MasterCard Inc. said Monday that its president and chief operating officer, Ajay Banga, will take the reins as chief executive on July 1.

Longtime CEO Robert W. Selander will become an executive vice chairman and remain on the board until he retires at yearend, the Purchase, N.Y., company said. Selander became CEO in March 1997.

Before joining MasterCard last year, Banga worked 13 years at Citigroup Inc., his most recent position being CEO for the Asia Pacific region.

"We are fortunate to announce the transition to a leader with Ajay's expertise and experience," MasterCard Chairman Richard Haythornthwaite said in a press release. "His industry knowledge, as well as his deep background in financial services encompassing many geographies, makes him the ideal CEO to successfully drive MasterCard's future growth."

Banga has also worked at Nestle and Pepsico. He currently sits on the board of Kraft Foods Inc.

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