Citi is selling off the last of its Russian operations, with AO Citibank to be acquired by Renaissance Capital in the first half of the year subject to regulatory approvals.
The business was counted as “held for sale” in Citi’s Q4 2025 results, marking a US$1.2 billion pre-tax loss on sale. This includes expectation of an approximate US$1.6 billion loss related to currency translation adjustment losses, US$200 million benefit from future derecognition of the investment, and US$200 million in proceeds from the sale. Foreign currency movements may influence actual results.
“The overall divestiture of the remaining business operations is expected to provide a benefit to Citi’s CET1 Capital, primarily driven by the deconsolidation of associated risk-weighted assets,” Citi stated.
The majority of Citi’s institutional banking services in Russia had already ceased, with no new business opportunities being sought, and in Q2 2025 the bank’s legacy franchise consumer loan portfolio was wound down.
Ongoing sanctions cover 70% of assets in the Russian banking system, according to the European Commission. International banks including Societe Generale and BNP Paribas closed their Russian operation in 2022.
Other international banks remain operational in the country. UniCredit released a statement on the matter in June: “Contrary to certain public information, [UniCredit’s] presence in Russia is not in conflict with any international position.”
The Russian arm of the business is “fully ring fenced”, it added.
Raiffeisen Bank International remains active in Russia despite criticisms.
The European Central Bank has encouraged banks to leave Russia. Companies leaving Russia must pay a voluntary exit tax of 35% to the Russian budget, in installments, and sell their Russian assets at a 60% minimum discount.
