Announcing its first-quarter results, Citigroup on Thursday said it is closing retail banking operations in 13 countries across Asia, including India, and parts of Europe to concentrate more on wealth management outside the US.
However, the bank did not give any timeframe for the exits. This is seen as one of the first big strategic moves made by CEO Jane Fraser, who took over the company’s reins in February this year. Besides India, the third-largest bank in US will exit consumer operations in China, Australia, Malaysia, Bahrain, Korea, Indonesia, Russia, Vietnam, the Philippines, Thailand, Poland, and Taiwan.
However, the decision will not have any immediate impact on Citigroup’s operations and its employees in India. “India is a strategic talent hub for Citi. We will continue to tap into the rich talent pool available here to continue to grow our five Citi Solution Centers which support our global footprint.
There is no immediate change to our operations and no immediate impact to our colleagues as a result of this announcement. In the interim, we will continue to serve our clients with the same care, empathy and dedication that we do today,” Citi India CEO Ashu Khullar said.
What About 20,000 Citi Bank Employees in India?
Ciit Bank is India’s largest foreign bank, and started their Indian operations in 1902 from Calcutta. As per their Linkedin page, they employ more than 20,000 employees in India. Now, if they are shutting down their Indian operations, then it becomes clear that the job prospects of these employees are weak.
The other option can be that entire retail banking will be sold off to another bank or financial institution. We have already reported about this speculation. Although there hasn’t been any confirmation regarding the date of the shutdown, but we are speculating that there will be high number of layoffs.
As shared earlier, Citi Bank will continue their investment management services in India, but will shut down entire retail banking operations. We have tried to get in touch with Citi Bank regarding the jobs of 20,000+ employees in India.