Citigroup to Ease Banking for Mexicans

Citigroup Inc., the No. 1 U.S. financial services firm, said Monday that it will ease the way for Mexican immigrants to open bank accounts, a step that could help them send billions of dollars back to Mexico every year.

The move comes as the U.S. government increases efforts to monitor cross-border financial activity after the Sept. 11 attacks.

The plans will help Citibank, Citigroup’s consumer finance unit, gain access to the almost $8.9 billion wired across the Mexico-United States border and allow it to market other simple banking products to communities long left out of the banking loop, said Robert Lacoursiere, Latin American banking analyst at Lehman Bros.

“This speaks volumes about how Citibank is trying to tailor itself to the Mexican market,” he said.

Citigroup, which last year acquired Mexico’s leading bank, Grupo Financiero Banamex Accival, for $12.5 billion, said the plan was a way to tap the Latino market in the United States.

Citigroup has a long history in Latin America.

“We want to deepen our relationship with the Hispanic community and look forward to providing a wide range of financial services to this vibrant and growing sector of the U.S. population,” said Maura Markus, president of Citibank North America.

Citibank’s initiative will allow Mexican immigrants with identification cards from Mexico’s 44 consulates in the U.S. to open an account at Citibank’s 445 financial centers around the country.

Mexican government officials welcomed the deal, saying it will help its citizens gain access to the financial system.

Shares of Citigroup fell 14 cents to $49.55 on the New York Stock Exchange.