Citigroup to exit consumer banking operations in India & 12 other countries

Citigroup Inc. has decided to exit from consumer banking operations in 13 markets across Asia, Europe, Middle East and Africa region. In a statement the bank stated that it will operate its consumer-banking franchise in both regions from four wealth centers in Singapore, Hong Kong, the United Arab Emirates and London. The move is part of an ongoing review of the company’s strategy by CEO Jane Fraser.

Fraser remarked in the statement, “This positions us to capture the strong growth and attractive returns the wealth-management business offers through these important hubs.”

The affected businesses include the consumer franchises in India, Australia, Bahrain, China, Indonesia, Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. The firm will continue to offer products in those markets to customers of its institutional clients group, which houses the private bank, cash-management arm and investment-banking and trading businesses.

Jane Fraser further added, “As a result of the ongoing refresh of our strategy, we have decided that we are going to double down on wealth. We will operate our consumer banking franchise in Asia and EMEA solely from four wealth centres – Singapore, Hong Kong, the UAE and London.

While the other 13 markets have excellent businesses, we don’t have the scale we need to compete. We believe our capital, investment dollars and other resources are better deployed against higher returning opportunities in wealth management and our institutional businesses in Asia. We will continue to update you on strategic decisions as we make them while we work to increase the returns we deliver to our shareholders.”