ING Group slashes Russian offshore exposure by 85% since 2022 exit

ING Group has significantly reduced its offshore exposure to Russian clients by over 85%, lowering it to €0.7 billion ($819.1 million) since exiting the Russian market three years ago and has not engaged in new business with Russian companies since February 2022.

The bank is taking measures to minimize operations linked to Russia and is committed to further reducing its offshore dealings amid the ongoing conflict.

The planned sale of ING Bank (Eurasia) JSC to Global Development, aimed at terminating ING’s Russian presence, is facing delays due to the buyer not obtaining necessary approvals, with no realistic prospect for completion by the initially anticipated timeframe of the third quarter of 2025.

The delay in the sale is expected to negatively impact ING's common equity tier 1 (CET1) ratio by approximately 7 basis points, although ING's shares recently saw a 1.5% increase during trading.

Recommendation Rating: Significant Progress in Reducing Russian Exposure

ING Group (NYSE:ING) announced on Friday that it has significantly reduced its offshore exposure to Russian clients by over 85%, bringing the total down to €0.7 billion ($819.1 million) since exiting the market three years ago.

The European bank confirmed that it has not engaged in new business with Russian companies since February 2022. ING has also been actively minimizing its operations and taking steps to separate its Russian business from its global networks and systems.

In light of the ongoing Russia-Ukraine conflict, ING emphasized its commitment to further diminish its offshore dealings with Russian clients.

Additionally, the planned sale of ING Bank (Eurasia) JSC to Global Development, which would effectively terminate ING’s presence in the Russian market, is currently facing delays. The buyer has yet to obtain all necessary approvals, leading to uncertainty regarding the timing of the deal.

Originally, completion of the transaction was anticipated in the third quarter of 2025; however, ING now states that there is "no realistic prospect" for finalizing the sale during that timeframe.

This sale is projected to adversely affect ING's common equity tier 1 (CET1) ratio by approximately 7 basis points.

In mid-afternoon trading in the U.S., shares of ING saw an increase of 1.5%.