Due to a recent ruling by the Malaysian central bank, US lending giant Citibank has been freed to expand into the north of the country with the opening of a fourth branch.
The recent move by Bank Negara, Malaysia’s central bank, to allow locally incorporated foreign banks to set up four new branches in 2006 is gradually enabling Citibank to widen its footprint in Malaysia, the US bank said in a statement.
Following the ruling Citibank has set up its newest and fourth branch, at Bukit Tengah, Seberang Perai. The new branch reflects the lender’s long term plans to expand its Malaysian business.
We are excited to be in Bukit Tengah, said Piyush Gupta, CEO of Citibank Berhad. As a non-urban branch, we want to work and grow together with our existing and new customers in the area, especially the smaller and medium sized businesses that may be underexposed to efficient financial products and investment advisory services.
Mr Gupta said that Citibank expects SMEs to be the bank’s fastest growth segment in the next five years, contributing an estimated 20% to revenue, up from 5% currently.
With a staff of around 30, Citibank at Bukit Tengah will offer personal loans, mortgages, wealth management, and credit card services in addition to other products.