Austrian Banking Sector Fears New Crisis in Russia

Politics ♦ Published: March 8, 2014; 14:09 ♦ (Vindobona)

For both Bank Austria and Raiffeisen Bank International, the crisis in Ukraine is an enormous threat. What is more, Russia might develop into a serious danger for foreign banks.

Austrian Banking Sector Fears New Crisis in Russia / Picture: © Raiffeisen Bank International AG / S. Klimpt

In the last few years, Bank Austria and Raiffeisen Bank International (RBI) have put much effort in the expansion into the Russian banking market. Particularly for RBI, Russia has become an essential part of the CESEE market. Last year, about 40% of RBI´s net income was earned in Russia.

After the unrests in Ukraine, the Russian market does not offer only opportunities, but also…