Goldman Sachs, a New York-based banking behemoth, has restructured its Russian asset in response to criticism for continuing to serve customers in the country after agreeing to withdraw nearly a year ago.
The RBC newspaper announced the news on Monday, citing two investment market sources, in what is the bank’s most significant distancing from Putin’s nation to date.
Goldman stated in March that it was winding down its operations in Russia in response to Russia’s invasion of Ukraine, and in November that it had reduced the country’s credit exposure.
The firm’s new action may now allow the bank to break all relations with the country; but, foreign lenders will apparently require special authorization from President Putin to recover their interests.
Goldman Sachs announced that it was shutting down its Russian business in accordance with regulatory regulations and penalties.
The company declined to comment.
Since Russia pushed tens of thousands of troops into Ukraine last year, a number of important US institutions have reduced their exposure to the country, prompting a slew of Western sanctions and a number of corporations to suspend operations in Russia.
Goldman’s asset portfolio, which included minority shares in recruitment agency Headhunter (HHR.O) and real estate database Cian (CIAN.N), was sold to local management, according to one of RBC’s sources.
Goldman stated that it was shutting down its Russian activities in accordance with regulatory regulations and penalties.
Putin signed a directive on August 5 prohibiting so-called unfriendly countries from selling shares in important energy projects and banks.
This decree, which is in effect until the end of 2023, gives Putin the authority to offer exceptional exemptions for certain transactions to proceed.
Last month, the chief of GCHQ stated that the invasion of Ukraine signified a sea change in the dissemination of classified intelligence to the public.
Sir Jeremy Fleming, guest-editing the Today program on BBC Radio 4, stated that both Washington and London took the extraordinary step of disclosing Russia’s preparations prior to its February strike in order to discourage Vladimir Putin and rebut misleading narratives
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