Foreign banks entry into the
Russian market: motivation,
entry modes and strategies
Victor Gorshkov
PhD candidate, Graduate School of Economics, Kyoto University
(Kyoto, Japan)
August 3d , 2011
International Young Shcolars Workshop
Kyoto University
1
Background and motivation
o Liberalization of policy measures in the 90th, financial sector as the priority
o 2003-2007 period of high economic growth in Russia
o Does globalization(liberalization) of financial markets bring positive results for
the economic growth?
o Analysis of financial liberalization with an accent on activity of foreign banks
o Behavior of foreign banks on the Russian market
Foreign banks share in developing and transition economies
（share in banking assets：％、 1999）
Country Participation Foreign Foreign Country Participation Foreign Participation
1) 2) 1)
of foreign control control of foreign control of foreign
capital capital capital
Czech Republic 47.3 49.3 50.7 Colombia 16.2 17.8 17.8
Hungary 59.5 56.6 80.4 Mexico 18.6 18.8 18.8
Poland 36.3 52.8 52.8 Peru 33.2 33.4 33.4
Turkey 1.6 1.7 1.7 Venezuela 34.7 41.9 43.9
Argentina 41.7 48.6 48.6 South Korea 11.2 4.3 16.2
Brazil 18.2 16.8 17.7 Malaysia 14.4 11.5 11.5
Chile 48.4 53.6 53.6 Thailand 6.0 5.6 5.6
（Notes）1)Foreign share (more than 50%) in total banking assets 。2)same as1), but more than 40%。
（出所） International Capital Markets. Developments, Prospects, Key Policy Issues.- Wash., DC: IMF. –
September 2000. – p.153（published at Vernikov A., 2006 ）
2
Outline of the presentation
1. General overview of the Russian banking sector
and activity of foreign banks on the Russian
market
2. Motivation of foreign banks
3. Entry modes and strategies of foreign banks in
Russia
4. Conclusion & future research plan
3
1.General overview of the
Russian banking sector
and activity of foreign
banks
4
Specific features of the
Russian banking sector
o Strong government participation( government is a shareholder of
approximately 200 banks)
o Some banks are strongly connected to financial industrial groups
(Gazprom)
o The function of converting deposits into investments is not effectively
working (companies tend to issue bonds or attract capital from foreign
markets)
o Concentration towards large banks with the existence of many small
banks
o Difficulties with attracting long-term borrowings
o Revenue structure of banks is unbalanced (huge percentage of foreign
exchange profits)
o Presence of foreign banks is increasing
Russia positioned modernization as the priority goal for its development. For reaching this goal huge capital
injections are needed for the economy. Despite the fact that during 2000-2008 financing of investment projects
increased up to 5
24%, in 2009 loans from banks amounted to only 7% in the whole structure of financing.
Companies still tend to use government, equity and other kinds of financing
Structure of the banking
sector(1)
Characteristic 1991 2001 2005 2006 2007 2008 2009 2010
Number of credit organizations registred by
the CB 2481 2124 1516 1409 1345 1296 1228 1178
of which
with the right for banking transactions
(acting) 1476 1311 1299 1253 1189 1136 1108 1058
Number of brnches of credit organizations
acting on the territory of the Russian
Federation 4453 3793 3238 3295 3281 3455 3470 3183
Registred charter capital of acting credit
organizations in bln. RUR 52.5 207.4 380.5 444.4 566.5 731.7 881.4 1244.4
Number of creidt organizations with
licences (permits) giving right for:
attraction of deposits of population 1372 1239 1165 1045 921 906 886 849
operations in foreign currency 634 764 839 827 803 754 736 701
general licences 263 244 311 301 287 300 298 291
operations with precious metals 136 163 182 184 192 199 203 203
Number of acting credit organizations with
foreign participation in the charter capital 142 130 131 136 153 202 221 226
including:
100% foreign participation 18 22 33 41 52 63 76 82
50 to 100% foreign participation 12 11 9 11 13 23 26 26
o Activity of banks is licensed
o The number of banks is excessive
o Structure of the banking sector: 1) state-owned banks, 2)Russian-capital large banks,
3)Russian-capital medium and small banks, 4) foreign banks
Structure of the banking
sector(2)
When compared to other countries, the number of banks in Russia
is very excessive.
