Nearshore Americas

Citigroup Investing $1 Billion in Banamex, Rebranding as Citibanamex

The American financial services company Citigroup has unveiled plans to invest US$1 billion in its Mexican business Banamex, and is re-branding as Citibanamex.
With this new investment, Citi will equip its branches with smart banking technology and expand operations in major Mexican cities, including Guadalajara, Monterrey, and Mexico City.
This is Citi’s second large-scale investment proposal for Mexico after announcing a modernization program costing more than US$1.5 billion in September 2014.
“Our goal is nothing less than to create a state-of-the-art bank in Mexico, fully focused on delivering a richer, smarter, more intuitive experience to everyone who does business with us,” said Michael Corbat, CEO of Citigroup.
The upgrading of technology platforms and the development of solutions for key customer segments, in addition to the installation of hundreds of ATMs across the country, are the major initiatives on Citigroup’s agenda.
To begin with, Citi will optimize its payments infrastructure and process automation in order to enhance the virtual banking experience for its Mexican customers.
The announcement follows the company’s decision to ramp down in other Latin American countries, including Brazil, Colombia, and Argentina. As recently as last week, Citi sold its consumer banking business in Argentina to Banco Santander Rio and the Brazilian consumer business to Itaú Unibanco.
With 1,500 branches and more than 20 million customers, Citigroup is the second largest bank in Mexico. It claims to be handling approximately 17.5 million transactions daily, and maintaining more than 7,500 ATMs and 5.7 million credit card accounts.

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Narayan Ammachchi

News Editor for Nearshore Americas, Narayan Ammachchi is a career journalist with a decade of experience in politics and international business. He works out of his base in the Indian Silicon City of Bangalore.

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