Citigroup Moves to Finalize Exit from Russia, Forecasting $1.1 Billion Loss

Citigroup announced on Monday that its board has approved a plan to divest the remaining business operations it holds in Russia, with the banking institution anticipating a loss of $1.1 billion related to the transaction.

The U.S. bank stated that it aims to finalize the sale in the first half of 2026, subject to regulatory approvals.

In a filing with the U.S. Securities and Exchange Commission, Citigroup indicated that it would categorize its residual business in Russia as ‘held for sale’ starting from the fourth quarter of 2025.

This decision is expected to lead to an after-tax loss being recorded in the current financial quarter, according to the bank’s filing.

The operations that remain under Citigroup will be transferred to Renaissance Capital, a Moscow-based investment bank.

Last month, President Vladimir Putin granted authorization for Renaissance Capital to acquire Citibank’s Russian operations, as reported by Reuters.

Since the onset of the full-scale invasion of Ukraine, Russia has instituted stringent exit regulations for foreign enterprises, imposing significant asset sales, mandatory «exit taxes,» and requiring government approval, making the withdrawal process for companies notably challenging and expensive.

Reporting by AFP contributed to this article.