Russian central bank revokes license of American Express Bank

MOSCOW (Agencies): The Russian central bank canceled the banking license of American Express Co’s Russian subsidiary on Tuesday after the U.S. lender’s unit filed a voluntary liquidation request.

Russian President Vladimir Putin decreed in May that American Express Bank could liquidate its Russian business, a little over two years after the company had suspended all its operations in Russia in response to what the bank called Russia’s “unjustified attack on the people of Ukraine.”

“The license cancellation was based on a petition submitted by American Express Bank LLC to the Bank of Russia, following a decision by the sole shareholder to liquidate the institution voluntarily,” the central bank stated.

American Express Bank was registered by the Central Bank of the Russian Federation in December 2005. According to the central bank, the bank ranked 300th in Russia’s banking system in terms of assets.

Since mid-2022, foreign banks have required Putin’s approval to exit the market or sell stakes in their Russian business.

Russia’s corporate registry, SPARK, showed that the bank’s Russian unit filed a liquidation application in early July.

American Express did not immediately respond to a request by Reuters for comment.

In March 2022, shortly after Moscow launched its full-scale invasion of Ukraine, which Russia called a “special military operation,” American Express said it had dozens of staff inside Russia. It was not immediately clear how many staff the bank still has in the country.