Citi India is banking on a large pipeline of equity listings, surging deals through cross-border mergers and acquisitions and providing financing solutions to corporate customers to expand its business, chief executive officer (CEO) K Balasubramanian said in an interview.
“The Indian IPO market is also booming. It has been like this for the last 18 plus months,” said Balasubramanian, who took over the role in April. “If you look at any newspaper, the first 10 pages are all IPO advertisements.”
Local listings crossed ₹1.77 trillion this year, surpassing last year's high of ₹1.73 trillion, according to data compiled by Bloomberg.
Citi can offer what local companies are unable to, Balasubramanian said.
“We can actually help them put foreign currency money into their wallets or we can help them tap the international market for bonds. We could also help them to take money from the equity market, both as pure equity as well as convertibles,” he said.
Following the sale of its consumer business in 2023, Citi is banking on companies to drive growth in India. Two years after the completion of the sale of its consumer banking business in India to private lender Axis Bank for ₹11,603 crore in March 2023, Citi seems to have more than made up for the loss of its retail business.
“Our top line today is 30% more than the combined income of consumer and corporate put together,” said Balasubramanian, who also heads the Indian subcontinent, which includes Bangladesh and Sri Lanka. “We have not only done well but we have even done better than when we had the retail with us.”
Revenue growth
Citi India reported a net profit of ₹6,193 crore on the back of ₹22,173 crore in revenue in 2024-25. While the profit in FY25 was lower than in the previous year, it is about 51% higher than in FY22, the last year with the consumer business under its fold. Revenue has grown both since FY22 and between FY24 and FY25.
The CEO’s tenure started at a pivotal time. India has consistently clocked strong economic growth, with the domestic consumption-driven economy somewhat acting as a buffer. Bankers are also seeing green shoots of revival in private capital expenditure after years of bulky infrastructure investments by the government. With Citi banking on the corporate portfolio, Balasubramanian could shape the lender’s new identity in India.
Balasubramanian, or Bala as he is known in Citi and banking circles, has been with the New York-based lender for almost 26 years. Former Citi executives said the new CEO has what it takes to drive Citi’s growth in India and the more time a chief executive spends in the role, the better it is. According to Pramit Jhaveri, the bank’s chief in India from 2010 to 2019, longer CEO tenures make more sense for foreign banks—unlike the shorter stints that were previously the norm.
“As India's economy grows, the opportunity for institutions like Citi becomes more attractive. In such markets, experience matters. You need someone who has been around and understands how to navigate local nuances and challenges,” said Jhaveri, now on multiple company boards.
Balasubramanian is also looking forward to tapping outbound deals and expects more cross-border activity by Indian conglomerates, especially from those looking to acquire assets in the US and Europe.
European assets
There have already been certain instances in the past 15 months. Vehicle maker Tata Motors Ltd, part of the salt-to-software conglomerate Tata Group, will acquire Italian truck and bus maker Iveco for $4.36 billion. Bharti Global, the international investment arm of Bharti Enterprises, completed the acquisition of a 24.5% stake in British Telecom in November last year.
“There are several other smaller companies and there are multiple similar situations that we are involved with. The assets in the European markets are today depressed in terms of valuation and therefore there is always an opportunity for people to go and buy,” said Balasubramanian.
He said local companies are increasingly looking at buying assets to get access to either technology or the markets.
“I think that is going to be a continuing trend and industries like IT, autos, some on the industrial side and pharmaceuticals will all see some inorganic activities over the next few years,” he said.
A total of 280 M&A deals were recorded in Q3 of 2025, with domestic transactions comprising 203 deals, according to data from EY. Of these, there were 41 outbound deals and 36 inbound.
“This distribution highlights a strong domestic consolidation trend accompanied by active cross-border deals in both directions, underscoring a balanced and resilient deal-making environment,” EY said in a note from 28 November.
Experts see a silver lining in Citi India’s focus on corporate activity.
India’s loan growth has been, for several years, fuelled by an insatiable demand for retail credit. Most of that growth was on account of banks and non-bank financiers falling over each other to grant loans that are not backed by collateral and are impossible to recover once soured. Multiple warnings and regulations by the Reserve Bank of India made it more expensive to give such loans and have managed to rein in this over-enthusiasm.
Capacity expansion
“With the economic growth and the ensuing higher capacity utilization, corporates will look at expansion and that presents an opportunity for Citi,” said Ashvin Parekh, managing partner of Ashvin Parekh Advisory Services LLP.
Parekh said the reduction in the goods and services tax has boosted consumer demand, be it in FMCG, vehicles or consumer durables.
“When corporates expand capacities, they have an option to go to the markets to raise their funds, but in order to leverage their balance sheets they will continue depending on the banking system. In that backdrop, a foreign banker such as Citibank will stand to gain,” said Parekh.
The Wall Street bank’s India branch had a loan book of ₹72,260 crore as on 31 March, 6% higher than in the previous year. The bank had a capital adequacy ratio of 20.38% in FY25, as against 19.61% in the previous financial year.