SHARE
COPY LINK

UKRAINE

French bank Société Générale to exit Russia

French banking group Société Générale has said it is ceasing its activities in Russia and selling its majority stake in Rosbank, weeks after Ukraine's leader urged French firms to leave over Moscow's invasion of his country.

French bank Société Générale to exit Russia
(Photo: Kirill Kudryavtsev / AFP)

Société Générale said in a statement that its withdrawal from Russia would cost it €3.1 billion.

“Société Générale ceases its banking and insurance activities in Russia,” the firm said in a statement.

It also announced “the signing of a sale and purchase agreement to sell its entire stake in Rosbank and the Group’s Russian insurance subsidiaries” to Russian investment firm Interros Capital.

“With this agreement, concluded after several weeks of intensive work, the Group would exit in an effective and orderly manner from Russia, ensuring continuity for its employees and clients,” Société Générale said.

The bank said it expects the deal to be completed in the coming weeks and that it was subject to approval from regulators.

Hundreds of foreign companies, ranging from financial firms to retailers and fast-food restaurants, have pulled out of Russia since the February 24th invasion.

But French firms, which are the biggest foreign employers in Russia, have been among the slowest to withdraw, prompting Ukrainian President Volodymyr Zelensky to urge them to leave during an address to the French parliament on March 23rd.

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.

UKRAINE

France ‘strongly condemns’ Russia’s expulsion of its diplomats

France "strongly condemns" the expulsion of 34 of its diplomats by Russia, the foreign ministry said Wednesday, a tit-for-tat move by Moscow after Paris ordered some Russian staff to leave.

France 'strongly condemns' Russia's expulsion of its diplomats

Saying the step had “no legitimate basis”, the ministry said in a statementthat “the work of the diplomats and staff at (France’s) embassy in Russia… takes place fully within the framework of the Vienna Convention on diplomatic and consular relations” — whereas Paris expelled the Russian staff in April on suspicion of being spies.

Moscow said Wednesday it was expelling 34 “employees of French diplomatic missions” in a tit-for-tat move following the
expulsion of Russian diplomats from France as part of joint European action over Russia’s campaign in Ukraine.

“Thirty four employees of French diplomatic missions in Russia have been declared persona non grata,” Russia’s foreign ministry said in a statement, adding that they have two weeks to leave the country.

Moscow made the announcement after summoning France’s ambassador to Russia, Pierre Levy, and telling him that the expulsion of 41 employees of Russian diplomatic missions was a “provocative and unfounded decision”, the statement
said.

“It has been stressed that this step causes serious damage to Russian-French relations and constructive bilateral cooperation,” the foreign ministry said.

French President Emmanuel Macron initially led diplomatic outreach to the Kremlin over Moscow’s military campaign in Ukraine but his talks with Russian President Vladimir Putin have eventually tapered off and overt French military
support to Ukraine has increased in recent months.

SHOW COMMENTS