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the new tariff schedule has not improved trading volumes in these segments.
Uralsib Bank has completed a deal to purchase a retail loan portfolio of Citibank, the press service of Uralsib reported. The acquired portfolio has a high credit quality, enabling Uralsib to significantly increase its client base in Moscow and St. Petersburg. On October 28, Citigroup announced that its Russian subsidiary will transfer its installment loan portfolio and credit card balances to Uralsib Bank. Uralsib confirmed this plan adding that the deal would contribute to an increase in the profitability of the bank's assets. Russian Citibank will transfer its portfolio of consumer loans to Uralsib by the end of 2022, credit cards - in the first half of next year. In April, 2021, it became known of the decision of Citi to sell retail business in 14 countries, including Russia. In March 2022, Citi decided to expand the sale of the Russian business by selling also its business working with small and medium sized enterprises. In August 2022, Citigroup officially announced plans to wind down its retail business in Russia and commercial banking operations in the country. It was reported that the costs of Citi due to winding down the mentioned businesses will amount to approximately $170mn over a period of about a year and a half. The wind-down process began in the third quarter of this year.
Some efforts are being made to connect Russian Agricultural Bank to the SWIFT system, but it needs to be done as quickly as possible, Russian Deputy Foreign Minister Sergey Vershinin said on December 16 in an interview with Rossiya-24 TV channel.
Azerbaijan is interested in using the Russian payment system, Mir, Foreign Minister of Russia Sergey Lavrov said on Monday at a press conference after talks with his Azerbaijan’s counterpart Ceyhun Bayramov.
About 10 Kyrgyz banks have stopped servicing Russia's Mir pay cards
fearing secondary sanctions, Deputy Chairman of the National Bank of the Kyrgyz Republic Kayip Kulenbekov said on December 2.Kulenbekov did not disclose the names of the banks, and it is unclear whether more banks joined the practice. About 50% of Kyrgyz banks stopped Mir card services.
The Eurasian Development Bank (EDB) expects net profit to the tune of $30mn in 2022, according to a presentation provided by the development bank at a press conference on December 9. The EDB’s approved strategy for 2022 suggested net profit at $21.6mn. The decrease compared with 2021 net profit will total 19%. According to the presentation, the bank’s current investment portfolio is worth $5.2bn, with the annual amount of investments having reached $2.5bn, while return on capital equaling 1.7%. More than 30 new investment projects have been implemented this year, the presentation said. "Projects worth over $4bn are currently at the bank’s consideration now," Chairman of the Management Board of the Eurasian Development Bank Nikolay Podguzov noted.
108 RUSSIA Country Report January 2023 www.intellinews.com