Citigroup to retain Chinese, Indian assets

Ajay Banga, Citigroup’s chief executive in the Asia-Pacific region, said the bank would not sell its stakes in Chinese and Indian banks, the Financial Times reported.  Banga said Citi would even expand in the region, despite recent a US government "stress test" that revealed the bank required an additional US$5.5 billion in capital to guard against potential further losses. "Selling our stakes in Chinese banks does not make sense… How else would we gain access to the opportunities in an area such as the Pearl River Delta?" he said. Citi currently holds a 20% stake and has management control of Guangdong Development Bank. It also owns 3.75% of Shanghai Pudong Development Bank.