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Citi Sees SEAsia as Target to Diversify Client Supply Chains: Report

NEW YORK, NY - DECEMBER 05: A 'Citi' sign is displayed outside Citigroup Center near Citibank headquarters in Manhattan on December 5, 2012 in New York City. Citigroup Inc. today announced it was laying off 11,000 workers, about 4 percent of its workforce, in a move to slash costs. (Photo by Mario Tama/Getty Images) (Mario Tama/Photographer: Mario Tama/Getty I)

(Bloomberg) -- Citi sees potential in Southeast Asia, where client activity at the bank is up double digits across its Asean trade corridors with other markets, the Business Times reported Thursday, citing Jason Rekate, co-head of corporate banking at the US bank.

The region, favored for its relative stability, geographic location and talent pool, has “become a really interesting target” and makes it a good region for businesses to diversify their supply chains, Rekate told BT in an interview.

Global tensions have raised the desire for multinationals to diversify, he added.

Indonesia is seen as a hot spot for metals, Malaysia is supportive of building industrial parks and Vietnam is known for its tech manufacturing, Rekate said, adding that he sees strong activity in the technology and automotive sectors where his clients are thinking more creatively about where to produce and manufacture.

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