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Citibank credit card base expected to grow 15%

Citibank has seen large growth in their credit card base in the past few years and is expected to match the industry's projected expansion of 15% per annum in the next couple years.

Chief executive officer Piyush Gupta said that credit card circulation in Malaysia seems to be slowing down but is expected not to hit its plateau as credit card spending has accounted for 16% to 17% of total spending.

Hong Kong and Singapore have a much higher spending rate in the range 20% to 25% in which in which does show that the market in Malaysia still has a lot of potential growth, albeit a slower pace.

“While it is still growing fast, it is not as high as a year or two ago. I think in the next couple of years, you will see a 15% annual growth, which is not an unrealistic projection,” he told reporters after the launch of the bank's “Use Credit Wisely” programme yesterday.

Citibank currently has 1.3 million credit cardholders and is the leading credit card issuer with 20% market share of retail sales.

On the bank’s non-performing loan rate is less than half of the industry rate of 3.5%.


About the Author: For more information like this you can visit us at credit-wisdom , jetclient




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