Citigroup announced its exit from Commercial Banking in Mexico and will only keep its Citi ICG and Citi Private Bank units in the country.
Thus, the US bank announced its intention to withdraw its commercial banking operations focused on consumption and SMEs.
This as part of its global strategy that seeks to generate value for shareholders, investing in its main businesses and simplifying its operations.
Internationally, Citigroup has gradually withdrawn its commercial banking starting with Asian and European countries.
According to a report by Intercam Banco, the company’s focus will remain on institutional banking, where it has competitive advantages due to its globally interconnected infrastructure, and services for high global wealth.
The process is subject to various conditions and approvals by regulators in both the United States and Mexico.
More information on this is expected this Friday, when Citigroup reports its fourth quarter results.
In perspective, as of November 2021, Citi (Banamex) is the third largest bank in Mexico.
According to Intercam Banco, its total portfolio was 551,091 million pesos, which is equivalent to 12.24% of the national credit market.
The company has assets of 1 trillion 433,851 million pesos, deposits of 893,012 million pesos and stockholders’ equity of 180,318 million pesos.
Likewise, its portfolio is mainly made up of business loans, mortgages and credit cards.
In conclusion, Intercam Banco considers that Citigroup’s strategy aimed at strengthening and focusing its capital on the most profitable businesses is the appropriate one.