NEW YORK – Citigroup Inc said on Wednesday it is operating its Russian consumer business on a more limited basis following the country’s invasion of Ukraine, while sticking with its previous plans to divest the franchise.
In a post on a Citigroup site the bank also said it is supporting its corporate clients in Russia as they suspend and unwind their business there.
“With the Russian economy in the process of being disconnected from the global financial system as a consequence of the invasion, we continue to assess our operations in the country,” Edward Skyler, executive vice president for global affairs wrote in the post.
Citigroup has said it has almost $10 billion of total exposure in Russia. Its chief financial officer said last week that in a “severe stress scenario” its loss might be half that.
Citigroup announced nearly a year ago that it intended to exit its consumer banking business in Russia. Analysts say it may not be able to sell the business in light of U.S. sanctions and could be forced to wind it down.
Citigroup said its clients include American and European multi-national corporations.
Moscow has called its action in Ukraine a “special operation.”
(Reporting by David Henry in New York; Editing by Chris Reese)
