Ajaypal Singh Banga
Ajaypal Singh Saini Banga, Ajay serves as Chief Executive Officer and Chairman of the Board of Global Consumer Group-International at Citigroup Finance Canada Inc. Mr. Banga served as the Chief Executive Officer of Asia Pacific Region at Citigroup Inc. until June 2009 and Head of Alternative Investments for Asia Pacific Region since August 2008. Mr. Banga served as the Chief Executive Officer of Asia Pacific Region at Citibank Singapore Ltd., a subsidiary of Citigroup Inc. He served as the Chairman and Chief Executive Officer of Citigroup's Global Consumer Group-International from August 2005 to 2008. His responsibilities included all credit card, retail banking, and consumer finance operations in Asia, Japan, Europe/Middle East/Africa, Latin America and Mexico at Citigroup. He also served as the Head of International Consumer Business, New York of Citigroup until August 2008. Previously, Mr. Banga served as an Executive Vice President of Citigroup's Global Consumer Group and as the President of Citigroup's Retail Banking North America since 2002. Since 2002, he had additional responsibility for the servicing and technology of all the real estate businesses in the consumer bank. He was responsible for branch and commercial banking, commercial real estate, commercial financing and leasing, mortgages, student loans, and the Primerica Financial Services distribution channel. Since joining Citigroup in 1996, Mr. Banga served as the Business Head for CitiFinancial and the US Consumer Assets Division, from 2000 to 2002 and as Division Executive for the consumer bank in Central/Eastern Europe, Middle East, Africa and India from 1998 to 2000. Mr. Banga began his business career as a Management Trainee with Nestle in 1981. He spent the next 13 years in a variety of assignments spanning sales, marketing and general management. He later joined PepsiCo's Restaurants Division, where he was instrumental in the launch of Pizza Hut and KFC in India. He served as the Chairman and Chief Executive Officer of Foreign Consumer Business of Citigroup Inc. He served as a Co-Chairman of Global Consumer Group at Citigroup Inc., from August 2005 to 2008. Mr. Banga served as Vice-Chairman of the New York Hall of Science. He has been a Director of Kraft Foods Inc., since January 2007. He served as a Director of Foreign Consumer Business of Citigroup Inc. Mr. Banga named by The Economic Times of India as the fourth "Most Powerful Indian" in the world. He is a member of the Financial Services Roundtable. He serves as a Trustee of the National Urban League and the Asia Society. Mr. Banga is an alumnus of the Indian Institute of Management in Ahmedabad, India.
Board of Directors Membership
2007-Present
- Director, Chairman of Human Resources & Compensation Committee and Member of Nominating & Governance Committee
- Kraft Foods Inc.
2005-Present
- Former Chairman of Global Consumer Group - International,
- Chief Executive Officer of Asia Pacific Region,
- Head of Alternative Investments - Region, Member of Business Heads Committee and Member of Operating Committee
- Citigroup, Inc.
- Chairman of Global Consumer Group - International and Chief Executive Officer of Global Consumer Group - International
- Citigroup Finance Canada Inc.
1960 Birthplace: Khadki, Pune, India
Ajaypal Banga, Asia-Pacific CEO of crisis-ridden behemoth Citigroup, will get a package of about Rs 90 crore as the new second-in-command at payment services firm MasterCard--an offer that could be billed as the biggest package in the current state of the global economy.
Banga will join MasterCard as its new President and Chief Operating Officer on August 31 and could possibly become CEO of the global financial services giant within a year's time.
As per his employment contract with MasterCard, Banga will be paid around USD 2.15 million (about Rs 10 crore) in salary and other allowances every year and would also get a one time benefit totalling about USD 15.9 million (about Rs 80 crore) including a sign-on bonus of about USD 4.2 million.
The package, which includes over USD 11 million to be paid through stocks and remainder in cash, makes Banga the highest-paid banker after American Express CEO Kenneth Chenault and Citi chief Vikram Pandit as per the disclosed remuneration paid to the two in the year 2008.
For the year 2008, Chenault's total compensation amounted to USD 42.8 million, while Citi's Vikram Pandit received pay packet of USD 38.2 million.
However, the package for both Pandit and Chenault could come down in 2009, which could probably make Banga the highest paid banker. Pandit has already said he will only take a token salary of one dollar while the other components of his compensation package are also expected to go down.
Besides, the package given to Banga is by far largest to any executive hired by the financial services sector, currently in the midst of its biggest ever crisis. Banga would join MasterCard on August 31 and would report to Robert W Selander its Chief Executive Officer. At present Selander, also holds the position of President, which he would hand over to Banga on August 31.
The initial term of agreement for Banga would be till December 31, 2011 and the agreement provides for automatic one-year renewals.
After the completion of one year service at Mastercard, Banga would also be eligible to participate in the US Profit Sharing Program, which may result in an annual payment ranging from 0-10 per cent of his base salary subject to MasterCard's financial performance for the year.
Banga would be responsible for business operations including customer relationships globally and US markets, products, services, marketing, technology and operations.
The 49-year-old Banga had joined Citi in 1996 as the Head of Marketing and Sales in India. Prior to this, he was with Nestle India and PepsiCo.
Banga's departure is being seen as a major shock for Citi, whose CEO Vikram Pandit recently said that the company would focus on overseas markets for future growth.
He serves on the Board of Kraft Foods. He is also on the Board of Trustees of the Asia Society, has served as Vice Chairman of the Board of Trustees of New York Hall of Science and was a board member of National Urban League.
