The taxes paid by the banks are about 0.4% of all revenues not related to energy related to the Russian budget for 2024, the newspaper reports.
“Financial Times” calls it an example of how foreign companies help the Kremlin to maintain financial stability in wartime, despite sanctions imposed by Western countries.
The increase in profits of European banks is partly explained by funds that they cannot take out of the country due to restrictions imposed by Russia, introduced after the start of full-scale hostilities in Ukraine, the newspaper says.
“We cannot do anything with deposits in Russia other than keeping them in the central bank. Therefore, as interest rates increased, our profits also increased,” Financial Times quotes the head of an unnamed European bank with a branch in Russia.
In addition, the profits of European banks have increased due to sanctions that denied their Russian competitors access to the international payment information transfer system SWIFT. Therefore, Western banks have become more attractive in Russia, writes the Financial Times.
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Tags: Financial Times European banks paid million euros taxes Russia year
