JRL NEWSWATCH: “Russian Elite Bring Back $50 Billion of Assets as Havens Dwindle” – Bloomberg
- “Pressure from Putin, sanctions are driving the asset transfer
- Wealth is being repatriated to Russia and friendly nations”
“Russian billionaires, squeezed by international sanctions and facing pressure from … Putin to repatriate their wealth, have pulled assets worth tens of billions from Europe since the invasion of Ukraine. Last month … United Medical Group CY Plc and MD Medical Group Investments Plc, controlled by … Igor Shilov and Mark Kurtser, approved the companies’ move from Cyprus to Russia. … help[ing] push the total value of assets … re-domiciled by the wealthiest Russians since February 2022 to at least $50 billion …. The shift is breaking with a decades-old practice by Russian billionaires to hold their assets in Europe ….”
Previously, wealthy Russians sought to benefit from investor-friendly European legal systems, low taxes and dividends paid in foreign currencies. Yet now, with many of them under U.S., European, and British sanctions, foreign financial options are dwindling.