Citibank to exit consumer banking business in India and 12 other countries, here's what you should know
New Delhi | Jagran Business Desk: American banking major Citibank has announced it will exit consumer banking business in India and 12 other countries as part of a global strategy. The consumer banking business comprises credit cards, retail banking, home loans and wealth management.
The bank will be exiting the segment in India after more than three decades. The bank has 35 branches in the country and employs approximately 4,000 people in the consumer banking business.
The banking major said it is shifting its focus to wealth management and moving away from retail banking in places where it is small. Citi said it will now focus its consumer banking business on four markets: Singapore, Hong Kong, London and United Arab Emirates.
Citi Chief Executive Jane Fraser the banking group will depart India, China and 11 other retail markets where "we don't have the scale we need to compete."
The other 11 markets affected by the decision are: Australia, Bahrain, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam.
Apart from the institutional banking business, it will continue to focus on offshoring or global business support rendered from centres in Mumbai, Pune, Bengaluru, Chennai and Gurugram.
Citi India's Chief Executive Ashu Khullar said India is a strategic talent pool for Citi and it will continue to grow the five 'Citi Solution Centers'. At present, there are postings for 4,000 jobs at the solution centres posted on its hiring website, officials said.
Most of the markets exited by the Citi group are in Asia where its global consumer banking business at the end of 2020 had USD 6.5 billion (approx Rs 48,600 crore) in revenues, 224 retail branches and USD 123.9 billion (approx Rs 9.3 lakh crore) in deposits.
Citi had reported a post-tax net of Rs 4,912 crore for FY20 as against Rs 4,185 crore in the previous fiscal. Its retail bank serves people across the spectrum, including the salaried to the high net individuals, through dedicated offerings.
Posted By: Abhinav Gupta