Business

Citigroup and Grab launch co-branded credit cards

HONG KONG : Citigroup has teamed up with Grab to launch co-branded credit cards, as it looks to boost its Asian customer base by about 13 per cent through partnerships with digital firms.

The new cards mark the latest step in Grab's big push into the financial services sector, an area it has earmarked for growth. For the US bank, it is in line with its strategy to offer its products within online ecosystems as consumers spend more time on smartphones.

The Citi-Grab co-branded cards was issued in the Philippines yesterday and will be available in Thailand later this year, before being rolled out in other South-east Asian markets.

"Today we have about 16 million customers in Asia, and our aspiration is to increase this by about two million in the next few years through partnerships alone," Citi's head of consumer banking for Asia-Pacific, Europe, the Middle East and Africa, Mr Gonzalo Luchetti said.

The bank's net income from Asia-Pacific was US$4.4 billion (S$6 billion) last year, with a third of its US$15.3 billion revenue coming from South-east Asia - where Grab is the leading ride-hailing firm. Grab has also been aggressively expanding into financial services.

"The Citi-Grab credit card is a natural next step as we create more value for our digital first, always in GrabPay users," said managing director of GrabPay Singapore, Malaysia and the Philippines, Ms Ooi Huey Tyng. - REUTERS

BUSINESS & FINANCE