Citi China officially launched its first lending company. Hubei Jingzhou Gongan Citi Lending Co., Ltd. (Citi Credit) is located in Gongan of Hubei Province. A ceremony was held to mark the opening, attended by senior members of the local government, representatives from the China Banking Regulatory Commission, and Andrew Au, Chairman of Citibank (China) Co., Ltd. and CEO of Citi China.
The new company is the first established by an international bank in China using the lending company model, in recognition that access to credit is the most urgently needed service requirement in less developed areas of China. Citi Credit will focus on offering secured and unsecured loans to the underserved segments of the local population, and supporting local economic development by making credit more accessible. The new lending company has registered capital of RMB 17 million.
We understand the importance of increasing the efficiency and availability of financial services in Chinas rural economy, and believe this lending company represents an excellent opportunity to utilize Citi Chinas global experience and expertise to contribute towards this effort, says Andrew Au. China remains one of Citis most important markets globally and we will continue to grow in all areas of our business here over time.
Todays launch of Citi Credit gives the residents of Gongan a new financing option, one which we hope will support their financial needs and business goals, says Anand Selva, executive vice president, Citibank (China) Co. Ltd.. We look forward to opening additional lending companies in future, and in doing so, we intend to ensure that Citi Credit becomes a sustainable and profitable element of Citis overall operations in China.
The new lending company is located at 86 Chanling Boulevard, Gong’an County, Jingzhou, Hubei Province. Citi expects to open a second lending company in Chibi of Hubei Province in the first quarter of 2009.
D.C.