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Commercial banks

Citibank Expands Securities Services in Russia with New Service for MinFin Bonds

Strategic Insights

— 1 min read

Citibank's Moscow subsidiary, Citibank T/O, has introduced a safekeeping service for Russian Federation Ministry of Finance issued US dollar-denominated (MinFin) bonds, catering to the growing demand from international customers. The new service is expected to be complemented by equity custody services, further expanding Citibank's securities services product line in Russia. With a local team of around 70 staff members, including 62 Russian citizens, Citibank T/O is well-positioned to serve its international customer base in the rapidly developing Russian capital markets.

Key Takeaways:

  • Citibank T/O in Moscow has launched a safekeeping service for Russian MinFin bonds, responding to growing customer demand and market expansion.
  • The service will be provided in conjunction with Vneshtorgbank (VTB) as the agent for safekeeping and will offer full reporting and service capabilities in English.
  • Citibank's president in Russia, Miljenko Horvat, stated that the bank expects a corresponding expansion of both its securities services products and customer base as the market expands.
  • The bank aims to facilitate its customers' entry into the Russian MinFin bond market through its daily contact with the local market.
  • Citibank has a long history in Russia, dating back to January 1917 when it opened a branch in Petrograd, and has since re-established a presence in the country mid-1992.
  • Citibank T/O has a full banking license, permitting it to conduct business in the Russian Federation with both Russian and non-Russian customers, in both local and foreign currencies.
  • Russia is one of 95 countries where Citicorp operates branches or banking subsidiaries, and Citibank offers custody and related securities services in over 50 countries worldwide.

Statistics:

  • Citibank has approximately 70 staff members located in Moscow, with all but 8 being Russian citizens.
  • 62 out of 70 staff members at Citibank T/O in Moscow are Russian citizens.
  • Citibank operates branches or banking subsidiaries in 95 countries worldwide.
  • Citibank offers custody and related securities services in over 50 countries.
  • Citibank has a long history in Russia, dating back to 1917 and re-establishing its presence in 1992.

Sources:

  • Business Wire, "Citibank is pleased to announce the addition of a new securities service to its product offerings in Russia" (Dec. 12, 1994)
  • Business Wire, "Citicorp has established a presence in Moscow and a domestic subsidiary, Citibank T/O, has opened a Moscow office" (Nov. 1993)
  • Business Wire, "Citicorp operates branches or banking subsidiaries in 95 countries worldwide" (undated)

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