The Wall Street lender is targeting senior-level additions in Japan, particularly in sectors such as technology, media and telecommunications, while also preparing for expansion in China pending final regulatory approval for its wholly owned securities business, Kaustubh Kulkarni, Citi’s Asia head of investment banking, said on Monday.

Despite geopolitical tensions, including disruptions linked to the Iran conflict, Citi is pressing ahead with regional growth plans as deal activity across Asia remains relatively resilient, driven by corporate restructuring, governance reforms and strategic acquisitions.

“Japanese companies are becoming a lot more creative and open for strategic conversations,” Kulkarni said, pointing to governance-driven changes in corporate structures and rising shareholder activism as key drivers of stronger client engagement.

He said the bank wants to close coverage gaps in Japan by hiring senior bankers who can provide the level of client access and leadership that local companies value, while improving coordination between domestic and international teams to win more cross-border M&A mandates and sponsor-related transactions.

Some emerging markets such as Indonesia and the Philippines, which are more sensitive to energy shocks, have seen slower initial public offering and capital markets activity, Kulkarni said. By contrast, deal momentum in Japan, South Korea and Taiwan has remained stronger because those markets are less directly exposed to such volatility.

Citi’s global investment banking fees rose 12% year-on-year in the first quarter, reflecting stronger advisory and capital markets activity across several regions.In China, the bank is awaiting final approval from regulators to operate its own securities unit, which would house its onshore investment banking business.

Kulkarni said the firm had already entered hiring mode for China, with a focus on bankers capable of covering “new-age” and high-growth companies, though he declined to provide details on specific appointments.

Hong Kong’s offshore equity capital markets have also shown a strong recovery, with more than HK$140 billion ($18 billion) raised through initial public offerings by late April, marking the strongest start to a year since 2021 and representing an increase of more than 400% from the same period a year earlier.

Citi is also considering a third senior hire in Australia to complete a broader regional buildout after appointing two senior bankers in healthcare and natural resources to strengthen leadership coverage in those sectors.

Kulkarni became Citi’s sole head of Asia investment banking after former co-head Jan Metzger left in March to join Standard Chartered.

The expansion signals Citi’s intention to reinforce its advisory franchise in Asia as competition intensifies among global banks for regional M&A and capital markets mandates, particularly in Japan and Greater China where corporate restructuring and cross-border transactions .