Putin Greenlights Renaissance Capitals Acquisition of Citibanks Russian Branch

President Vladimir Putin has approved the acquisition of Citibank’s Russian subsidiary by local investment firm Renaissance Capital, as stated in a decree published on Wednesday. This move essentially marks the completion of Citigroup’s exit from Russia.

The Kremlin’s decree permits Renaissance Capital to acquire a full 100% stake in Citibank Russia from its parent company, Citigroup Netherlands B.V., without the need for any additional regulatory approvals.

Citigroup originally announced its intention to sell its Russian consumer operations in 2021 but decided to cease all activities following Russia’s full-scale invasion of Ukraine in 2022.

Since that time, Citibank has significantly diminished its operations in the country, halting debit card issuance, closing its last retail location in Moscow, and winding down its remaining functions this month.

Renaissance Capital, based in Moscow, is an investment bank and is among the few Russian financial institutions not currently facing Western sanctions. It was established in the 1990s and was under the control of billionaire and former presidential candidate Mikhail Prokhorov until 2024.

Renaissance Capital confirmed the deal to Reuters but mentioned that it had «no further details to share.» Citibank did not respond to inquiries for comment.

The decree did not specify the terms of the sale, and neither party provided additional details.

This decree was issued as part of special economic measures enacted following Russia’s invasion of Ukraine.

With Citibank’s departure, only a small number of Western banks remain active in Russia, including Austria’s Raiffeisen, Italy’s UniCredit, and Hungary’s OTP Bank.