Number of banks in the world(2006) : USA - 7475, Germany – 2400,
Russia – 1299, Australia – 882, France – 880, Andorra – 7, Estonia
– 9, Turkmenistan – 11, Tajikistan – 11, Lithuania – 12, Canada –
70(2000), Singapore – 25(2000)
o Following high economic growth, a lot of
Number of banks changes have been made in the banking
1400 sector
o Russian banking sector was formed on the
1350
1329 base of the Soviet one (1990s- 5 sectorial
1300 1299 banks – Sberbank, Foreign trade bank,
1250 1253 Agricultural bank, Industrial bank, Housing
and social welfare bank)
1200
1189 o During Soviet times these 5 banks were
1150 regulated and coordinated by Gozbank(state
1138
1100 1108 bank)
1050 1058 o December 2d, 1991 Federal Law “About
1012
banks and banking activity”
1000
2004 20057 2006 2007 2008 2009 2010 2011
o 2011 – 1012 banks, 2926 branches, regional
differences
Foreign investments into the
banking sector
International investment position of the banking sector(million US dollars)
2005 2006 2007 2008 2009 2010
Assets 25,989 39,182 65,351 96,843 167,825 165,965
FDI from Russia 818 1,498 1,570 2,533 3,413 5,062
Portfolio investments 3,714 6,964 7,645 12,855 15,774 26,258
Other investments 21,304 30,669 55,914 80,032 143,336 132,423
Financial derivatives 153 51 222 1,423 5,302 2,222
Liabilities 37,337 60,009 123,927 214,771 206,259 179,123
FDI to Russia 3,020 4,975 9,127 20,682 22,670 25,911
Portfolio investments 3,756 6,858 17,171 36,445 12,160 26,516
Other investments 30,372 48,124 97,451 156,769 161,033 121,614
Financial derivatives 189 52 178 875 10,396 5,082
Net investmet position -11,348 -20,827 -58,576 -117,928 -38,434 -13,158
o Foreign share in banking assets is increasing, but the total level of
foreign investments to financial sector is still very low and is
8
amounted to 3-4％
What is a foreign bank?
1. Definition given in the Russian Law. Some other countries use the same approach. Number of branches is not considered
2. When analyzing foreign banks’ motivation, modes of entry, etc. representative offices should be considered
3. Quantitative definition is used to define the share of foreign capital in the banking system of a particular country
4. Domestic banks with foreign capital participation of more than 50%
5. Domestic banks with foreign capital participation of less than 50%
Indicators for the evaluation of the
foreign banks` activity
① Number of banks with foreign capital participation officially registered
② Sum of investments by non-residents to charter capital of the banking
sector
③ Share of non-residents in charter capital of the banking sector
④ Share of banks controlled by foreigners （more than 50％）in total assets of
the banking sector
⑤ Share of banks controlled by foreigners （more than 50％）in total liabilities
(capital) of the banking sector
⑥ Share of assets of banks with foreign participation in GDP
⑦ Share of capital (equity) of banks with foreign participation in GDP
⑧ Share of banks controlled by foreigners in different market segments
(loans, deposits, etc.)
• 3番目の指標は、ロシアにおける外資の参入制限に用いられている
• クロスボーダー融資のダイナミックスも外国銀行の活動を表す
10
Foreign banks entry: historical
background
90s - capital liberalization, cross-border transactions
are permitted at present (final stage of capital
Merits and demerits of foreign
liberalization) , political confrontation towards activity capital participation in the Russian
of foreign banks banking sector
Strong intention of domestic protectionism of banking Merits
sector
Import of new banking
Main restrictions：
technologies
President act № 1924 dated by 17.11.1993 “About
a.
