Michael Corbat, the chief executive of Citigroup, is set to retire from the US banking giant after 37 years and will be replaced by consumer banking boss Jane Fraser, making it the first major Wall Street bank to have a female leader.

Corbat will step down from the board of directors from September next year, according to a statement from the bank, marking the end of his eight-year tenure at the helm of one of the biggest lenders in the world.