The US banking behemoth Citigroup has got risky assets worth $306 billion -- a figure equivalent to over half the total assets, nearly six times of market value as well as annual revenue, or about 50-times of full-year net profit of all Indian banks together!
For instance, all the Indian banks taken together have a current market capitalization as well as full-year revenue of a little over $50 billion each.
Even the total assets of all the Indian banks, at about $580 billion, is estimated to be less than double the size of NRI Vikram Pandit-led Citi group's toxic assets.
If we consider only private banks in the country, their total assets, at about $150 billion, are only half the size of risky assets with Citi.
Besides, the total full-year net profit of all the Indian banks together, at about $6.5 billion, is just about two per cent of the toxic assets lying with Citi.
In one of the biggest rescue acts in the world's banking history, Citigroup on Monday said that it would get a $40-billion capital infusion as part of a pact reached with the US Government's Treasury Department -- the central bank Federal Reserve and Federal Depository Insurance Corp, the government agency that is often appointed as receiver for failed banks.
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