prohibition of foreign banks` transactions with
Management efficiency
Russian companies and households “＝＞abolished New banking products
b. Limits of participation （90s-12％、ＷＴＯnegotiations – Competition between
50％） banks金融機関の競争
Demerits
c. Factual prohibition of establishment of foreign banks’ 銀行取引の透明性
branches Low competition and
d. Licensing system by CB
efficiency level of Russian
Most foreign banks entering Russia established
banks
subsidiaries and developed their branch networks Unfair competition
through them External shocks and
Representative offices of foreign banks capital flight
Transactions like increase of equity, transfer/sale of
shares are subject to approval by CB
From conservatism to relative liberalism
Number of foreign banks and investment of
non-residents into the banking sector(1)
350000 250 30
226
221 220 28.49 28.1
300000 202
25 25.08 24.53
200 非居住者による金融機
Investments to charter
capital made by non-
250000 関の定款資本への出資
residents (million rubles)
153 (百万ルーブル） 20
130 126 128 136 150
200000 123 131 非居住者参加の金融機
Number of banks with 15.9
foreign capital 15
関の数
participation
150000 総定款資本に占
Share of non-
76 82 80 100 11.15
める非居住者の
residents in
10
63 charter capital
100000 外資比率51％以上の 割合（％）
52 Commercial banks with 7.51 of the banking
商業銀行
foreign capital share of 6.19 sector
50 more than 51% 5 5.35.29
5.22
50000 26 26 31
23
13
外資比率100％の商業
Commercial banks with 0
0 0
01.01.2001
01.01.2002
01.01.2003
01.01.2004
01.01.2005
01.01.2006
01.01.2007
01.01.2008
01.01.2009
01.01.2010
01.01.2011
銀行 foreign capital
100%
01.01.2001
01.01.2002
01.01.2003
01.01.2004
01.01.2005
01.01.2006
01.01.2007
01.01.2008
01.01.2009
01.01.2010
01.01.2011
participation
12
Number of foreign banks and investment of
non-residents into the banking sector (2)
Indicator 2005 2006 2007 2008 2009 2010 2011
Number of banks with
foreign participation
131 136 153 202 221 226 220
Equity(capital)
investments made by
non-residents （million
rubles） 23 553.0 49 554.5 90 092.8 183 506.3 251 073.3 305 195.6 333 285,7
Total capital of the
banking sector 380 468 444 377 566 513 731 736 881 350 1 244 364 1 186 179
Share of non-residents
in total capital of the
banking sector （％） 6.19 11.15 15.90 25.08 28.49 24.53 28.10
13
Number of foreign banks and investment
of non-residents into the banking sector
(3)
1600
1400 1415
1295.8
1200
1066 Increase rate of total charter
1000 銀行制度の総定款資本の増
capital of the banking sector
加率（2005年対比）、％
(in comparison to 2005), %
800 779.1
銀行制度の総定款資本にお
Increase rate of foreign share
600 ける非居住者の割合の増加
in total charter capital of the
banking sector (in comparison
率（2005年対比）、％
400 to 2005), %
382.5
327.1 311.8
200 210.4 192.3 231.6
116.8 148.9
100
0
14
Share of foreign banks in major
indicators of the banking sector
2003 2004 2005 2006 2007 200 200 201 2011
8 9 0
Number of banks with FP 123 128 131 136 153 202 221 226 220
incl、share of more than 51％ - - - - 13 23 26 26 31
100% foreign share - - - - 52 63 76 82 80
Commercial banks with foreign participation of more than 51 ％
Assets 8．1 7.4 7.6 8.3 12.1 17.2 18.7 18.3 18.0
Equity（Capital） 7.1 6.6 7.8 9.3 12.7 15.7 17.3 17.0 19.1
Corporate loans (companies) 7.1 6.1 6.2 7.4 10.0 15.5 16.6 14.8 15.1
Private loans (households) 2.3 2.3 3.0 3.4 6.2 8.9 10.3 12.0 11.5
Commercial banks with 100% foreign participation
Assets 5.6 5.6 5.9 8.0 9.0 11.6 13.0 11.3 11.0
Equity（Capital） 5.4 5.4 6.3 9.0 10.1 11.1 12.2 11.0 12.1
Corporate loans (companies) 5.5 4.6 4.6 7.3 7.9 10.7 11.6 9.0 9.2
Private loans (households) 1.5 1.5 2.4 3.3 4.1 5.0 5.4 6.2 5.3
Foreign share in banking sector of selected economies: Estonia – 99%, Czech
15
Republic – 97%, Lithuania – 77%, Poland – 70%, USA – 20%, Italy – 15%
