Citi to cease operations in Haiti after 50 years

(Reuters) -Citigroup will wind up its operations in Haiti due to weak demand from institutional clients and lower international banking activity, ending its presence of more than five decades in the country.

The exit is part of a strategic review and will not have a significant economic impact on Citi, the bank said on Monday.

Citi, one of the largest banks in the United States, has exited non-core markets since CEO Jane Fraser took the helm in 2021.

To catch up to peers whose profitability has outpaced Citi’s, the bank overhauled its operations and sharpened focus on businesses that offer the best returns.

The bank is also exiting its consumer unit in Mexico, which is set for an initial public offering in 2025.

Citi will voluntarily surrender its banking license with the approval of Banque de la République d’Haiti — Haiti’s central bank. International banking and correspondent banking services, however, will continue for existing clients, Citi said.

It did not disclose how many employees would be dismissed as part of the move, but said it remained committed to Latin America.

Citi did not immediately respond to Reuters’ requests seeking additional comment.

(Reporting by Niket Nishant in Bengaluru; Editing by Shilpi Majumdar)