European Banks in Russia: Exit Likely to Remain Priority Even if the War Ends

Morningstar DBRS has released a commentary discussing European Banks' Exposure to Russia.

Key highlights include:
-- The exit process from Russia has proved to be complex and lengthy for the European banks.
-- If the war ends and all sanctions are lifted, European banks are unlikely to return to a business-as-usual strategy in Russia.
-- In our view, a full exit would remain the priority. The banks might even accelerate their exit process on more favourable terms.

"In our view, investor confidence has been damaged and restoring trust would take time", said Halil Senturk, Assistant Vice President, European Financial Institution Ratings, Morningstar DBRS. "Therefore, a full exit would remain the priority in the short-to-medium term."