ROE of Russian banks
(3 years period, %)
Russian banks ROE Foreign banks operating in ROE
Russia
Sberbank 30.1 Citybank 37.6
Vneshtorgbank 23.1 International Moscow Bank 39.5
Gazprombank 15.2 Raiffaisen 49.7
Alfa-bank 1.6 Eurofinance – Moskovsky 21.9
Narodnij Bank
International Industrial Bank 1.9 Commerzbank 39.6
Rosbank 15.5 ABN AMRO 44.0
МDМ-bank 4.7 Deutsche Bank 35.5
Moscow bank 14.2 CFSB 31.1
ロシアの銀行と上手く競争できている
16
Revenue structure of the
Russian banks (incl. FB)
Revenue structure of Russian banks
2009 2010 2011
Total revenue 100 100 100
interest rates from loans
to companies 8.4 6 7.1
to physical population 3.1 1.9 2.7
revenues from investments in
securities 3.5 3.3 3.3
foreign exchange comission 62.3 72 62.5
operating comission 2.9 1.5 2.3
revenues from resrervation in CB 12.8 11.5 18.2
other revenues 7 3.8 3.9
Revenues from intermediary services are very low. Russian
banking sector is not fulfilling the function of collecting deposits
and converting them into investments. Most banking profits are
17
from foreign exchange operations
Ratings of Russian
banks(01.02.2011)
Place 資産
Assets 資本
Capital 企業向け融資
C. loans 個人向けの融資
Private loans 預金
Deposits
1 Sberbank Sberbank Sberbank Sberbank Sberbank
2 VTB VTB VTB VTB 24 VTB 24
3 Gazprombank Gazprombank Gazprombank Rosbank Gazprombank
4 Rosselhozbank Moscow Bank Rosselhozbank Rosselhozbank Alfa bank
5 VTB 24 Rosselhozbnak Moscow bank Rusfinance bank Moscow bank
6 Moscow Bank VTB 24 Alfa bank Raiffeisen Raiffeisen
7 Alfa bank Rosbank Unicredit Bank Alfa bank Rosselhozbank
8 Unicredit Bank Alfa-bank Promsvyazbank HKF Bank MDM Bank
9 Promsvyazbank Raiffeisen Raiffeisen Russian standard Rosbank
10 Raiffeisen Unicredit Bank Nomos Bank Transcredit bank Uralsib
Raiffeisen bank (Austria)– “healthiness’ №1 （June, 2010）
18
（Source）Expert、www.bankir.ru
2. Motivation of foreign
banks
19
Business strategy analysis of foreign banks
Motivation Form of entry Strategy
Push/ pull reasons Representative office Organic growth
“follow the Subsidiary Cherry-picking
customer” strategy
leadership Branch M&A
Escape Joint-venture with the
Historical Russian bank
background Minor shareholder
Non-economic
reasons participation
Main aims of the paper：
o Quantitate and qualitative analyses of foreign banks on the Russian
market
oExamination of motivation, forms of entry and strategies of foreign banks in
20
Russia
Motivation of foreign banks’ entry into the
Russian market （1）
Motivation PUSH/PULL Example
High risk-high return PULL Raiffaisen (Austria), Societe Generale (France), BNP Pariba
Group (France), ING Group (Holland), Deutsche
Bank(Germany), Bank of Cyprus (Cyprus)
Development of retail banking PULL Toyota Bank (Japan), Mercedes Bentz (Germany), American
Express Bank (USA)
Preservation of “global bank” status PUSH City Group（USA）
Banks having strong relations with PUSH Raiffaisen (Austria), Societe Generale (France), ING Group
Russian companies and individual (Holland)
customers aiming to establish a
profound network on the Russian
market
Support of foreign companies PUSH Eurasia Tokyo-Mitsubishi UFJ (Japan), Sumitomo-Mitsui
operating in Russia (leadership Europe (Japan), Mizuho Bank(Moscow) (Japan), Toyota Bank
strategy) (Japan)
Escape of costs, rising competition, PUSH Establishment of a subsidiary is very costly and risky in Russia.
loss of profits in a home country Examples of banks used this motivation are not common
Non-economic, historical reasons PUSH/PULL These reasons are common for entry at early stages. There are
some studies showing that banks like Sociate Generale or
Gredit Lyonnais already operated in Russia in 19-20 th
centuries.
