ING Groep NV has started a review of its euro-denominated government bond business, under which it will no longer be dealing Belgian government bonds beginning Sept. 1.
The review comes amid "continued challenging market conditions," a spokesman for the Dutch lender told S&P Global Market Intelligence. The Belgian Debt Agency earlier said it had been notified by the bank of the plan.
The review will have a limited impact on the bank's London-based trading team. However, the trading team headcount would be reduced to four from eight, Reuters reported.
ING's sales team, meanwhile, "will take a more reactive approach to the government bond business" and mainly focus on credit bonds, covered bonds and derivatives and other assets, the spokesman added.