In the wake of Moscow’s invasion of Ukraine, Western companies looking to exit Russia are facing stringent scrutiny from the Kremlin.
What Happened: The Russian government is keeping a close watch on all corporate exit strategies, a policy that has been in place for almost 22 months since Russia invaded Ukraine, Business Insider reported on Monday, citing The New York Times. This comes along with the twelfth set of EU trade restrictions imposed on Monday.
Early departures from the Russian market, including giants like McDonald’s and Starbucks, managed to leave swiftly. However, the Kremlin has since tightened the reins on the exit process. Companies now have to meet several conditions before leaving, including making state donations, selling assets at a significant discount, and getting their exit plans approved by a government commission.
The scrutiny extends even to critical sectors such as energy and resources, where any asset sale requires President Vladimir Putin’s ...