Citigroup has approved the sale of its remaining business in Russia, marking another step in the bank’s withdrawal from the country, according to Euronews.
The U.S. bank plans to sell its Russian subsidiary, AO Citibank, to Renaissance Capital, an investment bank focused on emerging and frontier markets. The transaction is expected to be completed in the first half of 2026, subject to regulatory approval and other closing conditions.
In a filing with the U.S. Securities and Exchange Commission (SEC), Citi said it expects to record a pre-tax loss of about $1.2 billion from the sale in the fourth quarter of 2025. After tax, the loss is estimated at around $1.1 billion. The majority of the impact is due to accumulated currency translation losses resulting from long-term exchange rate movements.
Citi said the final loss could change if currency rates move before the transaction is completed. The bank also plans to classify its remaining Russian operations as «held for sale» in its fourth-quarter 2025 financial statements. At present, the business is reported across several divisions, including Services, Markets, Banking and legacy franchises.
Despite the expected accounting loss, Citi said the divestment is likely to strengthen its CET1 capital ratio by removing related risk-weighted assets.
Citi is among a number of Western companies that have faced challenges exiting Russia following Moscow’s invasion of Ukraine. Russian authorities have introduced stricter exit requirements, including mandatory approvals, discounted valuations and exit taxes, complicating and delaying divestments. The bank said the transaction remains subject to execution and regulatory risks that could affect its timing or final terms.
