The Kremlin stated on Thursday that "unfriendly actions" against Russia will lead to consequences, in response to inquiries about the vulnerability of Austrian bank Raiffeisen's assets. This came after a Russian court directed Raiffeisen to pay €2 billion ($2.08 billion) in damages, stemming from a collapsed business deal. Raiffeisen Bank International (RBI) is the largest Western bank still operating in Russia.
Russia's central bank, in September, urged Western banks operating in Russia not to succumb to pressure from Western regulators that would discriminate against Russian clients by withholding services like international money transfers.
Raiffeisen reportedly holds around €6 billion in Russia, derived from international transactions and Russian deposits, according to a Reuters source.
When questioned about the potential risk to Raiffeisen's funds due to Western actions freezing Russian assets, Kremlin spokesman Dmitry Peskov responded, "I will leave this without comment. I will simply emphasize that unfriendly actions towards the Russian Federation cannot but have consequences for those who take them."
Raiffeisen finds itself balancing the necessity to comply with Russian banking regulations, as one of the country's major lenders, with pressure from European and American authorities to reduce its exposure in Russia.
The recent court dispute arose from the breakdown of a deal that Raiffeisen had hoped would enable it to access some of its frozen assets in Russia. The case revolved around a claim by Russian investment company Rasperia against construction firm Strabag, its Austrian investors, and Raiffeisen's Russian branch.
($1 = 0.9612 euros)