Russian State Banks in Ukraine Reportedly Negotiating on Possible Sale

© AP Photo / Sergei ChuzavkovRadicals in front of a Sberbank branch in Kiev, putting up posters which read "Attention! This is a bank of an aggressor country. It will be closed. Urgently withdraw your money!", during a protest. Graffiti reads "Death to Russian banks." March 10, 2017
Radicals in front of a Sberbank branch in Kiev, putting up posters which read Attention! This is a bank of an aggressor country. It will be closed. Urgently withdraw your money!, during a protest. Graffiti reads Death to Russian banks. March 10, 2017 - Sputnik International
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All Russian state banks in Ukraine are in the process of talks on potential sale, National Bank of Ukraine Deputy Governor Kateryna Rozhkova said Sunday.

KIEV (Sputnik) — The news comes after Ukrainian President Petro Poroshenko approved on Thursday the National Security and Defense Council of Ukraine's proposal to impose one-year sanctions on subsidiaries of five Russian state banks, including, Sberbank, VTB.

"We know for sure that all banks with Russian state-owned capital that are currently operating in Ukraine are negotiating a potential sale, and we, as a regulator of the banking market, believe that this is probably the best way to leave the Ukrainian market, because in today's conditions, unfortunately, it is impossible to speak about any development of these banks on the territory of Ukraine," Rozhkova told Inter television channel.

Under the Security and Defense Council’s regulation, Ukrainian enterprises run or partially owned by the state are also prohibited from transferring money to accounts in these banks.

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The Kremlin spokesman had said following the introduction of sanctions that the actions against Russian banks' subsidiaries in Ukraine contradict international law, and Moscow will take all legitimate measures to protect them if necessary.

Ukrainian radicals blocked the entrance into the central office of Sberbank, locking over 400 employees inside on Monday and continued to hinder the access to the bank the following day, according to the Bank's address to Ukraine's President Petro Poroshenko, published Tuesday. Besides, the Sberbank and Alfa-Bank's ATMs in Ukraine have been subjected to vandalism by the radicals.

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