o Motivation of entry into the Russian market is similar to the one in other developing and transition
economy (push)
o Both PUSH and PULL reasons were justified
o 21
Multiple reasons for entry
o Non-economic reasons for entry(?）
Motivation of foreign banks’ entry into the
Russian market （2）
CAGR ’05-
’08 Net Interest Net non- Net Net
interest
(local Income income revenues profit(1) NET PROFITS
currency) Before tax / extr items
Poland 10% 9% 9% 10%
€ bn
Turkey 5% 10% 7% 14%
35.0 €32.0bn
Croatia 4% 9% 6% 10%
Russia 24% 24% 24% 21% €28.4bn
Bulgaria 12% 14% 12% 13% 30.0
Czech R. 5% 9% 7% 7% €25.4bn
Hungary 7% 12% 9% 8% 25.0
€21.0bn
Romania 10% 19% 15% 11%
Slovakia 1% 16% 7% 9%
20.0 €16.5bn
CEE-9 13% 14% 13% 15%
% country over CEE-9 NetProfit(1) (2005)
15.0
Romania Slovakia
Hungary 3% 3% Poland
7% 13% 10.0
Czech R.
7%
Turkey 5.0
Bulgaria
2% 26%
0.0
Croatia 2004 2005 2006f 2007f 2008f
Russia
3%
35%
22
Sources: Central Banks and Unicredit-NE Research Network
(1)Net Profit for the Banking Sector is before tax and extraordinary items.
3. Entry modes and
strategies of foreign banks
in Russia
23
Forms of entry and strategy of
foreign banks
Forms of entry Business strategy
Representative office organic growth
Subsidiary (Russian juridical
company)
（100％foreign capital participation
banks are mostly common）
Branch (allowed under the terms of
current legislation, but “politically” not
welcomed and there are no cases at
present)
Minor shareholder participation in M&A
2010 – 118 banks （more than 50%）
24
M&A in financial sector: recent trends
12
11
10
23%
8
Ｉｎｂｏｕｎｄ
6
Ｏｕｔｂｏｕｎｄ
53%
Ｄｏｍｅｓｔｉｃ
4
3
2.6 24%
1.7
2
0
2006 2007 2008 2009
o M&A in banking sector happen more and more often. M&A as the way to solve
current problems of the Russian banking sector （not sufficient capitalization, obsolete
technology)
o 90s - restrictions on foreign capital participation, M&A were not common
o 2000s – increase of M&A, investments to the real sector of the economy; share of M&A in
the financial sector （2004－3％、2005－3％、2006－7.1％、2007－2.5％、2008－9％、2009
－4％）
o ２003-2004 - good economic performance, but latent period of M&A (Rybin), acquisition of
medium banks
o 2005-2006 - open period of M&A, big banks acquisitions, retail banks, tiny banks
o 25
2007－2008 - positive dynamics、M&A by investment funds, foreign financial institutions
o M&A between Russian banks
Specific features of M&A in the
Russian banking sector
A) The objects of M&A transactions are usually regional banks with strong
regional retail network (organic strategy growth is very expensive)
B) M&A of medium-sized banks is gradually changing to acquiring regional banks
C) Friendly M&A, hostile M&A are not common due to low transparency of
Russian banks and complicated legislative procedure
D) Domestic M&A are very strong
E) Outbound M&A by Russian banks (post-Soviet countries)
＝＞ foreign banks having access to the wide capital network of their parent banks
can increase M&A in the near future. Negotiations for entering WTO can facilitate
this process
Government plans to privatize some banks until 2015 (27.10.2010 Nikkei
26
Shimbun) Sberbank, Vneshtorgbank, Agricultural Bank
Activity of foreign banks in Russia
(summary 1)
Integration of banking system into the world financial
market is a very important step of the development
of the national banking system; foreign banks can
positively effect on this process. Particularly in case
of Russia there is a problem of undercapitalization,
foreign banks have all the capabilities to solve it.
Russian market is very attractive and potentially
profitable for foreign banks
Integration into the world financial markets is
obvious, but the state still has a dominating position
in the industry
Entry motivation：from “follower”startegy based on
political and non-economic reasoning of entry to the
“leadership”approach, PUSH/PULL
Entry mode： subsidiary, from organic growth to
M&A
27
Activity of foreign banks in Russia
(summary 2)
Recent trends in activity of foreign banks in Russia ：①increase of foreign
share in assets and liabilities (capital) ②100％ foreign share banks are
more common (ownership problem) ③universalization of banking services
(from supporting foreign customers to corporate lending, development of
retail banking, individual transactions, consulting, credit card business) ④
world economic crisis didn’t influence considerably on the strategies of
foreign banks in Russia ⑤ form “venture business”, “high risk-high return”
concepts to “same market as the others” way of thinking (some banks still
being observers though)、⑥ increasing competition with Russian banks,
problems with efficiency ＝＞positive trend＝＞further increase of foreign
share??
