FRANKFURT (Reuters) – Societe Generale, one of Europe’s banks with the largest presence in Russia, said on Thursday it was working to reduce its risks as European banks review their operations in Russia after its invasion of Ukraine.
Bank shares have been battered in recent days amid fears of possible writedowns, lower revenue and weaker economies. Stock futures pointed to a lower open on Thursday.
“The Group is conducting its business in Russia with the utmost caution and selectivity, while supporting its historical clients,” the French bank said.
Priorities are “to reduce its risks and preserve the liquidity of its subsidiary by maintaining a diversified collection of deposits,” it said.
Many investors in recent days have been trying to shed their Russian assets.
Ratings agencies Fitch and Moody’s downgraded Russia by six notches to “junk” status, saying Western sanctions threw into doubt its ability to service debt and would weaken its economy.
(Reporting by Tom Sims and Tassilo Hummel; editing by Jason Neely)
