US-based Citi has announced that it is winding down its consumer banking business in China, which is expected to affect 1,200 jobs in the country.
In April last year, the company announced its strategy to exit consumer franchises in 14 markets in Asia, Europe, the Middle East and Africa and Mexico.
The current move to exit China’s consumer banking business is part of its strategy announced last year and does not include its institutional business in the country.
As part of the wind-down process, Citi will pursue the sale of its portfolios within the Chinese consumer banking business and start engaging with regulators.
It would affect consumer products and channels, including deposits, insurance, mortgages, investments, loans, and cards http://webbanki.ru/zaim-bez-procentov .
The wind-down process would be carried out according to the regulations, considering its obligations to clients, employees, and partners, said the lender.
Citi legacy franchises CEO Titi Cole said: “While we explored multiple strategic options for our China consumer business over the past several months, we believe that this path makes the most sense and we are focused on a seamless transition for our clients, partners and colleagues.”
Citi China CEO Christine Lam said: “We have been in China since 1902 and we will continue to support our clients in Citi’s Global Wealth Management business and market-leading institutional franchise in the country.”
Citi intends to work closely with stakeholders during the wind-down process and ensure minimal inconvenience for clients.
In addition, the bank is exploring options for employees who wish to continue to work at Citi in China or across the bank’s global network.
Citi has signed sales agreements in nine markets and has closed deals in five markets including Australia, the Philippines, Thailand, Malaysia, and Bahrain, to date.
Its previously announced wind down of consumer business in Korea and overall presence in Russia are currently underway.
Furthermore, Citi said that the cost of the wind-down will not affect both its operations and financial results, including the projected capital impact from the overall strategy refresh.
