Citigroup, Inc. has introduced a new digital solution called Citi Digital Bill (CDB) to make the bill discounting process more efficient. This digital platform eliminates the need for physical documents, couriers, and manual handling of paper. It aims to provide sellers with a faster and more transparent receivables management process, reducing the time to monetize receivables from a week to less than an hour.
CDB, which is accessible through CitiDirect, allows for digital signing, endorsement, and financing of receivables, replacing the traditional Bills of Exchange. This innovation helps in reducing delays and manual processes, speeding up receivables monetization, and improving transaction transparency for all parties involved. Buyers can benefit from real-time visibility into invoice approvals and access to digital bills, enhancing transaction tracking and management.
The solution also facilitates connections between buyers and key banks for efficient risk matching and smoother transactions. Currently available to clients in the U.S., U.K., and Ireland, CDB is expected to expand to more countries by 2024, pending approvals.
Sanjeev Ganjoo, Global Head of Trade Receivable Finance at Citi Services, described the launch of Citi Digital Bill as a significant advancement in trade finance, moving away from traditional paper-based practices towards digital solutions. He emphasized the company’s commitment to leveraging technology to enhance trade finance solutions and provide clients with increased speed and transparency.
In addition to the introduction of Citi Digital Bill, Citigroup reported positive third-quarter results, with revenue growing by 1% year-over-year to $20.32 billion, surpassing estimates. Earnings per share (EPS) stood at $1.51, exceeding the expected consensus of $1.31.
Investors interested in gaining exposure to Citigroup stock can consider options like the First Trust Nasdaq Bank ETF FTXO and Investment Managers Series Trust III FPA Global Equity ETF FPAG.
As of the latest check on Monday, Citi’s shares were up by 0.63% at $62.15 premarket. The company’s ongoing efforts to innovate in the digital space and its positive financial performance indicate a promising outlook for the future. With the introduction of Citi Digital Bill and its expansion plans, Citigroup is poised to continue enhancing its services and creating value for its clients globally.
