Citigroup Wins Chinese Regulatory Approval for Wholly Owned Securities Business After Nearly Five Years

Citigroup has received approval from Chinese regulators to establish a wholly owned securities company in mainland China, capping a nearly five-year effort that began with the bank's application in December 2021. The approval, granted by China's securities regulator, allows Citi to operate an onshore brokerage and capital markets business without a local joint-venture partner, a structure that gives the firm far greater control over its China franchise.

The clearance ends a protracted process marked by regulatory friction in both Washington and Beijing and positions Citi to compete directly in China's domestic capital markets rather than relying primarily on its offshore China operations. The bank had previously exited consumer banking across much of Asia, making the onshore securities foothold a central pillar of its remaining growth ambitions in the region.

With the licence in hand, Citi is expected to begin recruiting several dozen employees for the new business in the coming months, building out a local team to serve institutional clients in one of the world's largest financial markets.