Citi for Cities Citi for Cities Jim Kelly Innovation Portfolio - PowerPoint PPT Presentation

Citi for Cities Citi for Cities Jim Kelly Innovation Portfolio Manager RDiL Dublin RDiL Dublin jim.kelly@citi.com Transforming Ireland Seminar #22 T f i I l d S i #22 November 4, 2010

Presentation Outline � Citi? Citi? � Why do Cities matter? Wh d Citi tt ? � How does Citi serve Cities today? H d Citi Citi t d ? � How will Citi serve Cities tomorrow? H ill Citi Citi t ? 2

Citigroup Citigroup Citicorp Citi Holdings I Institutional Clients tit ti l Cli t Asia Group Brokerage and Asset Transaction Services, Management Markets, Banking, , g, Private Bank and Capital Advisors Latam Local Consumer Finance (North America) NA Consumer, Global Special Asset Pool EMEA Consumer Strategy 3

GTS is in the business of intermediating flows Move over $3 trillion in financial flows, and facilitate more than 5 million transactions each day with connections to over 200 global clearing systems each day, with connections to over 200 global clearing systems ‘Operating System’ for Corporate clients � Service 99% of Fortune 100, 94% of the � Deliver processing and working capital efficiency S i 99% f F t 100 94% f th D li i d ki it l ffi i Fortune Global 500 via automation, centralization � 1,000+ leading local / regional corporate � Balance sheet solutions leveraging our cash & clients based in Emerging Markets trade capabilities Public Sector – Success Transfer � Service the governments of ~120 countries � Enable operating efficiencies and improved service service � Over 700 public sector clients globally: � Over 700 public sector clients globally: – ~400 Central Government entities � Provide greater visibility and control over financial – ~200 Local and Regional Governments flows – ~120 Central Banks, SWF’s ‘Citi Inside’ for Financial Institutions � Clients include: � Embedded banking infrastructure or platform provider – 400+ of top 500 banks – 200 of top 300 asset managers � Trusted advisor for market access, regulatory Trusted advisor for market access, regulatory – 50% of top hedge funds knowledge and technical skill – Top 10 insurance companies 4

We operate in 96 countries and serve clients in 140 � Proprietary network � Proprietary network with Direct Custody and Clearing (DCC) offering* Americas Europe Asia-Pacific � � � � Ireland Serbia � Argentina g Austria Australia � � � � Italy Slovakia � Bahamas Belgium Bangladesh � � � � Kazakhstan Spain � Bermuda Bulgaria Brunei � � � � Luxembourg Sweden � Brazil Czech Republic China � � � � Netherlands Switzerland � Canada Denmark Hong Kong � � � � Norway Turkey � Cayman Islands Finland India � � � � � � � � Poland Poland Ukraine Ukraine � � Chile Chile France France Indonesia Indonesia � � � � Portugal UK � Colombia Germany Japan � � � Romania � Costa Rica Greece Macau � � � Russia � Dominican Republic Hungary Malaysia � � Ecuador New Zealand � � El Salvador Philippines � � � � Guatemala G t l Singapore Si Middle East / Africa � � Haiti South Korea � � � � Algeria Lebanon Honduras Sri Lanka � � � � Bahrain Morocco Jamaica Taiwan � � � � Cameroon Nigeria Mexico Thailand � � � � Congo, D.R. Pakistan Panama Vietnam � � � Egypt Qatar Paraguay � � � Gabon Senegal Peru � � � Ghana South Africa Puerto Rico � � � Israel Tanzania Trinidad & Tobago � � � Ivory Coast Tunisia Uruguay � � � � Uganda g Jordan US US � � � U.A.E. Kenya Venezuela � � Zambia Kuwait The global network is key to GTS’ competitive advantage and ability to provide The global network is key to GTS competitive advantage and ability to provide GTS – Arteries of the Global Financial System GTS – Arteries of the Global Financial System holistic client solutions through a consistent and standardized global platform * Cyprus part of Direct Custody and Clearing network; however, there is no local GTS presence (Cyprus Stock Exchange accessed remotely from Greece) Note: Proprietary network defined as on-the-ground presence and local services which include representative offices and JVs with local banks 5

Citi For Cities 6 Ci i f Citi for Cities Cities Powering the cities g of the future, today. Delivering solutions that enhance public services, facilitate commerce and commerce and empower citizens living in the world’s g great cities.

Cities matter Currently, the world’s top The twenty-first century will be the age of the city, the urban age. The 30 cities generate 80% of world is no longer a network of countries - it is a network of cities. g the world’s wealth. h ld’ l h The Urban Age Technology is interconnecting economies, enabling the borderless pursuit of opportunity and advantage. Cities are the heart of our culture, the seat of our governments and home to the companies that power our economy. The complexity of 3.5bn 7.5bn cities require integrated yet dynamic solutions – rooted in cultural understanding -- that are relevant, realistic and reliable. understanding that are relevant realistic and reliable Citi – with its 200 years of history serving individuals, businesses, 2010 2050 World Population World Population financial institutions and governments across the globe – is at the heart of cities. For the first time in history more than 50% the earth’s population live in cities - by population live in cities by 2050 it will be 75% “150 metropolitan areas account for 30% of the world’s The Endless City GDP and that is our sweet spot.” - Vikram Pandit CEO Citi - Vikram Pandit, CEO, Citi 7

Cities are facing profound challenges What is driving change? ‘Old’ cities in the Fiscal Crunch Fiscal Crunch developed world Driving the search for cost and operating efficiency • Crippling pension obligations Population Growth • Budget deficits Driving the modernization and extension of public services and Driving the modernization and extension of public services and • Decentralized financial infrastructure processes; limited automation Labour and pension costs • Limited ability to cut costs Driving the quest for process centralization and automation Driving the quest for process centralization and automation • Supply chains at risk • Supply chains at risk Technology advances changing lifestyles ‘New’ cities in the Citizens are demanding greater empowerment and convenience developing world • Explosive population growth Explosive population growth & urban migration The competition for human capital • Rapid urbanization Providing the impetus to modernize and provide lifestyle and business • Need to establish or incentives to attract talent to key cities, and to promote a culture of modernize infrastructure innovation that is self-sustaining g • Quality of life • Entrepreneurship Private sector participation Public-private partnerships are key to driving progress and ensuring the transfer of competitive best practice to the public sector p p p Cities are the growth engines Cities are the growth engines Cities are the growth engines, Cities are the growth engines, however face profound challenges however face profound challenges 8

Citi serves Cities today We facilitate a city s We facilitate a city’s We enable a city s We enable a city’s commercial financial infrastructure infrastructure Enabling city treasurers to Increasing liquidity operate with greater Quality of injection and extending j g efficiency, visibility and y, y Life Life risk participation across control; providing creative government and funding solutions through business supply chains capital substitution Ease of Doing strategies Business Business We support a city’s We empower a city’s administrative infrastructure social infrastructure Helping the city achieve Integrating and consolidated efficiency, modernizing transit improving the bill payment ticketing and services experience, consolidating access, extending procurement processes, convenient banking, facilitating the efficient facilitating the efficient lending saving protection lending, saving, protection distribution of payroll & social and wealth management benefits services in key cities 9

Citi working with Cities today Solving urban challenges 10