Citigroup said it will wind down its consumer banking business in China, a move that is expected to affect about 1,200 employees in the country.
The exit will include products such as deposits, insurance, mortgages, investments, loans and cards, the lender said in a statement Thursday. The bank will also explore options for those employees who wish to continue to work at Citi in China or across the bank's global network, it added.
The U.S. bank announced a plan to exit the business in April 2021 as part of a global strategy to exit consumer franchises in 14 markets in Asia, Europe, Middle East and Africa and Mexico. The lender said the cost of the exit isn't expected to be material and it remains committed to its wealth management and institutional business in China.
"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," said Titi Cole, Citi's chief executive of Legacy Franchises.
As part of the wind-down process, Citi said it will continue to actively pursue sales of portfolios within its Chinese consumer banking business. Bloomberg News
