Citigroup faulted by U.S. banking regulators for poor knowledge administration in ‘residing will’ evaluation

Citigroup wants to handle weaknesses in the way it manages monetary knowledge, in keeping with a evaluation of the largest banks’ so-called residing will plans, U.S. banking regulators stated Wednesday.  

Citigroup’s shortcomings might damage its skill to provide correct monetary experiences in occasions of duress, the Federal Reserve and the Federal Deposit Insurance coverage Company stated in a letter to the financial institution’s executives. The largest U.S. banks submitted plans final 12 months that element how they may very well be rapidly unwound within the occasion of a chapter.

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“Points concerning the Lined Firm’s knowledge governance program might adversely have an effect on the agency’s skill to provide well timed and correct knowledge and, particularly, might degrade the timeliness and accuracy of key metrics which are integral to execution of the agency’s decision technique,” the companies informed Citigroup in a letter dated Nov. 22.

Citigroup was the one financial institution among the many eight establishments reviewed that was discovered to have a shortcoming in its plan, the regulators famous.

In an announcement, New York-based Citigroup stated it was “utterly dedicated” to addressing the shortcoming present in its 2021 decision plan.

“As a part of the transformation Citi has embarked upon, we’re making vital investments in our knowledge integrity and knowledge administration, because the letter notes,” the financial institution stated. “We are going to leverage that work to remediate the shortcoming recognized in the present day, as we acknowledge there may be way more work to do.”

Shares of Citigroup slipped 0.75% in early buying and selling.

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