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French Banks Suspend All Services in Russia

Europe, Global
BNP Paribas, Credit Agricole Indosuez
Regulatory & Government

(23 March 2022 – Global) France's Crédit Agricole and BNP Paribas have both announced they have suspended all services in Russia, joining a retreat by other international banks since Moscow's invasion of Ukraine.

Crédit Agricole, which had previously stopped new financing for Russian companies, said in a statement it had contacted international corporate clients to begin suspending services.

The bank had previously said its exposure to Russia and Ukraine was around 6.4 billion euros in on and off balance sheet items, but told investors that its 2021 dividend would not be impacted.

Banks and investors have rushed to cut links to Russia in recent weeks, amid heavy Western sanctions against Moscow.

Crédit Agricole added that its priority was helping to support its 2,400 employees in Ukraine, who were helping ensure essential banking activities continued despite being “struck at full force by the war.”

The move comes a day after French rival BNP Paribas said it had informed its corporate clients in Russia that it would no longer process their transactions after the end of month, after previously stopping new financing in Russia.

Ratings agency S&P Global said earlier it had suspended services of all products to customers in Russia and Belarus who are subject to sanctions.
 

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