London: Citi’s Treasury and Trade Solutions (TTS) division today announced that it has expanded its global Earnings Credit Rate (ECR) product offering to Western Europe. The ECR product offering allows Citi clients to earn credit in respect of implied interest on their positive cash balances held with Citi in London to offset their transaction banking fees otherwise payable to Citi in both Western Europe and U.S.
Citi Treasury and Trade Solutions has been offering an ECR product in North America for many years, providing clients with accounts with Citi in the U.S. to offset transaction banking fees payable to Citi in the U.S.. The new ECR product offering will now allow clients with accounts in both regions to take advantage of the product offering.
Consistent with the North America ECR offering, Citi clients with accounts in London will continue to be able to earn a competitive rate of return on positive cash balances while having full access to daily liquidity.
Rajesh Mehta, EMEA Head of Citi’s Treasury and Trade solutions said: “Every year, Citi invests hundreds of millions of dollars in technology to deliver new and enhanced cash management services to clients. Expanding our global ECR offering to include London, the largest global liquidity hub, and Western Europe enables us to continue to operate as our clients’ strategic partner, providing new global and improved transaction services”.
This new offering from Citi’s TTS business is an integral part of its continued investment into new product innovation that supports its clients as they aim to optimize the value of their liquidity and reduce their expenses for banking services.
Michael Berkowitz, North America Head of Liquidity Management Services within the TTS business at Citi added: “ECR has been a very popular deposit option for our US clients, particularly during the low interest rate environment of the past six years. Our expansion of the offering to London with new currency options, provides our clients with valuable alternatives for managing their short-term liquidity across the US and Western Europe.”
Amit Agarwal, EMEA Head of Liquidity Management Services, comments: “Citi has an extensive offering of liquidity management services in EMEA, supporting some of the most complex and global organizations. The expansion of our global ECR offering into London and Western Europe will benefit our U.S. and European multinational clients and emerging market clients who continue to expand into Western Europe allowing them to enhance the value of their liquidity and to optimize their transaction services costs”.
