Scotiabank has appointed Francisco Aristeguietaof State Street Corp., to lead its international unit, in one of new CEO Scott Thomson’s key first steps as he begins to implement his vision at the bank.

Aristeguieta, who will take office on May 1, has served as CEO of State Street Institutional Services since 2020 and spent 25 years at Citigroup Inc., holding senior roles in Latin America and Asia.

Scotiabank’s current international director, Ignacio Deschamps, will retire at the end of April, according to a statement from the Toronto-based bank. Although considered a contender for the top job, Deschamps lost to Thomson.

“This decision underscores our belief that new CEO Scott Thomson is reviewing the bank’s Latin American operations and that very little outside of Mexico is exempt from review.Barclays analyst John Aiken said in a note.

Scotiabank It has focused its attention on Mexico, Chile and Peru, where it is among the top five banks. Former chief executive Brian Porter cut parts of Scotiabank’s international unit and focused on these key markets, a strategy that differs from that of other major Canadian lenders who have sought to expand into the United States by owning banks.

Thomson, who was a surprise pick to succeed Porter, has promised a broad strategy review that will likely encompass the lender’s extensive operations in Latin America, which generated 25% of Scotiabank’s profits last quarter.

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Scotiabank has been largely shielded from the turmoil that followed the collapse of Silicon Valley Bank last month. Its shares have risen 0.5% since the start of March, contrasting with a nearly 7% decline in the S&P/TSX Composite Commercial Banks Index.

Thomson said that Aristeguieta “will bring his experience and leadership to help us drive engagement and deliver to our customers in our international markets,” and that he “will play a pivotal role in helping us deliver long-term sustainable and profitable growth for our shareholders. .as they look to update their strategy this year.