Citigroup is believed to be selling NikkoCiti Trust and Banking Corporation, one of its businesses in Japan, in its latest move to raise capital. Last month, Citigroup was forced to beg for emergency funds from Washington to bolster its balance sheet. It is thought that Citigroup will start an auction process for the Japanese clearing and settlement business today. The bank – which was once the world’s biggest – has been trying to cut costs significantly after the US Government agreed to take on as much as $249 billion (£162 billion ) in potential losses from its mortgage-backed securities. Citigroup still has significant business operations in Japan, including a retail bank, broking and investment-banking divisions.

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