Citigroup has announced that Ignasius Jonan will return to the bank. With immediate effect, Jonan will take on the newly created position of head of investment banking, returning to the bank after a five-year hiatus.

From CitigroupÆs Jakarta offices, Jonan will report directly to Mark Renton, the US bank's head of Asia-Pacific investment banking and to Peter Eliot, chief country officer in Indonesia.

Jonan heads over to Citi from PT Bahana Pembinaan Usaha Indonesia, one of the nationÆs top financial services companies. For this firm, Jonan served as president and CEO and was employed by the state-backed firm from 2001 to 2006.

Prior to this role, Jonan worked at Citigroup in Indonesia from 1999-2001 on its private equity side. Before beginning his first spell at Citigroup, he worked at Japan Asia Investments as a senior vice president.

JonanÆs return to Citigroup follows a very solid year for Citigroup in Indonesia. Earlier in 2006, the firm was sole lead on Indonesian shipper, Arpeni Pratama Ocean LineÆs (APOL) hugely oversubscribed $160 million high yield bond deal. Last month, the firm scored another Indonesia high-yield mandate, named as sole bookrunner and joint lead on the proposed deal for Noble Finance.

His appointment to the role of Indonesia investment banking head follows the April appointment of Tengku Zafrul Aziz as head of investment banking for Malaysia.