European banks paid 4 times more taxes to Russia than before the military invasion

The largest European banks that continue to operate in Russia in 2023 paid more than 800 million to the Russian budget. euros of taxes, calculated “Financial Times” publication. This is four times more than before the Russian army invaded Ukraine.

European banks Raiffeisen Bank International, Unicredit, ING, Commerzbank, Deutsche Bank, Intesa Sanpaolo and OTP reported that in 2023 their total profit amounted to more than 3 billion. euros, i.e. three times more than in 2021.

As a result of such a jump in profitability, banks paid about 800 million. EUR taxes, compared to 200 mln. euros in 2021

According to the newspaper, the high profits of Western banks in Russia show how foreign companies that continue to operate in Russia help the country maintain financial stability under sanctions.

More than half of the paid taxes went to Raiffeisen Bank International. The newspaper analyzed the Austrian group’s plans and concluded that its subsidiary in Russia has “ambitious plans” to expand its customer base many times over.

Raiffeisen Bank International itself previously announced plans to reduce its operations in Russia.

Deutsche Bank, OTP and Commerzbank reduced their operations in Russia. Intesa is currently selling its business.

American banks were not included in the “Financial Times” calculations, because they do not disclose results specifically achieved in Russia in their reports.

It is noted that Citigroup, according to the Kyiv School of Economics, paid 53 million in Russia. dollars and became the fourth largest taxpayer among Western banks. JPMorgan paid 6.8 million dollars.

In addition, as noted by the Financial Times, foreign banks benefited not only from the increase in interest rates, but also from Western sanctions against Russian banks.

Russian credit organizations were deprived of access to international payment systems, which increased the attractiveness of Western banks.