Global Citizenship Report 2017

Access to Financial Products and Services The unbanked benefit from products that are designed to meet the needs of that population. For example, Citi’s Access Account — a simple, checkless bank account with low or no monthly fees and no overdraft fees — provides people with a straightforward way to save and manage their finances. It is one example of how smartly tailored solutions can serve once-overlooked markets, such as senior citizens, recent immigrants and low-income individuals. Citi branch employees have been trained on Access Account features and how to best communicate its value to potential customers. Representing 25 percent of all new checking account products, the Access Account is one of our fastest-growing consumer products. Banks also have to be prepared to meet people where they are. For example, studies show that low-income communities of color favor cash transactions, making ATM access and fees especially important. In 2016, Citi launched its ATM Community Network pilot program, giving clients of minority-owned banks and credit unions access to our wide network of ATMs. Last year, the program added seven additional credit unions and banks, expanding our reach to allow more than 400,000 clients of participating institutions to withdraw cash from Citi’s 2,400 national ATMs without surcharges. We expanded surcharge-free ATMs for our Citibank customers in several large metropolitan markets, including Chicago, Los Angeles, New York and more. In January 2017, we signed an agreement with Cardtronics, the world’s largest ATM owner/ operator, to make an additional 30,000 ATMs at certain retail locations available for use for free for our customers. The agreement nearly doubles the number of surcharge-free ATMs in our network, providing greater convenience and service to our customers across the economic spectrum. Mexico is one of Citi’s largest consumer markets outside of the U.S. Nearly half of the country’s citizens are unbanked, and Mexico’s President has made the issue a national priority through the National Financial Inclusion Strategy (NFIS). As part of our $1 billion investment in 2016, Citibanamex — our Mexican subsidiary and the country’s second-largest retail bank — is working to increase financial inclusion in the country. Our investment included funding to create a Financial Inclusion business unit focused on expanding access to safe and affordable financial services for unbanked citizens. Citibanamex Financial Inclusion builds upon our long track record of supporting microentrepreneurs and expands mobile banking tools and financial education resources. We are also working directly with the Mexican government to support the NFIS with private-sector resources and expertise. MICROINSURANCE FOR FINANCIAL SECURITY IN THE PHILIPPINES Financial security can be an elusive aspiration for low-income families around the world, with the potential for a single financial shock — illness, natural disaster, economic instability, death in the family — resulting in financial ruin. Financial services, including products like insurance, can be critical to weathering these shocks. However, more than 3.8 billion people lack access to insurance. Microinsurance, a safety net product for those unable to afford traditional insur- ance products, can help to provide this security. Since 2016, the Citi Foundation has supported RIMANSI, a microinsurance technical resource center established by leading microfinance institutions in the Philippines, to support community-based microinsurance associa- tions across the country with training and customized technical assistance services, to increase organizational capacity, increase membership and improve member retention. RIMANSI has provided assistance to micro- insurance mutual benefit associations with improving governance, including board and senior staff develop- ment, strategic planning and improving organizational structure. The organization has also worked to target new segments of the uninsured market and develop new products that improve the ability of providers to reach the underserved. Through these efforts, RIMANSI will provide access to greater financial stability to millions of households across the Philippines. WORLD’S BEST BANK FOR FINANCIAL INCLUSION Citi was awarded the 2017 Euromoney Magazine inaugural award for the “World’s Best Bank for Financial Inclusion,” acknowledging Citi’s pioneering partnerships with govern- ments, clients and microfinance institutions to build a more inclusive financial services industry. “Solving the challenge of the world’s unbanked is going to take investment, innovation, and an ability to bring together key players in payments, fintech and microfinance. No bank is quite as committed to that combination as Citi.” - Euromoney Magazine 106