Q3 profits at Russia’s Sberbank are down by 24% with the bank doubling its provisions for loan losses.
The state-controlled bank is one of those subject to the west’s sanctions, however in a statement their effects on performance were never directly referred to.
Instead the bank said unknown and continuing losses in Ukraine, a weaker rouble and a general economic slowdown were hitting the bottom line.
Sanctions are cramping Sberbank’s ability to access foreign finance, raising its borrowing costs. Its return on equity is now thought to be at a four-year low.