The European Central Bank (ECB) on Tuesday urged eurozone banks operating in Russia to exit the country quickly, a rare overt call from a financial institution more than a year after Russia’s invasion of Ukraine.

“I think it’s important that banks remain very focused on further de-risking and ideally exit the market as soon as possible,” Andrea Enria, chief inspector of the European Central Bank, told the conference, News.ro reported, citing Reuters.

More than a year after the war in Ukraine, several European banks, including Austria’s Raiffeisen Bank International and Italy’s UniCredit, are still making profits in Russia.

Enria acknowledged that banks are no longer making new loans in Russia and that they are difficult to sell because of pressure from Moscow, including the need for presidential approval.

But he emphasized the need for further measures.

“We are putting a lot of pressure on the banks because there is a huge reputational risk”

“It’s a process that we not only appreciate, but we’re putting a lot of pressure on the banks to do it because there’s a huge reputational risk (involved) in continuing to do business in Russia,” he said.

Raiffeisen and UniCredit, which say they are reducing their business in Russia, play an important role in Russia’s economy, which is under Western sanctions.

Raiffeisen, Russia’s largest western bank, said it was considering a split or sale.

Read also:

• The ECB is putting pressure on Raiffeisen to exit Russia – Reuters sources / Austrian bank plays a key role in Moscow’s economy / Americans are also watching Raiffeisen
• Austrians at Raiffeisen accuse those asking the bank to leave Russia of “moral arrogance” but say they are analyzing the move
• Austria, Putin’s Alpine fortress. Behind the scenes between Moscow and Vienna

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