After 10 years of absence, Citigroup Inc (NYSE:C) applies for having a banking license in KSA, and that was an initiative taken by the bank at the time when major changes are taking place in the country, so Citigroup realizes it’s the best time.
The firm evaluated opportunities in Saudi Arabia. There has been constant discussions internally and weekly calls globally negotiating for reestablishing the business there. It’s definitely an advantage, but not an easy task for a bank that exited the country and came back. It requires a lot of commitment and having people on the ground, once they have this license. It’s not final yet, there are a lot of discussions still going on, and it shouldn’t be a big surprise that other banks want to have a chance in KSA.
Citigroup in the U.S.
The group is focusing now on accelerating the mortgage business by exiting servicing operations, to focus on orientations. This will definitely give more benefits to all parties. The group has signed an agreement selling its mortgage servicing rights, and the related servicing. In addition, Citigroup entered subservicing agreement with Cenlar FSB for the remaining loans and other mortgage servicing rights. These will be transferred to Cenlar by 2018, and Cenlar will provide all the services and operations.
Citigroup in Europe
Since UK is leaving the trading bloc. after Brexit, Ctigroup has been looking for a new city to establish the new base in Europe. There have been many discussions with the authorities in Ireland, Italy, France, Spain, Germany and the Netherlands to search for the new center, based on 25 criteria. These criteria include the complexity of the legal system, local infrastructure and each city’s capacity to provide suitable housing and schools and other facilities for the employees and their families.
It was stated by James Cowles, who runs Citi’s operations in Europe, the Middle East and Africa, that a decision will be taken in the first half of the year. Cowles also has been quoted by the Irish Times stating that they have more than 2,500 employees in Dublin, and it’s been a great experience there, and there will be some things that they’re moving to dublin.
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