Citigroup to Exit Consumer Banking in 11 Markets

US banking firm Citigroup has announced its intention to exit the consumer sector in 11 different markets as the company looks to simplify operations.

The New York based bank will sell off its consumer banking in Costa Rica, El Salvador, Guatemala, Nicaragua, Panama, Peru, Japan, Guam, Czech Republic, Egypt and Hungary, it said in a statement.

In most cases the sales process is under way and finalisation of the deals is expected at the end of next year. The bank said it will also get shot of its consumer finance arm in Korea.

Chief executive officer Michael Corbat said: "I am committed to simplifying our company and allocating our finite resources to where we can generate the best returns for our shareholders."

"While we have made progress optimising these 11 consumer markets, we believe our global consumer bank will achieve stronger performance by focusing on those countries where our scale and network provide a competitive advantage."

Citigroup co-president, Manuel Medina-Mora, added: "Today's actions are the next step in the execution of our strategy to build an urban-based, globally integrated consumer bank. Since 2009, the Global Consumer Bank has become more streamlined, efficient and profitable.

"Focusing our presence in 100 cities across both the U.S. and top emerging markets where we have the greatest scale and growth potential positions us to win."

Once the sales are completed, Citigroup will still have a consumer banking footprint that would make up 95% of its existing revenue base – some 57 million clients.