Russia’s largest lender, Sberbank, is leaving European market following stark sanctions. The bank said its subsidiaries are facing large cash outflows and even threats to the safety of its employees.
Sberbank saw a record annual net profit for 2021 of 1.25 trillion roubles ($12.40 billion). This was a 64% jump on yearly basis.
The unprecedented western sanctions aim to isolate Russia’s economy over President Putin’s invasion of Ukraine. The sanctions include the exclusion of some of Russian banks from the global payments system SWIFT.
The European Central Bank (ECB) had already ordered Sberbank’s European unit to close.
Sberbank has branches in many European counties including Austria, Croatia, Germany and Hungary. The bank’s Switzerland arm is not affected by the exit.
Moscow Exchange
The Moscow Exchange will not resume operations on Wednesday. The Russian markets operate pushed back the opening hours on Monday until it decided not to open at all.
Russia’s central bank has decided to keep stock market trading on the exchange suspended for a third day in a row. However, it confirmed that it will allow a limited range of operations.
