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Dutch bank ING sells its assets in Russia

The bank expects a negative profit and loss impact of around 700 mln euros post tax from sale

THE HAGUE, January 28. /TASS/. Dutch bank ING has left the Russian market, selling its assets to a Russian investor, Global Development, the bank said in a press release.

"ING announced today that it has reached an agreement on the sale of its business in Russia to Global Development JSC, a Russian company owned by a Moscow-based financial investor with a background in factoring services. This transaction will effectively end ING’s activities in the Russian market," the press release says.

The bank expects a negative profit and loss impact of around 700 mln euros post tax from sale.

After the start of the conflict in Ukraine in 2022, the bank significantly reduced its activities in Russia. In particular, ING did not accept new clients, and lending to Russian clients decreased by more than 75%. In addition, the Russian branch was separated from ING's international systems and networks.

Two years ago, the bank's CEO Steven van Rijswijk said that ING did not see a future for itself in Russia. But he noted that the bank could not simply leave the country, since a unilateral break in relations with Russian companies would effectively mean giving away money. ING's Russian branch served only corporate clients.

According to the press release, it will take some time before the Russian assets are actually sold. An agreement has now been signed, which also stipulates that the investor will take over the management of personnel. ING expects the sale to be completed in the third quarter of this year.