The Reserve Bank of India (RBI) is the supreme monetary authority
responsible for controlling the banking system in the country.
According to the Reserve Bank of India Act, 1934, banks in India are
classified into scheduled and non-scheduled banks. At present, there
are 170 scheduled commercial banks in the country, which includes 91
regional rural banks, 19 nationalized banks, 8 banks in State Bank
of India group and the Industrial Development Bank of India Limited.
Besides, there are only four non-scheduled commercial banks in the
country. The Indian banking sector is divided into four categories,
with the largest market share held by banks in the public sector.
Citi operates 42 full-service Citibank branches in 30 cities and
over 700 ATMs across the country.
The Reserve Bank of India (RBI)
is the central bank of India whose primary function is to manage and
govern the financial system of the country. It is a statutory body
established in the year 1935 under the Reserve Bank of India Act,
1934. The central bank regulates the issue and supply of the Indian
rupee. It also looks after the central government’s money. The
central bank plays the role of the bankers’ bank and regulates the
banking sector. It also plays an important role in India’s
development story by supporting the government in its developmental
projects and policies.
The head office of the RBI, in Kolkata when the bank was
established, was shifted to Mumbai in 1937. Originally, the bank was
privately owned. However, after Independence, it was nationalised in
1949 and is now fully owned by the Government of India.
Citi in India
*Citi began operations in India over a century ago in 1902 in
* Citi is the largest foreign direct investor in financial services
in India with a total capital commitment of approximately US$4
billion in its onshore banking and financial services business and
its principal and alternate investment programs
* As promoter-shareholder, Citi has played a leading role in
establishing important market intermediaries such as depositories,
credit bureau, clearing and payment institutions
* Citi operates 42 full-service Citibank branches in 30 cities and
over 700 ATMs across the country
* Citi is an employer of choice to about 7000 people
* Citi is the preferred banker to more than 40,000 small and
mid-sized companies across India
* Citi helped lay the foundation of the Indian software industry by
establishing Citicorp Overseas Software Limited and Iflex Solutions
Limited. Citi pioneered the ITES industry in financial services
through Citigroup Global Services Limited (CGSL).
Head Office Address
Citibank, N.A. Citigroup Centre 6th Floor Bandra Kurla Complex
Mumbai 400051 India
Key People Citi India
Pramit Jhaveri – Citi Country Officer
Anand Selvakesari – Country Business Manager, Global Consumer Group
Ravi Kapoor – Head Global Banking
Abhijit Sen – Country Finance Officer
Sudeep Yadav – Head Citi Transaction Services
Piyush Agrawal – Chief Risk Officer
Pankaj Baishya – Country Treasurer
Link to access Bios of Citi India Seniors:
Citigroup to Expand Credit-Card Business in India
By Nupur Acharya
May 25, 2012 9:22 am ET
MUMBAI— Citigroup Inc. C -1.73% is planning to expand its Indian
consumer-banking operations by ramping up its credit-card business
and adding one million new customers from the urban middle class
over the next two to three years.
The plans are a sharp change for New York-based Citigroup, which
along with several other foreign lenders was burned by bad debt not
too long ago as the global economic crisis led many customers to
default on credit-card and personal loan payments.
But the environment has become better, with new credit bureaus
providing detailed information about borrowers—which is critical for
assessing risk profiles of customers.
"Though there are uncertainties, the trends are pointing toward
potential opportunities, and we are focused on the right target
segments," Anand Selvakesari, who heads Citibank's India consumer
banking business, told Dow Jones Newswires in a recent interview.
He added that Citi India expects the unsecured credit-card and
personal loan segment to swell by 25% to 30% in this financial year
through March 2013, and the mortgage lending business to grow 15% to
The consumer business contributed 41% to Citi India's total revenue
of 82.16 billion rupees ($1.48 billion) in the year ended March 31,
"We are now clear about the opportunity and the trends in the market
and we want to be ahead of the curve on these trends," Mr.
Citi's bullishness runs contrary to complaints from other foreign
companies, which say that India's slowing economic growth, a lack of
new government initiatives and recent regulations have tarnished the
country's appeal as an investment destination.
But the size of the market is difficult to ignore.
Spending through credit, debit and pre-paid cards in India grew at
28% between 2009 and 2011 to 1.5 trillion rupees.
About 60% of the total spending was through 17 million credit cards
while 33% came from 280 million debit cards, Mr. Selvakesari said.
Citi was among the most aggressive in the credit cards business in
India before the global slowdown struck in late 2008.
It was forced to shrink its business to 2.2 million cards by
February 2012 from 3.2 million in January 2008. It also mothballed
Citifinancial—its nonbank finance arm—which was once the face of
consumer finance for the U.S. banking company's India operations.
Citifinancial, which had a portfolio of 26 billion rupees at the end
of March, is only servicing existing customers. The bank has been
looking to sell the business, but it hasn't found any buyers yet.
Local private-sector lenders such as ICICI Bank Ltd. and HDFC Bank
Ltd. have been shying away from unsecured loans in the aftermath of
the 2008 crisis.
But a recent Mckinsey report estimates that India's personal
consumption, an indicator of consumer spending, is poised to nearly
double to 85 trillion rupees by 2015. The consulting company expects
the emerging affluent segment, with annual incomes of 300,000 rupees
to 1.5 million rupees, at about 20 million individuals.
It is from this segment that Citi plans to draw its one million new
customers from, making up a 5% to 6% market share.
Write to Nupur Acharya at firstname.lastname@example.org
Dead India bankers: