The investment banking company has announced that it is looking to sell its consumer banking business in Australia and 12 other markets.
Citi has commenced a sale process of its Australian consumer business, which includes mortgages, credit cards, retail banking and wealth management for high-net-worth individuals.
The sale comes as Citi looks to exit its consumer banking business in 13 markets, including Australia, following a “strategic review” which it undertook to focus its investment and resources to the businesses “that can drive stronger growth, deliver scale and improve returns over the long run”.
In Australia, the sale of the consumer business will enable Citi to focus its investment and resources to its institutional business, which includes investment banking, capital markets and advisory, markets and securities services, commercial banking and treasury and trade solutions.
Citi Australia CEO Marc Luet said: “Citi’s consumer bank in Australia is an attractive and profitable business, employing highly skilled and dedicated team members. Citi is committed to securing the best possible outcome for our employees and our customers.”
He added that during the sale process (which is subject to regulatory approval), there will be “no change in the way Citi serves its consumer banking customers”.
“Consumer operations will continue to operate as they do today,” Mr Luet said.
Citi Australia largely operates a digital model, with more than 99 per cent of clients coming to Citi via digital channels.
It also has a strong broker offering, after having broadened its offering in 2019.
Under Citi’s new strategy, new consumer banking strategy for Asia and Europe, Middle East and Africa will focus on four wealth centres in Singapore, Hong Kong, London and UAE.
It said it would continue to serve existing clients “with a full suite of products” from these four hubs.
[Related: Citi affirms commitment to broker channel]
Annie Kane is the editor of The Adviser and Mortgage Business.
As well as writing about the Australian broking industry, the mortgage market, financial regulation, fintechs and the wider lending landscape – Annie is also the host of the Elite Broker and In Focus podcasts and The Adviser Live webcasts.
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