Problems of foreign banks in Russia： ①offshore capital procurement by
Russian companies ② restrictions (branches, limit of foreign participation
share) ③ non-transparency of the Russian banking system, problem of
trust towards investors ④ traditional/non-traditional banking activity –
most FB are making profits from foreign exchange!
28
4. Conclusion and future
research plans
29
Future trends of foreign banks in
2005i
Russia (1) Market share Total Assets(3) Total Gross Loans Total Deposits
No. of banks(1)
Foreign banks TOP 3(2) € bln % of GDP € bln % of GDP € bln % of GDP
EU Members
Poland 61(4) 70%(4) 37%(4) 152 60% 77 30% 99 39%
Hungary 34 84%(5) 38% 75 87% 46 53% 37 43%
Czech Republic 36 85%(6) 56% 102 99% 40 39% 65 63%
Slovakia 23 98% 47% 37 96% 14 36% 21 55%
Slovenia 22(6) 19%(6) 50% 29 107% 15 56% 16 57%
Estonia 13 99% 88% 12 112% 6 56% 5 47%
Latvia 23 58% 54% 16(7) 123% 7 55% 4 31%
Lithuania 12 86%(8) 67% 13 63% 7 32% 6 28%
EU Candidates
Croatia 34 91% 54% 35 114% 21 68% 19 61%
Bulgaria 34 76% 34%(9) 17 78% 9 43% 10 49%
Romania 39 88%(10) 50%(11) 35(7) 45% 17 22% 22 28%
Turkey 31 19% 45% 249 81% 96(16) 31% 152 50%
Others
Russia 1,205(15) 9% 39% 285(7) 45% 159 25% 156 25%
Serbia 40(12) 66% 36% 9 48% 5 27% 5 25%
Bosnia-Herzegovina 33 89%/98%(13) 54%(14) 6(7) 81% 4 51% 4 47%
Ukraine 165 n.a. n.a. 36 50% 23 32% 18 25%
Total CEE 17 1,805 46%(17) 50%(18) 1,108 66% 545 33% 638 38%
Euro Area 6,403(6) 25%(6) - 17,895 224% 9,141(1
6)
115% 7,395 93%
30
MORE THAN 1,000 € BLN MARKET IN TERMS OF TOTAL ASSETS, WITH LARGELY
INTERNATIONAL BANKS AND STILL IMPORTANT GROWTH OPPORTUNITIES
Future trends of foreign banks in
Russia (2)
Restrictions on capital transactions are the
same as in some developed countries
Relatively liberalized banking system , no
hindrance in terms of legislation for foreign
banks. But reality is a bit different！
Foreign banks have already entered and
been operating on the Russian market ＝＞
what are the benefits for the Russian banking
sector? Is there a need to restrict foreign
investments into the banking sector?
After crisis(1998) Russian companies were
mostly saved by state-owned banks and
foreign banks, therefore it is possible to
Changes in banking sector： ① assume that further development of the
East Europe scenario banking sector will be strongly connected with
（Privatization）②Dominance of state and foreign banks
state banks ③Development of
31
private domestic banks
Cross-border investments?
o Cross-border lending as an indicator of
liberalization of capital markets
o Direct foreign lending vs. foreign lending
through domestic subsidiaries (offshore vs.
onshore lending)
o Russian public sector and offshore lending
32
Concluding remarks
Some positive results of financial globalization on Russian banking
sector are obvious
At present globalization in financial sphere and development of the
banking sector do not stipulate conditions for the higher economic
growth
Foreign bank entry and banking regulatory reform go well side by
side
Bank privatization and foreign bank entry
Foreign bank entry in Russia: surprisingly rapid or surprisingly late?
Foreign banks in Russia: lenders of last resort???
Russian banking system as a whole is not engaged in fulfilling traditional
banking functions (deposits, lending), neither in developing new so called
non-traditional banking functions (securitization, investment banking).
Banks operating in Russia, including the foreign ones, make revenues
from the foreign exchange operations. Thus, in a sense the system is
abnormal and FB entering Russia are made to operate in these conditions
33
Furture research plans
Japanese banks’ entry into the Russian market
Foreign banks’ activity in Japan
Foreign banks in Japan and Russia: comparative
analysis
34
Thank you
for your attention!
35