Putin Approves Sale of Citigroup's Russian Operations to Renaissance Capital

Russian President Vladimir Putin has issued a presidential decree on Wednesday, officially authorizing the sale of Citigroup's operations in Russia to Renaissance Capital. This move concludes the American bank's presence in the Russian market, following its announcement to withdraw over two years ago.

Citigroup announced in August 2022 that it would cease its consumer and corporate banking operations in Russia in response to the Russian invasion of Ukraine, part of a broader trend of Western companies exiting the Russian market.

The presidential decree released today grants approval for the sale, although it does not disclose details regarding the financial terms or timeline for the transaction.

This decision ends a prolonged period of regulatory restrictions that Citigroup faced since its exit announcement, as it was subjected to stringent oversight by Russian authorities.

Renaissance Capital is recognized as one of Russia's leading financial institutions, engaged in investment and banking services, making it a suitable candidate for acquiring Citigroup's assets in the country.

This transaction reflects the Kremlin's strict management of foreign company withdrawals, as sales processes now require direct presidential approval amid rising geopolitical tensions and Western sanctions against Moscow.