Permits foreign banks to set up branches
01 Sep 2024
On 31 July 2024, the Parliament of the Russian Federation amended the Federal Law “On Banks and Banking” allowing foreign banks to set up branches in the Russian Federation. Until then, foreign banks could establish only subsidiary banks or representative offices. Branches are now authorised to open and service bank accounts for legal entities; transfer funds on behalf of legal entities, including correspondent banks; collect cash, promissory notes, payment and settlement documents; and provide cash services to legal entities. In addition, they can issue guarantees and sureties, lease special premises, safety deposit boxes for storing documents and valuables, conduct leasing transactions, and provide advisory and information services. The amendments came into force on 1 September 2024.
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Type:
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Entry and establishment (Approval and admission)
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Industry:
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Services (Financial and insurance activities)
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