Citi reported investment banking revenues of $514 million in the Asia-Pacific region in 2025, marking a 33% increase from 2024 and its strongest regional performance in more than a decade.
Growth was led primarily by merger and acquisition activity, complemented by solid momentum in equity capital markets, with Citi’s Asian clients raising more than $250 billion globally.
Looking ahead to 2026, Citi expects further expansion in the region, driven by cross-border M&A involving China, India and GCC-to-Asia transactions, sector opportunities in healthcare, technology, media and telecommunications, and increasing demand for AI-related financing.
The report also noted that sponsor-led deals and the expansion of private credit are expected to be key growth engines in Asia-Pacific next year.
Continued deal activity in Japan and Australia, alongside transactions driven by multinational companies, is likely to remain a core contributor to growth.
Convertible bonds are expected to stay in favour as companies take advantage of attractive financing conditions.
Hong Kong’s market recovery is also forecast to continue, with another strong year for equity capital markets activity anticipated.
In Southeast Asia, equity capital markets activity is projected to increase, with potential upside surprises in both domestic and cross-border deal flow.
“The investment banking pipeline across the region is one of the strongest I have seen on record. Activity is robust across the board, but M&A in particular stands out,” said Jan Metzger, Citi’s Co-Head of Investment Banking for Japan, Asia North and Australia, and Asia South.
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