Citigroup Is Flooded With Russian Exposure (~$10 Billion)

Citigroup made the announcement on Monday that they had nearly $10 Billion tied up in Russia at the end of 2021. Some of Citi’s assets are tied in a consumer bank local in Russia, which they have been attempting to rid themselves of. BETTER LUCK NEXT YEAR.

Unfortunately, being touted as the most “global” of all U.S. banks, Citigroup is finding itself with nowhere to run in this instance. Amidst a litany of sanctions, a tumbling ruble, and general unrest, Citigroup is likely to be caught holding the bag here. Live by the sword, die by the sword. The stock closed down 4.44% on during Monday’s trading session.

Citigroup currently holds $2.2 billion in corporate loans, $700 million in consumer loans, and $1.5 billion in various investment securities, they had reported in a filing on Monday. Citigroup also made the stated that they had $1 billion at financial institutions (including the Russian Central Bank), with another $1.8 billion in reverse repo agreements. While they are well diversified in regards to their holdings, they got too caught up in the Motherland.

And now with Russian financial entities being heavily sanctioned, Citigroup is not only caught with their pants down with their money tied in Russian assets/investment vehicles, but with their branches that operate within Russia. Citibank Russia has branches, offices and ATMs present in Moscow, St. Petersburg, Volgograd, Ekaterinburg, Nizhniy Novgorod, Rostov-on-Don, Samara, Sochi, Kazan, Ufa and Novosibirsk. Yikes. Also for what it’s worth Citigroup did lose over $1 billion due to closing of their South Korea bank…F.