CUP accepted by Citi Merchants
- In line with its strategic co-operation agreement initiated in 2005, Citibank generalises Chinese CUP merchant acceptance in seven Asian countries: Singapore, Malaysia, Thailand, Indonesia, The Philippines, Vietnam and India. CUP will also be accepted by all e-merchants acquired by Citibank.
- The Citi-CUP 2005 agreement plans a step by step deployment in 34 countries.
- In 2009, Citi withdrew from Europe: selling off its issuing wallets in credit (see below comments on Barclays and Egg). In 2008 already, the bank transferred the private brand T&E “Diners Club” to the American card scheme Discover. It has focused since on the more promising growth of Far Eastern markets.
- CIti does not share Visa’s positions, which now faces China with its card scheme CUP and reported the case to the WTO. Citi rather follows MasterCard’s co-operative strategy.
- This opportunistic partnership will prove hard to manage because Citi has to face a more powerful partner, particularly in e-commerce, a fast developing market.