-four bank said it would be taking a wait-and-see approach in hiring new staff from 2009's graduates.

(Shanghai Daily?November 19, 2008)