Austrian Raiffeisen Bank International (RBI ) recorded a provision of €840 million in the fourth quarter of 2024 due to litigation in Russia, resulting in a total loss of €895 million after tax. As noted in the report and presentation of the Austrian financial group, 27% of quarterly losses are attributable to Russian assets.
Nevertheless, the bank’s Russian subsidiary generated €873 million in profit in 2024, down 35% from 2023. On a year-on-year basis, the group’s total profit decreased by 1.9 times to €1.358 billion.
RBI CEO Johannes Strobl said that the bank had achieved a “satisfactory result” despite significant unplanned expenses. He also noted that the sale of the Belarusian Priorbank helped reduce political risks, and that the reduction of business in Russia is proceeding at a rapid pace.
The RBI also reported that Russia has introduced a ban on accepting new deposits, and existing funds on accounts do not earn interest. In the fourth quarter of 2024, the loan portfolio in Russia decreased by 30.1%, which indicates an active reduction in the bank’s presence in the country.
