Citigroup announced it expects to record an estimated $1.1 billion after-tax loss tied to the sale of its remaining operations in Russia to Renaissance Capital, according to a regulatory filing. The bank plans to classify its Russian business as held for sale in its fourth-quarter results and expects the transaction to be completed in the first half of 2026. Citi said the projected loss is largely driven by currency-translation adjustments and cautioned that the figure could fluctuate with currency market movements. “The projected loss is largely driven by currency-translation adjustments,” the filing noted. While the sale will result in an accounting loss, Citi indicated that the divestiture could ultimately benefit its CET1 capital position due to the deconsolidation of associated risk-weighted assets.
The move is part of Citigroup’s ongoing withdrawal from Russia amid escalating sanctions from the U.S. and European Union. The bank had begun scaling back operations before Russia invaded Ukraine in 2022, winding down consumer and local commercial banking and ceasing most institutional banking services. Remaining activities were limited to meeting legal and regulatory obligations, while other global banks, including Goldman Sachs, also sought approval to exit. Citi reached an agreement with one of Russia’s oldest investment banks, Renaissance Capital, to divest its remaining operations after President Vladimir Putin authorized the deal in November 2025, marking the final step in its gradual exit from the country.
