Citigroup winds down operations in Russia. Expects losses up to $5 billion

The American investment bank Citigroup is reducing its presence in the Russian Federation and will not take on new clients. This was reported by Reuters with reference to the bank's statement.



Citigroup owns $10 billion of assets in Russia, more than any other US bank in the country. Citigroup has previously warned that it could lose up to half of that amount after exiting the market. 

On Monday, Citigroup declined to comment on the financial implications of the decision to cut operations in Russia. 

Citigroup planned to exit the consumer business in Russia even before Moscow's military invasion of Ukraine. The company said last week that it was restricting this line of business and was sticking to a plan to sell the franchise. 

"Now we have decided to expand the scope of this exit process to include other lines of business, and continue to reduce our remaining operations and risks," Edward Skyler, Citigroup's executive vice president of international affairs, was quoted as saying. 

According to Reuters, the bank will divest its institutional and asset management clients in Russia. 

Citigroup's full exit from Russia will take some time to complete its current banking and financial operations. 

Citigroup's action follows similar decisions by investment banks JPMorgan Chase and Goldman Sachs Group, which last week said they were curtailing their operations in Russia and not starting new business there. European lenders such as Deutsche Bank have taken similar steps.  

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