VIENNA, Austria – The US Department of Treasury has delivered a stern warning to Raiffeisen Bank International (RBI), Austria’s largest lender, according to a report by EUobserver. The warning centers on the RBI’s continued operations in Russia, raising concerns that the bank could face sanctions if it doesn’t wind down its business there.
EUobserver cites discussions between US Treasury official Anna Morris and both Austrian government representatives and RBI executives. The Treasury Department reportedly warned the RBI that it risked being cut off from the US financial system altogether if it didn’t exit the Russian market.
Raiffeisen Bank International has maintained a presence in Russia since 1996. Its subsidiary, Raiffeisenbank, holds a significant position within the Russian financial sector, currently ranking tenth in terms of asset size among all Russian credit institutions.
While Raiffeisenbank declined to comment publicly on the specifics of the discussions with US officials, citing protocol regarding communication with government representatives, the news has sparked tension between the US and Austria.