Raiffeisen Bank International to Exit Russian Market in the Third Quarter of 2024
In a recent conference call, the CEO of Raiffeisen Bank International (RBI), Johann Strobl, announced the company’s plan to exit the Russian market by the third quarter of 2024. This decision comes as a result of the bank’s strategic review of its operations and focus on its core markets.
RBI, one of the leading European banks, has been operating in Russia for over 15 years and has a significant presence in the country. However, due to the challenging and constantly evolving market conditions, the bank has decided to streamline its operations and focus on its key markets in Europe.
Strobl stated, «We have carefully evaluated our presence in the Russian market and have come to the conclusion that it is no longer aligned with our strategic goals. Therefore, we have made the difficult decision to exit the market and focus on our core markets where we can achieve sustainable growth and profitability.»
The decision to leave the Russian market is not a reflection of the bank’s performance in the country. In fact, RBI has been consistently profitable in Russia and has a strong customer base. However, the uncertain economic and political environment in the country has made it challenging for the bank to achieve its long-term objectives.
The exit process will begin in the third quarter of 2024 and is expected to be completed by the end of the year. This will allow RBI to ensure a smooth transition for its employees, customers, and business partners. The bank will also work closely with local regulators to ensure compliance with all necessary procedures and regulations.
RBI’s decision to exit the Russian market has received positive reactions from industry experts and analysts. Many believe that this move will allow the bank to focus its resources on its core markets and improve its overall performance. It also shows RBI’s commitment to creating long-term value for its shareholders.
The Russian market has been facing challenges in recent years, including economic sanctions and volatile oil prices. However, the country remains an important market for international businesses, and RBI’s exit does not diminish its potential. Other international banks, including Citigroup and Barclays, have also scaled back their operations in Russia in recent years.
RBI remains committed to supporting its customers and business partners during the transition period. The bank will continue to provide its full range of products and services until the exit process is completed. Customers can also rest assured that their deposits and investments will be fully protected.
In conclusion, RBI’s decision to exit the Russian market is a strategic move that will allow the bank to focus its resources and efforts on its core markets. It is a positive step towards achieving sustainable growth and improving its overall performance. The bank remains committed to its customers and business partners and will ensure a smooth transition during the exit process.
