Republic of Austria Liable for Domestic Banks in Ukraine and Russia

Politics ♦ Published: April 17, 2014; 21:01 ♦ (Vindobona)

The Austrian Clearing Bank (OeKB) has assumed liabilities in the amount of € 4.0n in Russia and Ukraine. Besides the political risks, banks operating in Russia have to fear economic risks too.

Russia: Enormous Threat for Austrian Banks / Picture: ©

While Austrian banks began to leave Ukraine already one year ago, the exposure of domestic banks has risen dramatically in Russia in the last few years. Above all, 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 45%…