The Russian bank Sberbank has announced its exit from the European market as a result of the impact on its subsidiaries in the Old Continent of the sanctions imposed by the West, including the closure of its subsidiary Sberbank Europe, ordered by the European authorities. “In the current environment, Sberbank has decided to withdraw from the European market. The group’s subsidiary banks face an abnormal outflow of funds and a threat to the safety of employees and branches,” he said in a statement collected by the agency. Russian Tass.
The entity, which is listed on the London Stock Exchange, has seen 90% of its market value volatilize, to trade at 0.017 dollars per share, when this year it was almost at 17. It has a capitalization of just 91 million dollars, when it became up to 1,000 times more capitalized. The negotiation in Moscow remains suspended.
On Tuesday, the Austrian Financial Market Authority (FMA) banned Sberbank Europe from continuing its business operations with immediate effect, blocking customer access to accounts. In this sense, the Austrian authority, as the competent institution for deposit insurance and investor compensation, has guaranteed the claims of Sberbank customers with a limit of up to 100,000 euros in deposits and up to 20,000 euros in compensation claims. investors.
In turn, the European Commission yesterday approved the resolution plans for Sberbank Europe in Croatia and Slovenia based on the approaches adopted by the Single Resolution Board (SRB), which involve the transfer of business, to Hrvatska Potanska Banka and Nova Ljubljanska Bank, respectively. In this way, these two banks will open normally this Wednesday and their clients will continue to be served without interruptions, guaranteeing financial stability in Croatia and Slovenia and the protection of depositors.
Sberbank has indicated that, due to the implementation of the rules of the Bank of the Russian Federation, the parent of these entities will not be able to provide liquidity to its European subsidiaries, adding that these subsidiaries have a high level of capital and asset quality, while customer deposits are guaranteed by local law.
“The bank’s assets are sufficient to make payments to all depositors,” the entity stressed.