Austrian banking group Raiffeisen, one among Russia’s final main Western lenders, on Thursday stated it was contemplating a “sale or spin-off” of its subsidiary within the nation.
The RBI Group, which owns the financial institution, has been underneath scrutiny over its hyperlinks to Russia since Moscow invaded Ukraine in February final yr.
Ukrainian President Volodymyr Zelenskyy has singled out Raiffeisenbank for criticism, whereas the U.S. Treasury Department’s Office of Foreign Assets Control requested details about its business in Russia in January.
The RBI Group on Thursday stated it was wanting into “potential transactions which would result in the sale or spin-off of Raiffeisenbank Russia and deconsolidation of Raiffeisenbank Russia from the RBI Group.”
It added that it was “committing to further reducing business activity in Russia.”
The financial institution warned the choice would result in “a decline in the income generated by Raiffeisenbank Russia” and impression RBI’s clients.
“The RBI Group and its stakeholders are in an unprecedented situation, and we recognize the urgency for action which the war has created,” the financial institution stated.
Raiffeisenbank will keep some banking operations in Russia, the place it employs greater than 9,000 folks, “to meet the conditions of its banking license and support customers.”
Source: www.dailysabah.com
