Taoiseach announces that Citi is to base its €35 million investment in next generation eBanking platform at its Irish operation for Research, Development & Innovation
An Taoiseach Mr Brian Cowen TD today, 17 July 2008, announced that Citi, one of the world’s largest financial services companies, is to base its €35 million investment in next generation eBanking platform at its Dublin operation for Research, Development & Innovation (R, D & I). The investment, supported by IDA Ireland, will establish a new Centre of Technology Excellence (CTE) and will lead to the creation of 30 high calibre positions, such as project managers, technology architects, business analysts and software/hardware engineers. It is part of wider corporate investment by the company of more than €100 million globally in relation to this initiative.
Citi’s major presence in Dublin’s IFSC is a flagship company for financial services in Ireland and the company’s activities here make a significant contribution to the economy in terms of salaries, local services and corporation tax. Citi was the first global financial institution to establish an operations centre of significant scale in Ireland. At the heart of this latest investment is Citi’s intention to transform the existing eBanking model by creating a single electronic banking platform, shared between multiple banks with market-leading features and functionality emphasising security, intelligence, knowledge and collaboration. To achieve this ambitious goal, Citi will partner with global technology leaders and create next generation eBanking solutions.
Speaking from the company’s headquarters in New York today, the Taoiseach said, “Citi celebrated 40 years in Ireland in 2005, and today employs 2,200 people across its Irish operations. The company has been a pioneer of our financial services industry in Ireland and has made an outstanding contribution to the economy over the years. It is all the more pleasing that Ireland today can provide a platform for its most sophisticated and high level activities such as research, development and innovation in eBanking, which will not just further embed the company in Ireland but could, in due course, result in a highly innovative operating model for the banking industry globally.
" Citi Ireland is an excellent example of a financial services company in Ireland which has succeeded in replacing many lower-level roles with higher-value added positions. Its on-going enhancement of its Irish operation over the years has continuously moved it further up the value chain, which has enhanced its ability to secure new mandates from its parent group, such as this latest investment."
This investment is being undertaken by Citi in response to the pressures which the financial services industry is experiencing such as the increasing demands from customers for services supported by new technologies and access channels. This investment adds considerably to the level and significance of R, D & I activity currently taking place in Ireland in the financial services industry and will represent a very valuable flagship project and marketing reference for IDA Ireland in promoting the R, D & I concept to other leading global financial institutions.
Paul Galant, Chief Executive Officer of Global Transaction Services, Citi said “We are committed to investing in innovation to create next generation eBanking solutions for our clients. We will deliver shared infrastructure solutions by combining best-in-class banking and technology expertise utilising the Research, Development and Innovation capabilities we have developed in Ireland since 2005”.
Francesco Vanni d'Archirafi, Global Head of Treasury Trade Solutions and Chairman, Citibank Europe plc said “At the heart of this latest investment is our commitment to meet the increasing demands from customers for services supported by new technologies and access channels. I am very pleased to further develop our partnership with the Irish government to deliver next generation eBanking solutions for our clients”.
Aidan Brady, Citi Country Officer, Citi Ireland said “Today's announcement demonstrates our continuing ability to be a world class location for Citi delivering leading edge product development, operational excellence and best-in-class transaction services to our clients."
ENDS
Note for Editor
Citi
Citi, the leading global financial services company, has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, and wealth management. Citi's major brand names include Citibank, CitiFinancial, Primerica, Smith Barney, Banamex, and Nikko. Additional information may be found at www.citigroup.com or www.citi.com.
Global Transaction Services
Global Transaction Services, a division of Citi's Institutional Clients Group offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network spanning over 100 countries, Citi's Global Transaction Services supports over 65,000 clients. As of the 1st quarter of 08, it held on average $283 billion in liability balances and nearly $13 trillion in assets under custody.
Citi in Ireland
Citi celebrated 40 years in Ireland in 2005 and today, employs 2,200 people at its Irish operations, which are mainly located in Dublin’s International Financial Services Centre (IFSC) where more than 1,500 people are employed. Citi’s principal legal entity in Ireland, Citibank Europe Plc (“CEP”), generated profits before tax of €375 million for 2007.
Citibank was the first financial services group to undertake an R, D & I investment in Ireland. In 2005 it established Citigroup’s first international R, D & I Centre of Excellence in Dublin, with a total investment of €10 million, supported by IDA Ireland. This has evolved into a Corporate “branded” Research, Development, Innovation and Learning (RDiL) entity within Citi and has established Dublin as the company’s premier, globally recognised, innovation reference site.
Citi’s existing operations in Ireland
(1) Citi and its predecessors established a full service branch in 1965 providing corporate and commercial banking services.
(2) Service Centre (Dublin) – it was established in 1996 as a global processing centre to consolidate cash management and securities services operations from locations in the US and Europe.
(3) On May 2001, Citi established its own fully licensed bank in Ireland, Citibank Europe plc
(4) Regional Fund Administration (Waterford) - In 2006, Citi acquired the Bisys Group, an independent global third party fund administrator, which had existing operations in Dublin and Waterford. IDA had previously supported the establishment of the Waterford operation (as Bisys) in 2005.
(4) Wealth Management - Offers private banking/wealth management services to the Irish domestic market through Quilter, an independent group acquired by Citi in 2006.
For further information:
Citi Ireland
Tara O’Reilly, Public Affairs Officer, Tel: 087 827 8135, tara.oreilly@citi.com