Jakarta. Citi Indonesia reported a sharp improvement in profitability for 2024 following the sale of its consumer banking business to UOB Indonesia. The lender posted a net profit of Rp2.6 trillion ($154.4 million), largely due to a substantial drop in operating expenses.

The bank’s cost-to-income ratio (CIR) improved to 40.4 percent from 65.7 percent in 2023, reflecting a more streamlined operation after the consumer business divestment.

“While 2023 and 2024 aren’t directly comparable due to the consumer portfolio sale, the results show we made the right call,” said CEO Batara Sianturi during a press briefing in Jakarta on Thursday. “We’re generating more value from leaner capital deployment. This gives us better returns and positions us for long-term growth.”

Profitability metrics also improved, with return on assets rising to 3.7 percent from 3.3 percent and return on equity reaching 13.7 percent. The bank’s capital adequacy ratio (CAR) strengthened to 40.5 percent from 37.9 percent, while liquidity coverage and net stable funding ratios stood at 333.8 percent and 166.3 percent respectively, well above regulatory minimums.

Despite global market volatility and geopolitical risks, Batara said Citi remains cautious but optimistic, focusing on adaptability in a shifting regulatory landscape. “We continue to monitor risks, innovate, and support our clients in navigating a complex market,” he said.

Citi Indonesia also played a major part in financing deals over the past year. The bank served as sole coordinating bank in a syndicated revolving credit facility worth US$200 million and Rp7.5 trillion for Charoen Pokphand Indonesia. It also acted as mandated lead arranger in a US$800 million social loan for Bank Rakyat Indonesia (BRI), part of a broader US$1 billion term loan facility.

Looking ahead, Citi Indonesia plans to remain prudent in its lending strategy while capitalizing on corporate banking and institutional client services, its core strengths post-consumer business divestment.

“We’re focused on areas where we can grow sustainably,” Batara said. “Credit expansion will be carefully managed amid global uncertainties.”