Heaptalk, Jakarta — Citi announced its plan to expand social finance to over 10% by 2025 (02/13). The financing includes social trade loans, securitization, partnerships in co-financing with development institutions, term loans, revolving working capital facilities, and IPOs.
This move is in response to the growing demand from investors in this sector. “Our portfolio covers various markets, products, and sectors. We also see increasing demand from investors who want to invest in the social finance sector, and this sector is increasingly evolving into a significant asset class,” said Jorge Rubio Nava, Global Head of Social Finance at Citi.
In 2024, this bank led social finance transactions in Asia with over US$2 billion or around Rp32.7 trillion. The financing covers diverse sectors such as microfinance, food security, sustainable agricultural systems, healthcare, education, infrastructure and digital connectivity, and affordable housing for low- and underserved-income communities.
Jorge added, “We believe we can increase this achievement in 2025 to support our clients on the journey towards sustainable growth for the local economy.”
In 2024, Citi led 76 transactions across Asia. The company mobilized funds amounting to US$2.4 billion or around Rp39.2 trillion—more than 50% of the total bank transactions and more than 40% of the total financing, making Asia the largest region globally for the company in finance sector. These transactions included nine countries: Indonesia, China, Singapore, Malaysia, the Philippines, Vietnam, Thailand, and Bangladesh.
Social finance includes economic and financial inclusion, healthcare services, food security and sustainable agriculture, education, affordable housing, basic infrastructure, and digital connectivity. In Indonesia, Citibank N.A., Indonesia (Citi Indonesia) has carried out various social finance transactions, including a $100 million co-financing facility for Bank BTN in May 2022 to build 2,857 homes for low—and middle-income families.
